Clearing agents and freight forwarders operating at the Lillypond Container Terminal at Ijora Lagos, has given 30 days ultimatum to the terminal operator to ensure that vessels are stemmed to the terminal or else industrial actions would be taken and the terminal would be shut down.
The clearing agents under the aegis of 'The Initiatives' comprises of three associations namely; Association of Nigeria Licensed Customs Agents (ANLCA) the National Association of Government Approved Freight Forwarders (NAGAFF) and the National Council of Managing Directors of Licensed Customs Agents (NCMDLCA)
At a stakeholders’ meeting conveyed by the Area Controller of Tin Can 2 Command of Customs at Lillypond Terminal, Controller Mahmud Dalhat, the agents alleged that the terminal operator; Lillypond Container Terminal was not doing enough to ensure that containers are stemmed to the bonded terminal.
Shipping Position Daily recalls that Lillypond Terminal has been without major activities in the past three years. In its efforts to see that vessels are stemmed to the command, the customs had changed the commands name from Lillypond Command to Tin Can 2 Command all in an effort to bring life to the command.
A speech read at the meeting yesterday by Chairman of NAGAFF at the terminal, Mr. Chinese John Okoye who is vice chairman of the Initiative and signed by ANLCA Chairman, Mr. Olufemi Olabanji, Chairman of the Initiative, the group threatened that, "the initiatives has already taken a stand that if nothing positive, including vessel stemming; to this command within next 30 days effective today 10th May, 2017, we will take a drastic union action that may not be in the best interest of the terminal operators and their allies, enough is enough".
In his response however, Terminal Manager of Lillypond Container Terminal, Mr. Kayode Daniels said Lillypond Terminal has been the highest beneficiary when it comes to stemming of containers in Lagos.
According to him, from inception, Lillypond has handled the highest number of containers that comes out of Apapa port. "The records are there, you can go to the CAC office and check the boards, we have handled over 45, 000, 30, 000 containers in one year"
"We have been trying and we would continue to try and make the terminal viable for everyone"
He also said that concessionaires are now making better utilisation of the spaces concessioned to them and this has reduced the number of containers stemmed out to bonded terminals including Lillypond.
According to him, there are over 25 bonded terminals in Lagos alone and presently only five of them are in operation. He said there is a huge change in the market, the terminals have expanded, they are now bigger, they can handle more containers now, and the urge to stem out containers is no longer there like before.
He reiterated that the volume of trade into Nigeria has dropped significantly, and importers can no longer fund transactions as they used to do because the funds are no longer there, considering the rate of the dollar to Naira.
"Bonded terminals are now surviving through TDL which means that you consign your cargo to a named location, in customs systems it is known as transit cargoes, the vessel will discharge at the port and this is where the manifest ends. The manifest you will now bring it through the terminal is manual, therefore 'in transit' clause must be specified from origin before you can now move the container to bonded terminal"
Daniels explained that what most bonded terminals do now is to be put on the manifest as notified party, they are the ones that clear the cargo as terminal operator and as an agent, he insisted that Lillypond Terminal does not clear cargoes.
He also lamented that the bad roads from Apapa port to Lillypond Terminal has deteriorated and this has led to delays in transferring containers from APM Terminals in Apapa to Lillypond.
He assured that measures have been put in place in partnership with other government agencies to ensure that containers are given speedy passage through the dilapidated Apapa roads.
In order to further convince the agents, Daniels explained that it is the shipping lines that transmit cargo manifests and not the terminal operators.
On his part, Customs Area Controller of Tin Can 2 Command, Controller Mahmud Dalhat, charged the clearing agents to go back to the drawing board and engage terminal operators in constant dialogue.
He warned the agents not to be consumed by sentiments as the customs, also serving as security agents would not allow a breakdown of law and order at the Lillypond terminal.
According to him, "if truly other terminals are booming, then why is it that only you people in Lillypond are not getting cargoes? Are you the ones at fault? Do you understand the policies of government or going on your personal interests? unless you do this I doubt if there would be any sensible issues"
He also charged the agents to constantly engage the terminal operators, put in place a functional secretariat and document whatever they are doing and all interactions they are having with the terminal operators.
He informed that the government of President Muhammadu Buhari through the Ease of Doing Business Committee has dismantled so many seats of customs at various commands. He said that so many requirements are no longer a requirement for cargo clearance.
"We have been directed to resuscitate the Customs Consultative Forum to engender a robust interaction between customs and other stakeholders"
"There would be constant interactions with the terminal operators to address challenges. If there is any problem whatsoever, you are free to take it to the Customs Consultative Committee and it would be addressed or we pass it to the headquarters in Abuja" Dalhat assured.
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