Despite the havoc on the world economy by the coronavirus pandemic, coupled with difficult business environment experienced last year and uncertainties still surrounding the second wave of the COVID-19, operators in the maritime industry are optimistic that a friendly environment will come on stream this year. Consequently, they expect the industry to record significant growth in 2021. OLUWAKEMI DAUDA reports.
AS we enter into the new year, stakeholders’ in the maritime industry, who spoke with The Nation in separate interviews, have outlined their expectations from the government, even as they expressed hope for a friendly business environment this year.
They want the Federal Government to invest heavily in the sector so that it would be able to contribute significantly to the Gross Domestic Product (GDP), assist in the diversification of the economy, generate employment and boost revenue.
Removal of the perennial gridlock
The stakeholders’ were unanimous in their position that the government must find a lasting solution to the perennial gridlock in Apapa, address the problem associated with the cost of cargo clearance at the port and provision of modern scanners to reduce the cargo dwell time.
The Nigerian Ports Authority (NPA) former President, Association of Nigerian Licensed Customs Agents (ANLCA), Prince Olayiwola Shittu, said the government must come up with plans that would make the ports outside Lagos attractive for business and see to the quick development and completion of some of the on going Deep Sea port projects in the country.
“For the Nigerian Ports Authority, NPA, we want to see them coming out stronger to ensure that some of the Deep Sea projects are completed this year so that Shippers can benefit from the economy of scale.
“NPA must also ensure that empty containers are taken to the holding bays by the shipping companies to free the port access roads. They should ensure that the Apapa-Oshodi Expressway and other port access roads are fixed to eliminate the gridlock and reduce the high cost the importers are paying to truck drivers to move their containers out of the port.
Shittu also charged NPA to collaborate with stakeholders’and the security operatives to ensure that there was adequate security within and around the ports.
The President, National Council of Managing Directors of Licensed Customs Agents, Lucky Amiwero, said the industry witnessed significant downturn in the last six years as a result of government neglect.
Amiwero said if the sector must grow to attain its full potential, the government must do more than pay lip service to the challenges facing it.
He said, “The maritime sector was flogged for the past five years and since then, we have been experiencing downturn because not much have been invested in the sector even though we are second in terms of revenue. The gridlock problem, cost of cargo clearance at the port, lack of scanners have persisted for too long because government has not been serious about trying to find solution to the problem in Apapa. It is not just about repairing the road; the gridlock is about looking at how we need to take care of the port and plan outside the Lagos ports.
“These are issues the government needs to look into and see how they will intervene and address the situation because the more we continue to lose out in the maritime space, the more we continue to lose employment. The industry has lost close to 60 percent of the work force and it is going to lose more if government is not serious about anything.
“What we are doing is allowing other countries benefit from our own throughputs. The government should set up a committee to look at the reforms. You don’t bring politicians to come and rule the port, we need experts to look at the port sector and reform it. Once you don’t put experts into things, there is no way you can get it.”
Automation of clearing processes
On his part, a maritime lawyer, Mr Oluwaseyi Muhammed, said if improvement and development must be achieved this year, there is need for Customs to review its process of cargo clearance, which he said gives too much room for discretionary powers by officers and has made Lagos ports the most expensive to do business in the sub-region.
The lawyer stressed the need for the government to invest in infrastructure and use of automation for quick clearance of cargo to boost revenue.
“We need to automate port processes and review the processes of cargo clearance. The current processes are very frustrating to importers. We have too many discretionary powers, which are also creating room for corruption, so we need to streamline the processes because they are making cargo clearance at the ports especially Lagos ports very costly and it is a nightmare for many importers particularly those that are connected to the corridor of power,” he said.
National single window:
A Single Window is an organic mixture of the collaborative efforts of parties involved in a nation’s international trade activities. It uses the latest information communications technology (ICT) techniques, international data and messaging standards together with simplified, harmonised and remodelled information systems for data exchange to replace traditional paper-based information
The Nigerian Ports Authority (NPA) Managing Director, Ms Hadiza Bala Usman, told reporters last year that government agencies, terminal operators and stakeholders must key into the government’s initiative of promoting the SW platform to meet the 48-hour cargo clearance deadline.
The NPA, she said, has embarked on the establishment of a SW through an intense automation and introduction of Standard Operating Procedures (SOPs).
“The adoption of a national SW platform will strengthen the port industry by boosting efficiency and reduce cost and time, which are the major objectives of port concession agreement signed by private terminal operators,” she said, adding that the SW has been used by many countries to facilitate trade at ports.
