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Home » Port Operators Disagree On 48-Hour Cargo Clearance

Port Operators Disagree On 48-Hour Cargo Clearance

by Joshua
May 16, 2014
in Uncategorized

Critical stakeholders in Nigerian import and export business have called on the Federal Government to develop port infrastructures; rail networks, good roads and truck transit parks around the country in order to ensure that goods are cleared out of the ports in 48hours.

Some of the stakeholders however doubted the workability of the 48hour scheme, even as they called on government to redirect the focus of the Nigerian Customs Service from being a revenue oriented agency to being a trade facilitator.

Critical stakeholders in Nigerian import and export business have called on the Federal Government to develop port infrastructures; rail networks, good roads and truck transit parks around the country in order to ensure that goods are cleared out of the ports in 48hours.

Some of the stakeholders however doubted the workability of the 48hour scheme, even as they called on government to redirect the focus of the Nigerian Customs Service from being a revenue oriented agency to being a trade facilitator.

In addition to this, they also called for an investigation into activities of Nigerian shipping companies, especially on shipping manifests.

This was some of the views expressed at a one day national discourse on "48 Hour Cargo Clearance Target At Nigerian Ports organized by the Nigerian Shippers Council as part of its efforts to find lasting solution to challenges of cargo clearance.

Leading the opposition party, Pioneer Chairman of the Council for the Regulation of Freight Forwarding in Nigeria (CRFFN) Mr. Tony Nwabunike posited that forty eight hour cargo clearance in Nigerian context is not achievable because the roads are not suitable for tankers and trucks to move on and that the customs Pre-arrival Assessment Report (PAAR) by the customs has not worked.

"With due respect, let's not deceive ourselves, we cannot achieve it, first of all, the government is not helping, concessionaires are just there to make money and take it abroad. On the risk assessment report (PAAR) the banks are not transmitting straight to the customs and PAAR is not viable"

Nwabunike who represented National President of ANLCA, Prince Olayiwola Shittu, did not however absolve freight forwarders of blames, he said that as chairman of CRFFN, he realized that 95% of clearing agents were not ready to go through training and that 80% of them cannot use ICT.

On his part, National President, National Council of Managing Directors of License Customs Agents (NCMDLCA) Mr. Lucky Amiwero also said that the actualization of forty eight hours is a mirage because the access roads to ports within the western area is totally blocked.

"You spend five hours accessing the port and this is a minus, the single window scheme is not yet in operation, else, why do you clear cargoes from the port and the FOU stops it on the road, those are contradiction to international principles, people have abandoned their cargoes because there is no procedures"

The Governor of the Central Bank of Nigeria Governor who was represented by Mr. Olu Vincent on his part argued that the forty eight hours clearance is achievable only if the ports can be fully automated.

According to the him, "Without IT we cannot do 48hours clearance, it is realistic, but importers and agents must be literate, you cannot run away from technology"

President of National Association of Government Approved Freight Forwarders (NAGAFF) Chief Eugene Nweke lamented the inefficiency on the part of the terminal operators, especially as regards dropping of containers for examination. He said that customs should be made to facilitate trade instead of generating revenues.

Speaking for the Manufacturers Association of Nigeria (MAN) Mr. John Aluya, reiterated the need for infrastructure development as solution to port challenges. He said that there are conflicting documents emanating from the government through the Nigerian customs which has led to huge demurrage for MAN members.

"Customs are no longer interested in trade facilitation, it is only in Nigeria that revenue becomes a target, they left their primary role and embraced the secondary" Aluya said.

Executive Secretary of the Nigerian Shippers Council, Barrister Hassan Bello said that the 48hour target for the clearance of goods was a benchmark established by government in order to bring Nigeria at par with other emerging economies.

He however said that nobody can be absolved of the blames in the port system as a result of the failure of the 48hour clearance system.

Bello said that factors militating against the attainment of 48hours clearance can be summarized under cumbersome documentation procedures and unnecessary long inspection process.

"Everybody's activities impact on the inability to achieve 48hour clearance target in one way or the other, whether we are shipping companies, ports and terminal operators, regulatory agencies, freight forwarders, shippers and even the government through policies"

He charged all service providers to increase their efficiency in service delivery in order to promote Nigeria's international trade and transform the nation’s economy.

According to the Shippers Council boss, the desire of government to sanitize our ports and develop them into hubs for the West and Central African sub-region can only be achieved when the port become efficient and competitive.

Board Chairman of the Council, Lieutenant General Salisu Ibrahim (rtd) said that for an emerging economy like Nigeria, the 48 hour clearance time should be the minimum and not just an aspiration.


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