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COMTUA, AWAEMAP CRY OUT: NPA MD Is Grounding Nigerian Exports, Sending Us Out Of Business.

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By Izuchukwu Ozoemena

 

 

 

 

 

 

The Association of West African Exporters and Maritime Professionals (AWAEMAP) has raised the alarm, accusing the Managing Director of the Nigerian Ports Authority (NPA) Mr Mohamed Bello-Koko of strangulating them out of the nation’s agro export-processing industry to give room for him and his cronies to corner undeserved retirement businesses for themselves.

 

 

AWAEMAP brought this to light at a press conference it organized in Lagos, Thursday, in conjunction with the Conference of Maritime Truck Unions and Associations (COMTUA).

 

 

Speaking at the event, AWAEMAP President, Bunmi Olumekun, alleged that the NPA Managing Director has unilaterally chosen five out of many Export Processing Terminals (EPT) to process agro exports. Sadly, two of these belong to Lebanese with whom he has joint hidden interests.

 

AWAEMAP is worried that the NPA MD seeks to introduce a new Standard Operating System to establish one-stop terminal for agro export containers.

 

 

“These terminals referred to as Domestic Export Warehouse (DEW) are meant to serve the purpose of a one-stop  shop for all government regulatory agencies to process all agro export containers and also serve as the only pre-gate terminals for all agro export container boxes seeking access into Apapa Port and all other port complexes in Nigeria for onward shipment to various destinations across the globe”.

 

 

The body stated that the measure by the NPA would have received applause if going for the five warehouses as being arranged would serve to complement the already- existing licensed customs warehouses scattered all over Nigeria.

 

“Rather, the decision is to refuse entry into Nigerian ports all over the country  any agro bound container that has not made use of these warehouses.”

 

 

Condemning the decision of the NPA MD on this matter, the Association said by designating only five warehouses where export-bound containers would be accepted for getting-in, he has contravened the Customs & Excise Management Act, (CEMA), CAP 84 Laws of the Federation of Nigeria 1990, especially Part IV, Section 82 which clearly makes provisions for the use of licensed warehouses including private warehouses for the purpose of processing export-bound goods.

 

 

“This decision is being enabled by the MD of NPA to ensure he continues to enrich himself even after his tenure at the helms of NPA comes to an end.

 

 

“The NPA MD who has disclosed and undisclosed interest in these warehouses has decided that for his ulterior motive to come to light, he must likewise destroy the Nigerian economy while at the same time increasing the unemployment rate of Nigerians. We understand that out of the five warehouses being introduced, two are owned and operated by foreign entities.”

 

 

The consequence of implementing the policy, AWAEMAP regretted, is that all the existing Licensed/FPIS warehouses used, owned and managed by her members nationwide would become useless.

 

 

“These DEW which are limited in number would be overrun by thousands of agro-export containers, thereby creating another round of congestion in and around the ports environment.”

 

 

“This policy will take the export industry several years back after all the improvement and achievements recorded since the introduction and implementation of the Electronic Call-up System through the Eto mobile App.”

 

 

It warned that if Bello Koko is allowed to implement what it described as a repugnant policy, it will wipe off improvements and sanity being witnessed in Apapa ports. It will also increase the overall cost of exporting agro commodities in Nigeria.

 

 

“Invariably, our exportation prowess will decrease as exporters will be forced to sell at a loss as the international rates of exportable cash crops takes no cognizance of the exorbitant cost of exportations of our country due to the greed of a select few.”

 

 

AWAEMAP insists that with the introduction of this policy, exporters would be forced to pay for handling charge, weighbridge documentation and examination position fee. Others impositions are trucking to ports and storage charges cumulatively amounting to about $650 extra charges per container box.

 

 

“All these charges listed would have been incurred by exporters prior to accessing this DEW invariably leads to double expenditure for exporters.

 

Currently, agro-export containers departing Benin and other neighbouring countries come at a cost of $200 cheaper than exporting same value agro export container box from any port within Nigeria following numerous regulatory and logistic challenges prevalent in the maritime export industry.

 

 

The body condemned the situation whereby her members are being subjected to hardship, finding it hard to survive as they compete with neighbouring countries.

 

It stressed the need to condemn and prevent the actions of the NPA MD in this matter “as the ripple effect of this policy will cut across all spheres of the Nigerian economy”.

 

 

Even though business is free, Bunmi Olumekun observed, “but we can’t be subjected to the whims and caprices of NPA MD’s cronies.”

 

He beckoned on Nigerians to intervene and help them because of the damage PFP is doing to the system.

 

 

In his contribution, the Boat Chairman, Alhaji Ina-Olaji Nofiu Liadi recalled that processing a container in NPA’s so-called five warehouses costs an exporter not less than N120,000. Other constraints, he stated, are unbearable bank charges coupled with expenses on the Eto system. He regretted that this cannot be regulated.

 

 

“Our case is on terminal export processing of goods whereby goods already processed are to go through same process in their so-called five terminals.

 

He said they had gone to court to interpret reasons  processed export goods must undergo fresh processing to satisfy NPA MD and his cronies who run the five terminals in question.

 

 

Speaking on behalf of his group, Comrade Adeyinka Aroyewun, President, Conference of Maritime Truck Unions Associations (COMTUA) was emphatic that NPA’s agenda was to keep truck owners out of business and to expose them to what he called stiff competition with foreigners now in the picture.

 

 

“We’re rejecting the export-processing terminals. Why should we go through NPA whose poor management acts led to ports concession? NPA does not meet with any stakeholder in the transportation industry. He queried the TTP, insisting that terminal operators reject containers due to scarcity of information on the terminals by the NPA, a reason trucks remain on the road despite Eto.

 

 

“There is a racket between NPA and TTP Ltd. We’re rejecting NPA’s involvement in cargo handling. Extortion is NPA’s aim, provision of jobs to NPA’s cronies through whom they corner money and chase is out of business.”

 

COMTUA beckoned on the Nigerian Shippers’ Council (NSC) to intervene and use her good offices as the economic regulator to discourage the attitude of business grabbing being exhibited by the NPA.

 

COMTUA warned that the Federal Government should not allow anybody discourage her in the interest to grow export of goods from Nigeria.

 

 

Efforts to get the NPA side of the matter before publication were unsuccessful as calls to relevant units were not responded to.

 

 

 

 

 

 

 

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Maritime Agencies

NPA Is Repositioning Nigerian Ports To Take Full Advantage of AfCFTA, says Dantsoho.

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Dr Abubakar Dantsoho, NPA MD

 

 

 

By Izuchukwu Ozoemena

 

 

Managing Director of the Nigerian Ports Authority (NPA),
Dr Dantsoho has commended the Honourable Minister of Marine and Blue Economy, H.E. Gboyega Oyetola, for standing solidly behind the agency in all steps being taken in this dispensation to rehabilitate and reposition Nigerian ports.

Dantsoho stated this in Lagos, Tuesday, while speaking on the theme: “Improving the Competitiveness of Nigerian Ports in an Era of Regional Integration” at the Nigerian-British Chamber of Commerce (NBCC) Maritime and Logistics event.

He emphasized that the anticipated collapse of trade barriers across Africa will significantly boost intra-African trade.

To ensure that Nigerian ports take full advantage of the anticipated increase in intra-African trade as the full implementation of the African Continental Free Trade Area (AfCFTA) regime takes root, he announced, the Agency is taking steps to enhance the competitive strategy and leadership position of Nigerian ports in the African continent.

Affirming NPA’s vision which is to be the Maritime Logistics Hub for sustainable port services in Africa, he said Nigerian ports must reposition to remain competitive and not lose their gateway traffic status to other ports.

“In the quest for our nation to optimize the benefits acruable from AFCFTA, there is no gainsaying that port plays a pivotal role as a nodal point in international logistics. Given the fact that port cost is a significant component of freight cost which ultimately affects the prices of goods in the market, this speaks to the imperativeness for our ports to be competitive and efficient.”

Therefore, he implored all strategic
players in the port system to join efforts with the NPA to ensure the actualization of this goal.
Speaking further on the quality of infrastructure, he explained that it affects transport costs, trade efficiency, and overall competitiveness.

Therefore, investments in inland terminals, logistic zones and rail networks can expand a port’s influence beyond its traditional hinterland and bring about efficiency that makes the port competitive, he explained.

Similarly, the NPA MD, noted that the macroeconomic environment of a country is intricately linked to its ports’ performance and competitiveness, saying factors such as inflation, exchange rates, and economic stability influence trade flows and investments.

The NPA boss further disclosed that NPA, in collaboration with the International Maritime Organisation (IMO), is working towards the actualisation of this project.

“The Port Community System (PCS) is envisaged to culminate into the National Single Window (NSW) for maximum efficiency and competitiveness,” he said.

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Maritime Agencies

TRADE FACILITATION: Nigeria Customs Pre-Launches ‘B’Odogwu’ In Lagos.

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By Izuchukwu Ozoemena

 

 

The Nigeria Customs Service (NCS) has unveiled her strategic deployment of ‘B’Odogwu,’ a special trade modernization tool whose implementation is aimed at deepening efficient and effective trade processes across the board in line with international best practices.

The event which was attended by many stakeholders took place in Lagos, Monday, for the Apapa and Tincan Island ports.

The flag-off of a successful pilot stage of the ‘B’Odogwu’, it is recalled, took place at the PTML Command earlier in 2024, signaling a new dimension and a major shift in how cargo clearance and trade operations are conducted across the nation’s busiest seaports.

Speaking during the pre-launch and stakeholders’ engagement in Lagos, Bashir Adewale Adeniyi, the Comptroller-General of the Nigeria Customs Service, said the event was only a phase in the deployment process designed to climax to a full-scale launch of a carefully planned process in trade facilitation and other operational areas which must respond to the realities of the moment.

“It is a pre-launch, not a full launch, because we are deploying it at a bigger Command,” the CGC explained.

Emphasizing the importance of timing, the CGC stated that the move was part of the broader modernization agenda which has a collaborative engagement with industry stakeholders as an integral part.

The decision to conceptualize and develop B’Odogwu as a homegrown trade facilitation initiative, he clarified, became necessary in order to address long-standing inefficiencies and frustrations experienced under the previous Nigeria Integrated Customs Information System (NICIS).

“The new company took into account the history of frustrations we have had with the NICIS. So, we decided to start over to develop a new system that would address all the delays and frustrations of the past. So, we came up with B’Odogwu, which is homegrown,” he said.

The Comptroller-General described B’Odogwu as a uniquely Nigerian initiative, with its name embodying the strength and leadership that the system aims to bring to customs operations.

”B’ stands for ‘Border,’ and ‘Odogwu’ signifies strength and leadership in African, particularly Nigerian, parlance,” Adeniyi explained.

He acknowledged that transiting to a new system of this magnitude would come with challenges but reassured stakeholders that the Customs is prepared to tackle any obstacles and challenges.

“A project of this magnitude would not be a walk in the park. We had some challenges during the pilot phase at PTML, we have addressed some and carried over some. We are not going to wait until all the challenges are solved, but with your cooperation, we will resolve all,” he told stakeholders present.

A major breakthrough in the deployment of B’Odogwu is its full integration with commercial banks for the processing of Form ‘M’—a critical requirement for import documentation and trade facilitation in Nigeria.

Adeniyi confirmed that the Central Bank of Nigeria (CBN) has directed all authorized dealer banks to integrate with the platform, ensuring seamless financial transactions for importers and exporters.

“At PTML, we have integrated CBN. The CBN boss, at a meeting with us recently, has instructed all authorized dealer banks to queue into B’Odogwu, and they would all be opening Form M for you,” he announced.

Additionally, he assured stakeholders that communication channels would remain open to provide regular updates on the system’s operation and address concerns as they arise.

In her comments, Kikelomo Adeola, Deputy Comptroller-General in charge of IT and Modernization, restated that the system was reliable and efficient. She assured stakeholders that lessons from the PTML pilot phase are being applied to strengthen B’Odogwu’s functionality.

“We have resolved teething issues following B’Odogwu’s test-run at PTML as the pilot command. We have equally carried out training of agents, terminal operators, among others, on why the effective usage of the platform is crucial,” Adeola said.

 

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Maritime Agencies

Nweke Defends ICTN, says the Implementation Stands To Add Value to the Ports System

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By Izuchukwu Ozoemena

 

Maritime industry stakeholders have been urged to allow the implementation of the International Cargo Tracking Note (ICTN) because it is designed to add value to the Nigerian Ports system.

Dr Eugene Nweke, Director of Research at the Sea Empowerment Research Center, (SEREC), made the appeal in Lagos, Thursday, while addressing a roundtable organized by the Maritime Reporters Association Of Nigeria (MARAN) on the theme “Proposed International Cargo Tracking Note: A Second Look By Critical Stakeholders” held at the International Pres Centre in Apapa.

Since the planned reintroduction of the ICTN was made public, there have been discordant opinions prompting a heated debate among stakeholders who have, so far, refused to take a common position.

Nweke who expressed worry about the divergent views trailing the proposed re-introduction said it is puzzling why some individuals in Nigeria oppose the International Cargo Tracking Note.

“Nigeria’s logistics performance index rating is often low due to its inability to effectively trace, track, and monitor cargo movement. Meanwhile, other countries in the West and Central African subregion have successfully implemented ICTNs and single-window systems”, he explained.

Addressing the fears raised by the stakeholders on how the policy will add to port costs, Nweke who doubles as former National President, National Association of Government Approved Freight Forwarders (NAGAFF) noted that being implementation agency, the Nigerian Shippers’ Council (NSC) knows tha its image is at stake if the policy fails.

“I am aware that some stakeholders have raised concerns about the potential increase in costs associated with ICTN implementation. However, I argue that the long-term benefits of improved security, efficiency, and transparency will outweigh the initial costs.

“Moreover, the ICTN system can be designed to be flexible and adaptable to the needs of different stakeholders, minimizing disruption to existing operations.

“Once again, I enjoin all to allow and support the Nigerian Shippers Council in its efforts and commitment towards adding value to our port system” he stated.

“May I restate that, the NSC understands too well the errors and confusion that trailed the past CTN era, and as such knows that its corporate image and integrity are under the sun. As such, let’s give peace a chance and allow the NCS to add value to our port system” he advised.

While called for further stakeholder engagement to address the issues raised.

“Effective stakeholder engagement is critical to the success of ICTN implementation. The NSC understands the essence of engaging with all relevant stakeholders including shippers, freight forwarders, customs brokers, and other industry players, to ensure that their concerns and needs are addressed.”

“This can be achieved through regular consultations, workshops and training sessions” he added.

Earlier in his welcome address, Godfrey Bivbere, MARAN President, disclosed that as the country moves to reintroduce the ICTN, there must be fresh prospectives to ensure that there are no duplication of efforts and transparency is prioritized.

“As we move to reintroduce the ICTN, it is critical that we approach it with a fresh perspective and an understanding of the lessons learned from the past. We must ensure that there is no duplication of efforts, that transparency is prioritized, and that the concerns of all stakeholders are heard and addressed,” he noted.

He added that it is with this in mind that MARAN decided to take the lead in organizing this roundtable discussion.

“The time has come to resolve the controversies and come to a consensus. MARAN, as the leading maritime beat association in Nigeria, recognizes the importance of fostering dialogue and understanding among all parties involved”.

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