Shippers

The Nigerian Shippers’ Council (NSC) has urged maritime stakeholders to embrace the many reforms put in place by council to help bring sanity to the port system.
Mr Emmanuel Jime, NSC Executive Secretary, made the appeal at the Business Against Anti-Corruption (BAAC) Integrity Alliance inauguration meeting held in Lagos.
Jime, represented by Mr Moses Fadipe, Director at NSC, listed some of the reforms as the Port Service Support Portal (PSSP), the Standard Operating Procedures (SOP), Nigerian Port Process Manual (NPPM) and the Advanced Cargo Tracking System.
Jime added that collaboration was also key in fighting corruption, saying that NSC cannot do it alone, as they need information in terms of feedback.
According to Jime, as at 2016, the port sector was bedeviled with corrupt practices and this was proven right with the Corruption Risk Assessment report which was pilot by the Independent Corrupt Practices and Other Related Offences Commission (ICPC) in 2012.
He noted that when some of these reforms were pushed out, it had gaps which had to do with timeline and this was tackled with the introduction of the NPPM meant to remove bottlenecks, illegal demand and others.
“The role of the Nigerian Shippers Council is to establish an enabling environment and instituting an effective regulator system for port operations.
“Some of the reforms from the council, like the PSSP, an intervention to implement the port sector integrity plan, is an industry tool for all agencies in the sector, meant to address grieviance in the port sector.
“The SOP is meant to show responsibilities that are being discharged to the public by various government agencies and private operators, that is, tell who we are, what we do and how we do it,” he said.
He added that after the inaugural meeting, what was expected from the committee was to monitor present reforms, promote initiatives that would enhance port processes and assist to promote the SOP.
Speaking, Prof. Bolaji Owasanoye, Chairman, ICPC, noted that Turn-Around Time (TAT) of vessels/cargoes was key measurements for ports efficiency and basis for measuring port performance and so the need to be time conscious.
Owasanoye, represented by Mr Jimoh Sulahiman, Assistant Commissioner, ICPC, added that Nigeria government had risen to mitigate the pervasive official inefficiency, mismanagement, lack of integrity and corruption in its ports.
“Specifically, ports inefficiencies, arising from integrity breaches, official collusions, bottlenecks and poor law enforcement, are not only disincentives to trade but also remain inimical to the health of Nigeria’s economic activities.
“There is need for collective action approach to the fight against corruption and promotion of integrity in Nigeria’s maritime sector,” he said
The ICPC boss said the challenges the commission met in 2012 at the port were decaying infrastructures, policy and regulatory challenges, overlapping functions, absence of synergy and duplication of roles among government agencies operating at the ports and others.
He said that ICPC intervened through sanitising the ports of corruption and corrupt elements by infusing ethics and integrity into port processes, mitigate negative impacts of lack of integrity on international trade and thereby promote Nigeria’s “ease of doing business” policy.
He said the ICPC was able to achieve this successful intervention mainly due to the reform-mindedness and zero-tolerance policy on corruption by government and its agencies at the ports.
“We are in full support of the BAAC Integrity Alliance which is aimed at multiplying the ranks of ambassadors for positive change and to further drive the practice of integrity in the sector.
“ICPC hereby joins all stakeholders in the maritime sector to declare that impunity is over and that we will be unrelenting to facilitate the promotion and strict enforcement of the harmonised SOPs, PSSP and NPPM,” he said.
Earlier, Mr Emmanuel Bosah, Programme Director, Integrity Organisation, noted that the integrity alliance was launched to support reforms by building a proactive voice to improve transparency, accountability and operations efficiency at the ports.
“The integrity alliance is meant to be an instrument that will bring together people from various backgrounds to achieve this mission, the task will not be easy so members will not only sign a code of conduct but also comply with it.
“The alliance will create a better opportunity for engagement with relevant port and regulatory authorities and establish a compliance process,” he said.
Those inaugurated were Alhaji Aminu Umar of Seatransport Ltd, as Chairman; Rev. Jonathan Nicole, President, Shippers Association Lagos State (SALS) as Vice Chairman; and Mr Francis Omotosho, Registrar, National Association of Government Approved Freight Forwarders (NAGAFF) Academy, as treasurer.

Port users and shipping agency companies are currently groaning over the recent increase of tariff on cargoes imported from across the world into Port Harcourt Port.

The group under the aegis of Shipping Trade Practitioners’ Association of Nigeria (STPAON) said that tariff at the terminal was recently reviewed from N8 million to N89 million.

Mr Babalola James, acting Spokesman of STPAON told newsmen in Port Harcourt on Sunday that the over 1,000 per cent increment had grounded economic activities at the port.

He gave the Port and Terminal Operators Nigeria Limited (PTOL) 48 hours window to revert to the old tariff which the company jettisoned on April 1.

“The Federal Government which gave concession rights to PTOL to manage the Port Harcourt port mandated the company to always engage port stakeholders on any policy change.

“But regrettable, PTOL went ahead and increased the rate on April 1 without following the stipulated Act that gave it the concession right.

“As an association, we are saying that PTOL does not have the legal right to increase tariff arbitrarily without engaging with port stakeholders.

At the meeting, James claimed that PTOL management agreed with stakeholders to inaugurate a standing joint committee to examine the new tariff increase.

According to him, the committee later resolved that PTOL revert back to status-quo on the new tariff as well as refund all excess payments already paid by some of STPAON members.

“The committee also resolved that PTOL should provide seamless port services devoid of delays in order to facilitate and actualise ease of doing business at the ports.

“Unfortunately, PTOL had refused to implement the agreement reached by the joint committee to ensure industrial harmony.

“STPAON hereby gives 48 hours ultimatum to PTOL to implement the agreement as agreed by the joint committee,” he said.

The STPAON spokesman said that failure by PTOL to implement the agreement would result in the association seeking redress in court.

James said the actions of PTOL had denied the Federal Government billions in lost revenue from port services.

“We call on the Minister of Transportation, Chibuike Amaechi, Executive Secretary of NSC, Hassan Bello, NPA, EFCC and DSS, among others to intervene on the matter,” he appealed.

On his part, the Patron STPAON, Kingsley Nwulu said the actions of PTOL had increased the financial burden on citizens and businesses at the Port Harcourt port.

He advised the company to operate within the limited price provided to them in the concession agreement.

“Even NPA itself runs the port on subsidised rate, so that any cargo that comes in the port Nigerians can afford to get those cargoes.

“This is why in the lease agreement, it was stated clearly that PTOL should communicate any tariff increase through writing to NPA and NSC to make recommendations,” he added.

By Loveth Okoli

The Nigerian Shippers’ Council (NSC) on Thursday urged stakeholders in the trade and transport sector to understand the rules of International Commercial Terms (INCOTERMS) 2020 to mitigate disputes and litigation.

The NSC Executive Secretary made the appeal at the INCOTERMS 2020 Stakeholders Workshop organised by the NSC in collaboration with the Nigeria International Chamber of Commerce (ICC) in Lagos.

According to him, adequate understanding of the rules will also go a long way in preventing  waste of time and resources.

He noted that the INCOTERMS rules were series of pre-defined commercial terms published by the ICC, with the purpose of providing a set of international rules for the interpretation of the most commonly used terms in trade.

Bello added that they were aimed at curtailing to a considerable degree, the disagreement and uncertainties emanating from the different interpretations of such trade terms in different countries.

He said: “The workshop is very important to create the required awareness for all our stakeholders in the trade and transport sector to have a full understanding of the workings and application of INCOTERMS 2020 and to be able to make appropriate choices on the rules in their trading transactions.

“The INCOTERMS 2020 clearly spells out the rules viz-a-viz delivery, risk and costs as applicable to the different modes of transport in domestic and international trade from seller to buyer.

“ It is very explicit on obligations and responsibilities of the parties in the contract, taking into account some common complexities that usually arise and has included security-related requirements within carriage obligations and costs.

“The Verified Gross Mass (VGM), a new development in maritime trade is also addressed and this has been adjudged to be an improvement from the previous version, INCOTERMS 2010.

“It is pertinent for every stakeholder in the trade and transport sector in Nigeria to be conversant with the INCOTERMS, because it does not only apply to international trade, but also very relevant in domestic trade.

“When there is adequate understanding of the rules, it will go a long way in mitigating trade disputes and litigation and its waste of time and resources.”

Bello said that understanding and right application of INCOTERMS 2020 was very important for the Nigerian stakeholders to play significant roles in the working of African Continental Free Trade Area (AFCFTA).

He said that with recent developments in the inland transportation of goods through the rehabilitation and expansion of the Nigerian railway network, there was need to be adequately prepared for the increase in trading activities that the development would bring to international trade.

In her remarks, Secretary General, ICC, Nigeria, Mrs Olubunmi Osuntuyi, said the workshop was to sensitise stakeholders on INCOTERMS 2020 as a number of traders had lost huge resources due to lack of knowledge of international procedures and conventions.

Osuntuyi urged the trading public to be sure of any contractual agreement before they append their signature to avoid putting their resources to risk.

“If they truly understand before appending their signature on such contract, they will look at it very critically so that they don’t put their resources to risk and they are sure that the essence of entering into that contractual agreement is achieved,” she said.

Also, Dr Obiora Madu, Chief Executive Officer, Multimix Group, said that as AfCFTA was on, the country needed to get its act together by what they do and also professionalise freight forwarding.

“INCOTERMS is like the pivot in international trade, if you are a freight forwarder, an importer or exporter, if we regulate international trade and you do not understand INCOTERMS you have not started and this why this is very crucial.

“It defines the responsibilities, the obligations of exporters, buyer and also the shipping company,” he said.

He also said that Nigeria was blessed and had a big role to play in international trade, and as biggest economy in Africa there was need to put its acts in order.

Moses Uwagbale

The Executive Secretary, Nigerian Shippers’ Council (NSC), Mr Hassan Bello, has urged users of the Nigerian Ports Authority (NPA) Electronic-call up system for trucks to give the system a chance.

Bello made the appeal while speaking with journalists on the sidelines of the meeting with executives and members of Barge Operators Association of Nigeria (BOAN) in Lagos.

“I am happy about the recently introduced e-call-up system for trucks by the NPA that is actually working.

“I call on observers, analysts and users to give it a chance; they should cooperate with the NPA by adopting the e-call-up system and see our roads cleared,” he said.

Bello noted that some people said they saw trucks everywhere, but they should understand that the day they failed to  see trucks in Apapa, then the country would be in trouble.

“Trucks must be there, what we want is orderliness in the port. Stakeholders need to know that the e-call-up system for trucks is working and will continue to work, and NPA is on top of the situation,” he said.

The shippers’ council boss said the issue of terminal operators and shipping companies not cooperating and aligning with the terms of agreement of the e-call-up system was an issue they were looking into.

On holding bays, he said that the council had met with some shipping companies and examined their facilities, assuring that this would be a continuous operation.

“What people do not understand is that there are always ships in ports operation and these are monumental ships that you see everyday.

“We know all the standards that we have set and they must be kept; substantial compliance with standards set up by the NSC, especially the maintenance of the holding bays, the dwell time of cargo and digitisation of these terminals.

“We are working everyday to ensure that with effective regulatory framework,  things will work,” he said.

Recall that the NPA e-call-up system called ‘Eto’ took effect on Feb. 27, aimed at finding a permanent solution to the problem of truck congestion around Apapa and its environs.

Moses Uwagbale

The Nigerian Shippers’ Council (NSC) on Friday rose from a meeting from where it called for the need to protect the capacity of indigenous barge operators.

The meeting was held with executives and members of Barge Operators Association of Nigeria (BOAN) in Lagos.

Mr Hassan Bello, Executive Secretary of NSC, said that to protect indigenous capacity of barge operation, it was important to look at proper regulation, the Cabotage Act, and see how the barge operators would fit into the act.

He noted that the operation was a specialised one with a lot of technical and economic operations, hence the need to structure and regulate to ensure smooth flow.

“Barge operations have come to stay, it is helpful to the economy, in the sense that we need to have multimodal approach that will be used to evacuate cargoes from the port.

“It is a good thing and with many good things comes with pains. When Nigeria Customs Service suspended the barge operations, I knew we were in trouble, we cannot afford not to operate the barge because its part of the architecture of the port.

“I am happy the barge operators are here today so that we can discuss the issue of security, safety, insurance, tariff on goods, minimum standards and others.

“Barge operations cannot be an all-comers affair and so the need for regulation. There is need to monitor entry and exit, to know when someone is not doing what they are supposed to do,” he said.

The NSC boss said that what was needed was good understanding, control and regulation, stressing the need for regulation to ensure sanity among barge operators.

“If you allow anybody to just come and operate, there will be big problem, nobody will make profit and so the need to structure the system to have standard.

“It is important we introduce sanity, order and regulation and this will include technical regulation because some barges are not technically sound, and the meeting will aid in bringing down the cost and ease of doing business,” he said.

The President of BOAN, Mr Edeme Kelikume, said that for the industry to succeed, there was need for a good structure, urging for Shippers’ Council’s intervention.

He also urged the NSC to look into charges by terminal operators, saying that there are huge variance, pricing, insurance bond, multiple taxation in the area of cabotage.

On the recent barge accident, he noted that a few measures had been put in place to forestall future occurrence, including limiting double stacking of containers.

“We are engaging with the Navy to monitor the flash points on the waterways, ensuring that all the captains are exposed to more training, working with the Nigerian Maritime Administration and Safety Agency and Nigerian Inland Waterways Authority to rectify the carbon usage on the waterways.

“The Nigerian Ports Authority should  also bring all operators together so as to eliminate quack that infiltrate the system,” he said.