The National Association of Government Approved Freight Forwarders (NAGAFF) has advised the Federal Ministry of
Finance and the Federal Ministry of Transportation to harmonise the the Council for Regulation of Freight Forwarding in Nigeria (CRFFN) Act and Customs & Excise Management Act (CEMA).
The Secretary-General of NAGAFF, Dr Arthur Igwilo, said in a letter sent to the Registrar of the CRRRFN on Friday in Lagos, that such harmony would improve Customs formalities and freight forwarding business in Nigeria.
According to Igwilo, the existing human element barriers to the extant law of CRFFN are, to an extent, unnecessary and a waste of time.
He said that the emergence of regulation and control of freight business which is predicated on individual person was capable of providing job opportunities to well over 20,000 young Nigerians to earn a living, than choking them up with Customs license.
“The opinion of NAGAFF is that the Registrar of CRFFN and the Minister of Transportation have the duty to protect CRFFN Act to achieve its
objectives.
“To us, the need to constitute a proper Governing Council cannot be over emphasised because it is the duty of the Council to give direction to
the proper management and administration of CRFFN.
“ This document is being endorsed and forwarded to the Minister of Transportation as a working document with emphasis on Section 5 of CRFFN Act.
“ We expect the minister to give direction and character of the Council to achieve its objectives.
“We also want to use this opportunity to address the Registrar of the CRFFN with respect to the issue of access into the ports by January 2017.
“Except otherwise to the contrary, the implementation of ISPS Code is most desirable under the circumstance on matters of security,’’ the NAGAFF secretary-general said.
He said that the need to screen those that entered into the nation’s ports should not be overemphasised.
“NAGAFF completely agrees with the minister of transportation that access into the ports must be restricted.
“However the implementation of such policy should be done in a manner wherein those who have genuine business to do must not be hampered.
“Accordingly, it is our advice that freight forwarders whose names are in the register of freight forwarders of Nigeria should be accredited to enter
the ports to do their legitimate businesses.
“ The onus is that of the Council to compile the Register of Freight Forwarders and handover to the authority for implementation,’’ Igwilo said.
He said that the advice was in line with Standard Operating Condition of CRFFN which had been signed into effect.
According to him, the interest of the Nigeria Customs Service is basically to collect Government revenue, suppression of smuggling and provision of trade statistics for budgetary matters.
NAGAFF is not aware that Nigeria Customs Service is interested on who enters the port or not because the security of the port is domiciled under Nigerian Ports Authority under the supervision of Transportation Ministry. Operationally the Commissioner under the supervision of AIG Maritime come to mind.
He urged the minster of transportation to take appropriate steps in consultation with experts and the management of Nigerian Shippers’ Council, who mid-wife the Council from the beginning to ensure that an inclusive Governing Council membership is established.
“Let it be on record that freight forwarders are the arteries of the ports and
everything possible should be done to reform them; otherwise the port
reforms may appear like a waste of time.
“The CRFFN is charged with the responsibility, amongst others, of determining the standards of knowledge and skill to be attained by persons
seeking to be registered members of freight forwarders of Nigeria in accordance with the provisions of the CRFFN Act and related formalities.
“The point herein canvassed is to state that it is an individual rather than corporate body who is principally the freight forwarder because
he or she can read and write, see, hear, act and undergo professional qualification examination as approved and certified by the Council.
“The powers of CRFFN to make rules in relation to freight forwarding practice as contained under Section 25 is very specific aside from other
relevant Sections 4, 11, 13, 15 and 17 in that regard,’’ he said.
According to him, from every indication, the CRFFN Act, as a new law in freight forwarding practice in Nigeria, overrides the position of CEMA in the business of freight forwarding.
“Because it is clearly stated that you cannot be a licensed customs agent either as corporate, firm or individual, without first being
accorded recognition or duly registered by the Council.
“In other words, a freight forwarder is a person or corporate, whose name is found in the register of freight forwarders of Nigeria to undertake logistics services and Customs formalities thereto, ‘’ Igwilo said.
He described a freight forwarder “as an individual person who could act on his behalf and or corporate body of freight forwarding company duly registered by CRFFN’’.
“For the avoidance of doubt, a freight forwarder may not necessarily own a Customs license because a licensed Customs agent is a secondary
freight forwarder in the logistics chain.
“It is the opinion of NAGAFF and a point of law that under the CRFFN Act, the relevance or otherwise of any other legislation in relation to freight forwarding practice is a mere administrative procedure, other than regulation and control of freight practitioners in Nigeria, ‘’ Igwilo said.
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