By Joshua Yousouph
Registrar of the Council for the Regulation of Freight Forwarding in Nigeria (CRFFN); Mr Kingsley Igwe has disclosed plans to overhaul the Practitioners Operations Fee (POF) collection process, unveiling plans to expand revenue streams by charging fees on containers, liquid cargo, and on-road logistics services.
Speaking during a working visit to the National Association of Government Approved Freight Forwarders (NAGAFF), Kingsley Igwe elucidated on the challenges faced in the collection of POF and revenue generation, adding that the major issues the Council is facing is connected to the service delivery of the third-party collection consultants responsible for collection of the POF on its behalf.
Having assumed office less than four months ago, Igwe acknowledged the bureaucratic friction affecting the smooth collection of the POF, emphasizing that all reported issues have been meticulously documented since January.
Despite technical challenges particularly with service provider updates on the collection platform, Mr Igwe assured stakeholders that a recent management meeting has paved the way for imminent improvements. “I believe that going forward, after now, there is going to be improvement in the transaction with POF,” he stated.
Beyond refining POF procedures, Igwe revealed plans to expand CRFFN’s revenue sources beyond traditional port levies. He informed that in collaboration with the Federal Ministry of Marine and Blue Economy, he has submitted policy documents aimed at integrating new clauses to address freight forwarding practices where the council will not only generate revenue from POF, but also extend to containers, conventional cargo, liquid cargo and even dispatch riders on the road providing logistic services.
The CRFFN Registrar stressed the need to bring under regulation sectors that have traditionally operated outside CRFFN’s remit, including haulage operators and various courier and ridership services currently licensed by the Nigerian Postal Service (NIPOST).
While soliciting for the support of industry stakeholders to push for reforms that will enhance professionalism and reduce arbitrary charges, Mr Igwe assured that the promised ‘declarant fee’ for all compliant freight forwarding associations and companies, as well as members will be adequately disbursed as at when due.
“We are solving the problem with the consultants responsible for collection of this POF on our behalf. When there is bureaucracy, there is always friction. The flow is not smooth. That is what we are experiencing now. If you ask my management, I am taking the issues, the cases on a daily basis. I am recording each of the issues you call. You bring our attention to it. They are being recorded and noted.
“Now, as it is, the service provider has a little challenge as to the updates on the platform. As we speak, they just finished the management meeting; that was a few days ago. I believe that going forward, after now, there is going to be improvement in the transaction with POF. Then, by extension, eligible members will get their declarant fee.
“On improving our revenue, not just POF, we don’t need to depend on POF alone. Parts of the policy document that I submitted captured a need for CRFFN to be expanded in terms of their revenue reach. It is not only at the port that CRFFN should actually collect fees on containers, on conventional cargo, or even on liquid cargo, and all of that. The bike rider on the road is performing logistic services and CRFFN should be able to generate revenue from their services, even though they are being licensed by NIPOST at the moment.
“Apart from that, even the haulage operators who do not recognize that CRFFN should regulate them today, we have moved that they need to come under CRFFN. All of this and more are avenues for revenue generation for us. And we are expanding that. And by the special grace of God, with your cooperation, because I do know that what I have said now, most of you also do such business either haulage services or others. Some of you even have your own courier services, ridership services, and all of that. They need to come on board”, Igwe stated.