Executive Secretary, Nigerian Shippers Council, Mr. Hassan Bello
Nigeria is targeting over three million metric tonnes of imported cargoes from Niger Republic through improved seaport efficiency .
The Executive Secretary, Nigerian Shippers Council, Mr. Hassan Bello, disclosed this at an interactive session with journalists in Lagos.
Bello said Niger Republic, a landlocked country, was annually importing the said amount of cargoes through Togo, Republic of Benin and Ghana.
He said, “We are talking with Nigerien shippers. We want them to import their cargoes through our ports. Already, we have lost a tremendous amount of money to other African ports through cargo diversion.”
However, he said this could only be achieved if Nigerian ports were made more competitive through increased efficiency and reduction in the cost and time of cargo clearance.
He said the reforms being proposed by the council, which included a reduction in the cost of doing business at the ports would make Nigerian ports more attractive to Niger Republic than those of other countries which were farther away.
Bello said, “If you compare Nigeria’s terminal charges with that of Benin Republic, ours is more by N38,695 for 20 feet containers and N39,695 for 40 feet containers.
“Compared with the Republic of Benin, Ghana and Cameroun, Nigeria has the lowest free storage period of three days. This informed the NSC’s decision to increase it to seven days.”
From the data made available to The PUNCH, Nigeria also ranks lowest in the free demurrage period when compared with the Republic of Benin, Ivory Coast, Ghana and Namibia at three days. The highest is Namibia with 15 days.
Bello added that having realised that Nigeria had the highest local shipping company charges, N29,500 more than Ghana and N32,175 more than the Republic of Benin, the council reduced it by 10 per cent.
He described the cost of doing business at the Nigerian ports as the most expensive in Africa and lamented the loss of huge revenue to other African ports through cargo diversion by Nigerian importers.
He said, “The global competitiveness of Nigerian ports has a major role to play in the attraction of Foreign Direct Investment.
“Although the port reform has brought in huge benefits to the national economy, there is a need to harness other potential areas of the port sector with a view to bringing down the cost of doing business.”
Bello added that the ports experienced a 30 per cent increase in incoming cargo last year.
He said the increase recorded in 2014 was due to port reforms aimed at reducing costs and enhancing efficiency. He listed one of the major achievements of the council as automation.
He said, “Doing our work on electronic platforms will solve most of the problems at the ports, but every stakeholder has to be ready. Three international consultants are currently working with us to develop the road map which will be taken to the Federal Executive Council for approval.
“We want a situation where people will stay in their offices, clear their goods and also track their transactions. In this regard, the Nigerian Port Authority’s e-payment is working wonders. Automation will enhance government’s revenue base because Nigeria will then become the destination of choice.”
Bello however said that the regulatory system in Nigeria was very weak and called on the Federal Government to back the NSC.
He said the council still had issues with cargo dwelt time at the ports, the number of documents involved in the clearing process and the amount of time spent.
He described the role of the NSC as one of consultation, coordination and harmonisation of the various port processes.
He reiterated the council’s decision to apply appropriate sanctions in situations of unreasonable resistance and called for support from other government agencies in the maritime sector.
BY COMFORT OSEGHALE
