History As Nigerian Ship Owners Receive 40 Ships From Greece

Nigerian ship owners and their Greece counterparts yesterday signed a historic agreement on the supply of 40 ships into the Nigerian Cabotage system at an impressive ceremony that was witnessed by distinguished Nigerian and Greece personalities.
A Memorandum of Understanding (MoU) was also signed between the Nigeria Ship owners Association (NISA) and their Greece counterparts.
The event which had in attendance the Nigerian Ambassador to Greece, Ambassador Lawrence Ayodele Ayodeji, Permanent Secretary Federal Ministry of Transport, Alhaji Mohammed Bashir and the Director General of the Nigeria Maritime Administration and Safety Agency (NIMASA), Dr Ziakede Akpobolokemi, was also witnessed by many members of NISA.
Two NISA members (Capt Lawrence Akinplelumi, and Eze Collins Egwuatu) joined the association’s President; Capt Dada Labinjo to sign on behalf of the association, three Greece ship owners: Constantine Kokkos, Panagiotis, Papandopoulus and Dimitris Nomikos also signed on behalf of their countries ship owners.
Speaking on the historic MoU, the President of NISA, Capt Labinjo said that the essence of the partnership between Nigerian and Greece shipowners is to create jobs for Nigerians.
Labinjo said that the ships, which will be of various classes and tonnage, would eventually belong to the indigenous ship owners within two years.
“We have signed the agreement between us and Greeks and Nigeria will acquire the 40 ships in not less than 24 months.
“NISA is providing a platform for younger and unborn generations and I wish the ships will be growing from 40 to 60 and to 100.
"A total of 600 vessels are operating on oil and gas; and only 10 per cent belongs to Nigerians as at 2015,’’ Labinjo said.
Labinjo said that one of the major challenges inhibiting the Cabotage regime is government’s lack of political will to fully implement it, pointing out that the waiver clause has been abused.

He said in countries where Cabotage is practiced, there is a price to pay, describing it as tonnage in line with the job to be done.

"Whenever a country introduces Cabotage, it wants to secure the domestic trade and there is nobody in the world except for Nigerians that will allow its domestic trade by foreigners as we have done in the last 12 years and that is why today it is quite pathetic.”
Speaking further, the NISA President added that the new dispensation under the Buhari-led administration is about blocking revenue leakages and if the cabotage is well enforced, it will bring wealth for the Nigerian maritime industry and economy a whole.
He said that the Nigerian maritime laws are excellent enough to discourage foreign participation in the cabotage regime, adding that implementing the policies should be a pivotal objective of an agency like NIMASA.
He added that the Cabotage Act is a clear provision that Nigerians alone are supposed to perform domestic trade in Nigerian waters. He added that Nigeria can indeed generate N3 to N7 trillion from the maritime sector.
The NISA boss also urged the federal government to protect domestic operators adding that this is necessary for cabotage trade to thrive in Nigeria.
"Nigeria can make a disposable income of three to seven trillion naira annually from maritime, even the oil and gas sector does not make that much when compared", he said.

He maintained that the maritime sector can substitute the oil and gas sector by providing over five million jobs, stressing further that people compare wrongly what maritime generate against the aviation sector.
He disclosed that the aviation industry contribute N21 billion to the coffer of the government while the maritime industry contributes a minimum of N3 trillion.
Also speaking, Permanent Secretary of the Federal Ministry of Transport, Alhaji Mohammed Bashir said that Nigerian ship owners are gradually coming of age and that government will not relent in its effort to encourage the success of the Cabotage Act , through enforcement.
He said President Buhari had constituted a National Economic Council which had put NIMASA and Nigerian Ports Authority on the front line of Nigerian business.
“This shows that a new dawn has just come in the industry.
“Government will pay more attention to the maritime industry.
“Past governments had been able to put in place polices and law in spite of hardship experienced by the maritime operators”, he added.
" This event has shown that NISA is coming of age by coming up with Cabotage Vessel Financing Fund (CVFF) to enable ship owners to have access to fund to flourish in their business,’’ Bashar said.
Bashir noted that the federal government appreciates the role of Access Bank Plc in the partnership between Nigerian ship owners and their foreign counterparts, urging other banking institutions to key into the business.

He added that such partnership will boost maritime trade in the country, even as he acknowledged that things have not been rosy for ship owners in time past.

On his part, Executive Director, Labour and Cabotage Service of NIMASA Barrister Callistus Nwabueze who represented the DG of NIMASA refuted claims of the agency’s involvement in the issuance of 5,238 waivers.
Nwabueze noted that, "anybody who seeks to do cabotage business in Nigeria must submit itself to the statutory regulatory powers of NIMASA.
He also called on NISA members to embrace peace among its members urging them to interface with NIMASA on issues bothering on cabotage rather than take laws into their hands.
Speaking on behalf of the Greek ship owners, leader of the Greece delegation; Mr. Constantine Kokkos called on both parties involved in the partnership to cooperate in order to meet the dynamism of maritime and shipping business.
He said, "Greece is a country that always loves to cooperate with people of Nigeria, most especially as it affect shipping.”
Kokkos said that "this is one of our tasks and I believe that Nigerians maritime sector is important for the economy and we have to cooperate".
“We will start with building shipyard and government will assist because we have to create jobs for Nigerians.
“We are going to establish a college where we will train Nigerians," Kokkos said.
Also speaking, the Nigerian Ambassador to Greece; Ambassador Lawrence Ayodele Ayodeji, said the partnership between Nigerian ship owners and their Greece counterparts will further boost the relationship between both countries in the area of international trade.

He said Greece economy is strong in maritime activities and that the MoU that has been entered into by both countries will bring about economic growth for them.