Findings by Shipping Position Daily have revealed that the Nigerian Shippers’ Council (NSC) successfully handled a total of 149 complaints in 2024, leading to total savings of over ₦526 billion.
According to industry stakeholders, the council’s interventions in resolving various disputes within the maritime sector have significantly reduced financial losses.
According to an analysis of stakeholders’ complaints handled in 2024, which was exclusively made available to our correspondent by the NSC Head of Complaints Unit, Dr Bashir Ambi last week, the Council saved a total of ₦121,105,335 in Q1, ₦1,473,979,000 in Q2.
Additionally, the council recovered ₦525,494,766,763 in the last quarter of the year, further reinforcing its role as a crucial mediator in the shipping and trade matters.
Despite the increase in complaints compared to previous years, the interventions of the NSC’s Complaints Unit led to a higher amount of recovered funds.
For example, in 2024, a total of ₦362.78 million and $40,217.85 were saved, compared to ₦349.29 million and $35,058.02 in 2023. This represents a ₦13.49 million and $5,159.83 increase in funds recovered through dispute resolution efforts.
The complaints addressed by the NSC during the year came from a variety of stakeholders in the shipping industry. In the first two quarters, a total of 75 complaints were recorded, while in the last quarter alone, 74 complaints were handled, highlighting the Council’s active role in dispute resolution.
The nature of complaints varied widely, with billing charges and refund issues emerging as the most prevalent, accounting for 45% of total cases in the last quarter. Other major complaints included trade disputes and fraud, legal and contractual issues, cargo damage and liability, service quality issues, and cargo loss or misplacement.
Data obtained by Shipping Position Daily from the reports also indicate that the majority of complaints were filed against shipping companies, which accounted for 71% of complaints in the last quarter alone. Terminal operators, shippers (importers/exporters), logistics service providers, government regulators, and port operators were also among the entities complained against.
For example, the NSC resolved a complaint of short shipment and manifest amendment between Maersk Nigeria Ltd. And J. M Goma International Limited. The dispute started when J. M. Goma International Limited situated at 39, Goma Yard, Lagos -Kano Road, Kontagora, Niger State engaged the Carrier for shipment of 21 units of export containers of soya beans from Lagos to India, but Maersk shipped 20 units and mistakenly left one container in Nigeria.
However, it took Maersk Nigeria over two months to effect manifest amendment to reflect an Import General Manifest (IGM) of 20x20ft dry containers instead of the originally stated 21 containers which led to the loss of value the cargo due to depreciation of quality. It was also established that the importer almost rejected the cargo until J. M. Goma offered 50% discount on the initial agreed price.
A tripartite meeting organized by the Council, and headed by the Chairman and Head, Complaints Unit, Dr. Bashir Ambi Mohammed resolved that Maersk Nigeria to confirm payment of detention charges of $1,833 from Maersk India on the last exported 1X40ft unit number MRSU4012304 as well as Maersk Nigeria refunded the Complainant the sum of $14,585.00 being the amount paid as demurrage and storage charges at destination port in India.
Speaking with our correspondent last week, a chieftain of Shippers Association Lagos State (SALS); Nicodemus Odolo expressed strong support for the Shippers Council’s recent initiatives, noting that the council has actively addressed some of the challenges faced by shippers. He acknowledged that while detailed data is not available, the council’s efforts particularly its actions against unlawful free charges appear to have generated savings for shippers.
On his part, the National Secretary of the Association of Registered Freight Forwarders of Nigeria (AREFFN), Mr. Frank Obiekezie provided a contrasting perspective on the council’s interventions. Speaking from his experience in the freight forwarding sector, he noted that despite any potential savings possibly in the form of reduced demurrage costs, he has not observed any significant changes in the business dynamics between shipping companies and freight forwarders.
Obiekezie elaborated that while shippers might be reaping some relief, the benefits do not appear to extend to freight forwarders, whose operations have remained largely unaffected.