The Federal Ministry of Transportation Committee on National Fleet said on Wednesday said it was working toward promoting a sustainable merchant shipping and private sector-driven national fleet in Nigeria.
The Chairman of the committee, Mr Hassan Bello, stated this in an interview in Lagos.
Bello said that so far, the committee had been having discussions with many companies with the aim of looking at the best way of promoting a private sector- driven national fleet.
He said that the committees had been divided into sub-committees, adding that some were working toward providing a Memorandum of Understanding (MoU), between the Federal Government, Pacific International Line (PIL), shipping lines and indigenous shipping companies.
“ Pacific International Line will own 40 per cent of the joint venture while Nigerian private sector will own 60 per cent of the venture.
“The methodology and the process will be rolled out soon. Presently there are lots of proposals we are also considering because the whole segment is for us to have both regional and international shipping.
“The sub-committees are to implement the previous report presented by the
former Chief Inspector of Ships, Mr Olu Akinsoji, to enable us to promote private sector-driven Nigerian Fleet.
“It will be rewarding to have Nigerians own operating ships because of the boost it would add to our economy”, he said.
He added that right now, “Nigerians does not have any ship trading internationally.’’
Bello said that all the ships trading in Nigerian territorial waters were foreign ships.
He described Nigeria as a big country with a bigger trading base, adding that Nigeria could not promote its trade without having
ships.
Bello said that there was need for Nigeria to have ships because “he who owns the means of transport would dictate the trade’’.
Bello, who is also the Executive Secretary of the Nigerian Shippers’ Council (NSC), said that earnings from the freight would boost the economy of the country.
He said that the committee had drawn an outline for both PIL and Nigerian shipping companies, which would assist banks in financing the project.
Bello said that re-establishment of the national fleet was purely for business transaction, adding that it was not a share of the national
cake.
“The establishment of the national fleet will look into profitability, return on investments, re-payment of loans; and will also look at sustainability of the venture.
“The committee will advise on what concession the government will give in ensuring long contract and cargoes for the ships.
“There is already a law in NIMASA Act, (Nigerian Maritime Administration and Safety Agency), which says the minister can confirm the status of the national carrier on a shipping line that flies Nigerian flag.
According to him, “there will be involvement of Nigerian banks and insurance companies.
Seafarers will be able to have their sea time training on-board the ships”. He said that for now, Nigeria would look into other concession such as some tax holidays, berthing priorities and some other incentives which were appropriate.
Bello said that the committee would ensure that the sustainability of shipping companies would depend on other sectors like ships building.
He said that ships being used for the national fleet would be repaired in Nigeria and dry docked in Nigeria.
Bello, however, said that NIMASA and the Nigerian Ports Authority (NPA), being the core members of the committee, would use their institutions in ensuring sustainability of the national fleet project.
The Minister of Transportation, Mr Rotimi Amaechi, at a two-day stakeholders’ conference on maritime industry in May in Lagos stressed the need to reposition the maritime industry.
He expressed concern that Nigeria did not have a national career since the collapse of the Nigerian National Shipping Line (NNSL).
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