The Nation Newspaper

Category: Maritime

Customs, police, agents in row over extortion

What do agents have against the Nigeria Customs Service (NCS), the police and other agencies at the ports? The Association of Nigerian Licensed Customs Agents (ANLCA) is accusing Customs, police, Standards Organisation of Nigeria (SON) and Plant Quarantine Service (PQS) of extortion.

But Customs and police deny the claim, accusing ANLCA of attempting to compromise their operatives.

Customs claimed that the agents made insincere declaration and tried to compromise officers to bend the rules.

A senior officer at the port also told The Nation that the police have the right to investigate cases of stealing, false declaration and forgery.

“Our job at the port is to maintain law and order. But when we receive complaint about stealing and forgery, are the agents telling us that we should look the other way and not investigate the matter?

The group had said: “We want to inform the Federal Government and the general public that ANLCA may seek self-help by withdrawing our services from the ports until the unchecked extortion in the port is stopped.”

It alleged that in the last eight months, its members had been constantly extorted by Customs’ officers and there has not been any intervention from the Comptroller-General of Customs (CGC).

ANLCA noted that the Pre-arrival Assessment Reports (PAAR) was a good innovation of the last administration of Customs under Abdullahi Dikko, but the PAAR has been bastardised under Alli.

“Agents, unlike before now, cannot state precisely how much they can use to clear cargoes from the port because of the preponderance of extortion and interventions by various units of Customs, including valuation, query and amendments, CIU and so on.

“We now have situations whereby more than one PAAR is issued on one consignment and the PAAR is constantly queried,” they said.

ANLCA also alleged that the Plant Quarantine usually stops the release of imported consignment under various excuses.

“We now have a situation where different departments of Police now write to stop the release of cargoes under the pretext that they were investigating cases of stealing, false declaration and forgery.

The group urged the Federal Government and the Ministers of Finance and Transport to investigate the matter.

But Customs Tin-Can Island command’s Public Relations Officer (PRO) Mr Chris Osunkwo described the allegation as baseless and fabricated.

He said if any importer disobeys any import law, Customs has the power to prevent the goods from exiting the gate through the various mechanism it has put in place.

The Customs, Osunkwo said, has the power to delay or intercept any container that is against the Federal Government’s fiscal policy.

“When you fail to document properly, Customs will ask you questions in order to ensure transparency and standard.

“We have always said that whenever you make an honest declaration, Customs will release your goods within the stipulated period.

“The Customs is concerned with revenue generation for the country and security of what comes in and goes out of the country.

He said importers should be blamed whenever goods were delayed at the port because of improper declaration.

Osunkwo urged clearing agents, importers and other port users to play by the rules to avoid delays.

The motive, he said, was to ensure that no importer or clearing agent succeeded in shortchanging the government.

He urged importers and clearing agents to always obey the rules

ANLCA also accused the Federal Government of contributing to the extortion because its emphasis on revenue generation rather than trade facilitation by the Customs.

ANLCA said it is time for the government to strike a balance between trade facilitation and revenue generation by the Customs.

ANLCA also accused the Police and other government agencies at the ports of hampering cargo delivery process and time.

June 7, 2016
Customs seizes 1,533 generators, 542 cartons of poultry products

In a major operation, the Nigeria Customs Service (NCS) has seized 1,533 generators and 542 cartons of banned frozen poultry products with a street value of N37,562,000.

The generators were found on a Mack truck on the Lagos-Ibadan Expressway; the poultry products were impounded in a minibus on the Sagamu-Ijebu-Ode Expressway.

The generators are the two stroke type, popularly known as I pass my neighbour.

The Shittu Almaruf-led Customs team, investigation revealed, patrol approved and unapproved routes across Ogun State for smugglers.

It was learnt that the Customs may have put generator dealers around Shagamu, Mowe/Ibafo, Idiroko, Owode, Alapoti, Lusada and Atan out of business.

Investigation by The Nation revealed that the vehicles and the goods have been kept at the government warehouse, Abeokuta, the Ogun State capital.

“The items were subjected to 100 per cent examination to ascertain the quantity and confiscated in line with Sections 46 & 47 of the Customs Management Act, Cap 45 LFN.

“The team is devising other means of ensuring that the activities of the smugglers in its area of operation are curtailed and we have been carrying anti-smuggling campaigns to all the nooks and cranny of Ogun State, to show them that we are deeply committed to the task of suppressing smuggling.

“By seizing the generators, the Nigeria Customs is merely enforcing a law, which emanated from a memo of the Federal Ministry of Environment, advising the government on its health implications. The ban placed on the importation of I pass my neighbour generator is not new. It came into effect on April 28, 2011 and was officially gazetted in May of the same year.

“The Federal Government gazette No 47 Volume 98 stated categorically that the purpose of this regulation is to restore, preserve and improve the quality of air.

“The ban is to safe guard citizens’ right and access to clean air, reduce/prevent air pollution and improve the health of Nigerians, especially in the urban areas with high incidence of air pollution; in view of the poisonous gaseous emission,” a source said.

The source added: “With regard to the seized frozen poultry products, we are not relenting in our efforts to protect the health of Nigerians as well as the huge investments of our local farmers.

“We will continue to make life difficult for smugglers and frustrate their efforts until they hearken to the voice of reason and stop sabotaging the efforts of the government.

“These products, beyond the fact that they fall under the import prohibition list, are also very detrimental to human health, hence not good for consumption.”

Almaruf told The Nation that the team would continue to go after smugglers retriving his men’t encounter with miscreants and street urchins, who pretend to be smugglers. He said such pressure would not deter the team from smuggling activities to its barest minimum.

June 7, 2016
NIMASA to partner Norway in maritime development

To develop its maritime in-dustry, Nigeria is to partner Norway. Nigerian Maritime Administration and Safety Agency (NIMASA) Director-General Dr. Dakuku Peterside has said.

Speaking when the Norwegian Ambassador to Nigeria, Rolf Ree, visited him, he said vertical and horizontal partnerships were required to grow the Nigerian maritime sector.

Peterside described Norway as a great maritime nation, which has earned global acclaim as a complete maritime cluster driven by technological development.

He reiterated NIMASA’s resolve to ensure safety and security on the waterways, noting that these will attract more investors to the country.

“Norway has a lot to benefit from Nigeria as we are a major player in Africa, especially the hydro carbon trade, and the country has a lot to benefit from Norway in the areas of expertise and technology needed to develop the sector. To this end, the Agency is prepared to enter into a partnership, provided it protects Nigeria’s interest and it is in accordance to our laws,” he said.

The NIMASA boss said the agency has committed itself to a number of initiatives, including the development of a medium term strategic growth plan and building alliances with critical stakeholders all aimed at leapfrogging the Nigerian maritime sector.

Ambassador Ree described the Nigerian maritime sector as very impressive and noted that the Norwegian Government was willing to collaborate with NIMASA for the development of the maritime sector in many areas, including enhancing the Nigerian flag.

He expressed Norway’s readiness to provide infrastructural and technical support to NIMASA in the country’s quest to assert itself as a major player in Africa.

Since he assumed office about two months ago, Peterside has sought collaboration from local and international stakeholders with a view to engendering a sustainable development of the maritime sector for Nigeria’s economic prosperity.

June 7, 2016
Customs seizes 1,533 generators, 542 poultry products

In a major operation, the Nigeria Customs Service (NCS) has seized 1,533 generators and 542 cartons of banned frozen poultry products with a street value of N37,562,000.

The generators were found on a Mack truck on the Lagos-Ibadan Expressway; the poultry products were impounded in a minibus on the Sagamu-Ijebu-Ode Expressway.

The generators are the two stroke type, popularly known as I pass my neighbour.

The Shittu Almaruf-led Customs team, investigation revealed, prowl approved and unapproved routes across Ogun State in pursuit of smugglers.

It was learnt that the Customs may have put generator dealers around Shagamu, Mowe/Ibafo, Idiroko, Owode, Alapoti, Lusada and Atan out of business.

Investigation by The Nation revealed that the vehicles and the goods have been kept at the government warehouse, Abeokuta, the Ogun State capital.

“The items were subjected to 100 per cent examination to ascertain the quantity and confiscated in line with Sections 46 & 47 of the Customs Management Act, Cap 45 LFN.

“The team is devising other means of ensuring that the activities of the smugglers in its area of operation are curtailed and we have been carrying anti-smuggling campaigns to all the nooks and cranny of Ogun State, to show them that we are deeply committed to the task of suppressing smuggling.

“By seizing the generators, the Nigeria Customs is merely enforcing a law, which emanated from a memo of the Federal Ministry of Environment, advising the government on its health implications. The ban placed on the importation of I pass my neighbour generator is not new. It came into effect on April 28, 2011 and was officially gazette in May of the same year.

“The Federal Government gazette No 47 Volume 98 stated categorically that the purpose of this regulation is to restore, preserve and improve the quality of air.

“The ban is to safe guard citizens’ right and access to clean air, reduce/prevent air pollution and improve the health of Nigerians, especially in the urban areas with high incidence of air pollution; in view of the poisonous gaseous emission,” a source said.

The source added: “With regard to the seized frozen poultry products, we are not relenting in our efforts to protect the health of Nigerians as well as the huge investments of our local farmers.

“We will continue to make life difficult for smugglers and frustrate their efforts until they hearken to the voice of reason and stop sabotaging the efforts of the government.

“These products, beyond the fact that they fall under the import prohibition list, are also very detrimental to human health, hence not good for consumption.”

Almaruf told The Nation that the team would continue to go after smugglers retriving his men’t encounter with miscreants and street urchins, who pretend to be smugglers. He said such pressure would not deter the team from smuggling activities to its barest minimum.

May 31, 2016
NIMASA to partner Norway on maritime development

To develop its maritime industry, Nigeria is to partner Norway. Nigerian Maritime Administration and Safety Agency (NIMASA) Director-General Dr. Dakuku Peterside has said.

Speaking when the Norwegian Ambassador to Nigeria, Rolf Ree, visited him, he said vertical and horizontal partnerships were required to grow the Nigerian maritime sector.

Peterside described Norway as a great maritime nation, which has earned global acclaim as a complete maritime cluster driven by technological development.

He reiterated NIMASA’s resolve to ensure safety and security on the waterways, noting that these will attract more investors to the country.

“Norway has a lot to benefit from Nigeria as we are a major player in Africa, especially the hydro carbon trade, and the country has a lot to benefit from Norway in the areas of expertise and technology needed to develop the sector. To this end, the Agency is prepared to enter into a partnership, provided it protects Nigeria’s interest and it is in accordance to our laws,” he said.

The NIMASA boss said the agency has committed itself to a number of initiatives, including the development of a medium term strategic growth plan and building alliances with critical stakeholders all aimed at leapfrogging the Nigerian maritime sector.

Ambassador Ree described the Nigerian maritime sector as very impressive and noted that the Norwegian Government was willing to collaborate with NIMASA for the development of the maritime sector in many areas, including enhancing the Nigerian flag.

He expressed Norway’s readiness to provide infrastructural and technical support to NIMASA in the country’s quest to assert itself as a major player in Africa.

Since he assumed office about two months ago, Peterside has sought collaboration from local and international stakeholders with a view to engendering a sustainable development of the maritime sector for Nigeria’s economic prosperity.

May 31, 2016
Agents accuse Customsmen of extortion

The Association of Nigerian Licensed Customs Agents (ANLCA) has threatened to shut the ports, if the Federal Government fails to stop Customsmen from allegedly extorting its members.

Speaking with The Nation, its National Publicity Secretary, Mr. Kayode Farinto, also condemned the alleged extortion by other agencies, such as the Standards Organisation of Nigeria (SON), Plant Quarantine Service and the police.

The group said: “We want to inform the Federal Government and the general public that ANLCA may seek self-help by withdrawing our services from the ports until the unchecked extortion in the port is stopped.”

It alleged that in the last eight months, its members have been constantly extorted by Customs’ officers and there has not been any intervention from the Comptroller-General of Customs (CGC).

ANLCA noted that the Pre-arrival Assessment Reports (PAAR) was a good innovation of the last administration of Customs under Abdullahi Dikko, but the PAAR has been bastardised under Alli.

“Agents, unlike before now, cannot state precisely how much they can use to clear cargoes from the port because of the preponderance of extortion and interventions by various units of Customs, including valuation, query and amendments, CIU and so on.

“We now have situations whereby more than one PAAR is issued on one consignment and the PAAR is constantly queried,” they said.

ANLCA also alleged that the Plant Quarantine usually stops the release of imported consignment under various excuses.

“We now have a situation where different department of Police now write to stop the release of cargoes under the pretence that they were investigating cases of stealing, false declaration and forgery.

The group urged the Federal Government and the Ministers of Finance and Transport to investigate the matter.

May 31, 2016
‘Green fields imperative for ports growth’
The Federal Government has been urged to expand the port system through the development of green fields.

The fields,stakeholders said, should be driven by private sector investments.

This was part of the resolutions reached by private operators, investors and the academia at a conference organised by the Ministry of Transport in Lagos, last week.

The theme of the Conference was: Building a Sustainable Maritime Industry.

The conference also urged the Federal Government to provide the enabling environment and laws to protect such investments.

The stakeholders also urged the Federal Government to lift the economy by tapping into the opportunities in the sector.

The sector, the stakeholders said, is facing a myriad of challenges that need to be addressed so that Nigerian ports can compete favourably with neighbouring ports.

They identified lack of commitment, corruption, low productivity, inefficiency, non-competitiveness of the ports and high charges as the bane of the industry.

The ship owners at the forum urged the Federal Government to encourage coastal shipping development under the Cabotage regime so that shippers will utilise indigenous coastal vessels to move cargo from Western ports to Eastern ports.

The Federal Government,other stakeholders said, should conduct a post concession audit of the port concession implementation to ascertain that the achievement so far recorded match the expectations of the government.

The Federal Ministry of Transport, they said, should therefore, enter into alliances with other ministries and agencies to foster cooperation and effectively achieve the Federal Government’s economic agenda.

To reduce revenue leakages in the sector, the Minister of Transport was urged to adopt single a window project so that operational processes of the sector are automated from vessel reception processes, cargo handling and clearance so as to reduce human interface, encourage transparency.

Some of the resolutions of the conference, which was exclusively obtained by The Nation, include the following:
- A private sector driven development of truck transit parks in the country, while the government provides the necessary legislations and guidelines for the operation;
- Expansion of the port system through the development of deep sea port to foster competitiveness of Nigerian ports with ports in the West and Central African sub-region;
- Copying from the successes recorded in the telecommunications sector as well as the NLNG, instead of over-reliance on government funding;
- The need for the passage of the various transport sector reform bills currently before the National Assembly to give effect to the proposed reform in the sector;
- The review of Nigeria’s trade contract policy of FOB export and CIF import as the policy is injurious to the country’s trade interest;
- NIMASA was urged to partner with the relevant security agencies in ensuring and maintaining security and safety of the water ways;
- The Nigeria Shippers’ Council as port Economic Regulator should negotiate with operators to harmonise and approve benchmarks, standardise charges and services in the sector among others.
The stakeholders, apart from identifying lack of training and capacity building institutions as bane of the sector, the Ministry of Transport was urged to constitute a committee comprising of agencies under it to draw a strategic plan for the sector.
May 24, 2016
Stakeholders fault shipping policy

Stakeholders in the maritime industry have faulted the nation’s shipping policy on waivers, which they alleged has hindered the implementation of the Cabotage law.

They said great effort is still needed on the part of the Minister of Transport, Rotimi Amaechi, to prepare the country for challenges facing the industry.

Speaking at a ’forum organised by importers and clearing agents in Lagos last week, the Managing Director, Sea Logistics, Mr Rufus Olanipekun, expressed concern that foreign shipping lines will continue to exploit the country because of the selfish interest of a few, and lack of a functional shipping policy that identifies the strategic challenges of the maritime sector.

Olanipekun said there had been lapses in enforcing the Cabotage Law and domesticating all international treaties and conventions that relate to the sector.

He lamented that the Cabotage regime is yet to be implemented to meet the expectations of stakeholders in the industry.

Olanipekun also recognised a wide gap between the intention of the Act and the system which is yet to empower indigenous operators to take advantage of the Cabotage law.

The performance of the Federal Government on trade facilitation, high port charges, infrastructure, safety at sea, protection of the marine environment and enhancement of maritime law and security, Olanipekun said, falls below expectation. He said the ports are performing below expectation despite their concession.

He said the Federal Government needed to do more to reduce piracy and armed robbery on the waterways.

Olanipekun said foreign shipping companies are still dominating the nation’s maritime industry to the detriment of local ship owners.

Another stakeholder and Chairman, JM investment, Mr James Joseph, said conspiracy hinders Cabotage implementation

He said the implementation of the law would have been easier, but for conspiracy between some past officials of the Ministry of Transport and foreign ship owners.

Joseph said the law could be easily implemented if the Minister of Transport musters enough political will to do so.

“The Minister of Transport needs to see to the full implementation of the cabotage law before he leaves office. We are aware that some individuals within and outside the government are trying to frustrate the implementation.

“My suggestion to the minister is that he should make sure every ship that calls at the nation’s ports should first declare arrival to the Nigerian Ports Authority (NPA), NIMASA and the Navy. By doing so, it would become easy to implement the law,” he said.

Joseph said the implementation of the law should not be a problem if the government musters the necesary political will.

Poor policy implementation, he said, is the bane of the sector.

“No government agency needs to go to the jetty to arrest a ship. NIMASA for instance, can ask any ship to tell her its point of loading. So, if it is offshore Lagos or offshore Cotonou, the agency can then verify if it is on the list of Cabotage registered vessels. Therefore if the Minister is determined, implementation should not be a problem.”

Joseph said Nigerian ship owners must be supported with good policies by the government and banks so they can buy vessels to carry out coastal trade.

The Coastal and Inland Shipping Act, 2003, he said, is a protectionist law enacted to create exclusive areas of operation in the coastal trade for indigenous operators.

“Much as it is estimated that marine transportation offshore alone has a potential annual revenue/profit of millions of naira as against coastal trade in commodity and products, it is believed that harnessing the opportunities of effective implementation of Cabotage will provide a springboard for indigenous operators to acquire requisite capacity and expertise in launching them into global shipping.

“The target is for Nigerian carriers to have a share of about $4.5 billion per annum gross value of freight in and out of Nigeria. Only 20 per cent share of the market will stimulate the local economy to the tune of about $600 million gross per annum,” Joseph said.

The Cabotage regime, he said, covers ship building, ship ownership, manning and registration. Unlike the Cabotage Law in most other maritime nations of the world, he observed, Nigeria’s Cabotage law provides for waivers. Indigenous operators, he said, have complained that the waiver clause has helped make implementation of the law difficult, inefficient and faulty.

May 24, 2016
Terminal appoints MD

APM Terminals Apapa Limited has named Martin Jacob its Managing Director, effective June 1, 2016.

Jacob, who takes over from Andrew Dawes, will bring with him extensive experience in the industry spanning 16 years with AP Moller-Maersk Group, including the last five years as the Managing Director of the West Africa Container Terminal (WACT), at Onne, Nigeria.

WACT, which handled 233,000 TEUs in 2015, was named Nigeria’s Best Container Handling and Port Development Company in 2015 at the African Governance and Corporate Leadership awards earlier this year. The award was presented by the Nigerian Institute for Government, Research, Leadership and Technology in recognition of the terminal’s achievements in productivity, investment, innovation and customer service.

“I am looking forward to my new responsibilities at APM Terminals Apapa, and to working closely with our customers, local and national authorities to continue to achieve success and help facilitate the growth and progress of the Nigerian economy,” Jacob said.

APM Terminals Apapa, is the largest container facility out of the three serving Lagos, Nigeria’s largest city and commercial nerve center. It is also the largest container terminal operation in West Africa, having doubled container traffic after concession began in 2006, with dramatically improved productivity.

A $350 million investment and expansion programme was announced for APM Terminals Apapa since 2006. Container throughput in 2015 was 608,000 TEUs.

May 17, 2016
Ports concessionaire gets five-year extension

The Federal Government has extended its concession agreement with the Ports and Cargo Handling Company by five years.

The firm’s Acting Managing Director, Alhaji Mohammed Bulangu told The Nation during the celebration of the 10th anniversary of port concession in Lagos that the terminal has met its obligations in terms of world-class equipment, efficient service delivery and infrastructural development.

At inception, the terminal, findings showed, inherited 5,000 TEUs capacity from the Nigerian Ports Authority (NPA), which it has grown to 16,000 TEUs.

The terminal, Bulangu said, has built a warehouse that can store 8,200 metric tonnes of cargoes.

Since they took over the terminal on May 11, 2006, the company, he said, has invested heavily on equipment and surpassed the projected development plan it had with the Federal Government.

Bulangu said the terminal, being wholly-owned by an indigenous company, is run by Nigerians with a few expatriates.

“The initial agreement we had with the Federal Government has been extended by five years and we are even working to see if it could be extended to 25 years.

“The concession agreement gave provision for expatriates in other to transfer knowledge and this is what we are doing,” he said.

Port and Cargo, he said, has acquired 10 units of rubber tyre gantries (RTG), 43 terminal tractors, 14 forklifts, 23 stackers, tractors and heavy duty generating sets to boost quick cargo clearance from the port.

The company, Bulangu said, has witnessed rapid improvement in its IT operations and cargo tracking system.

Activities of ‘wharf rats’, he said, have been put under check with the provision of light CCTV cameras to monitor human and cargo movements within and around the terminal.

“Security, safety and health policies are given serious attention, a well-equipped clinic manned by medical doctors and other qualified personnel is provided in the terminal, complemented by two ambulances.

“The surface of the quay and adjoining open spaces have been cleared of mud and oil spillage, we have provided fire-fighting equipment and muster point at strategic locations.

“We have fully complied with and exceeded our obligations regarding acquisition of plants and equipment. For instance, we proposed to buy three ship-to-shore cranes, but we have succeeded in buying six.

“We proposed to buy six rubber tyre gantries (RTG) and we now have 10 modern RTG in our terminal,” he said.

Bulangu, however, urged the Federal Ministry of Works to fix the Oshodi/Apapa expressway to boost trade and generate more revenue for the government from the ports.

May 17, 2016