The Nigerian Maritime Administration and Safety Agency (NIMASA) has lamented how 95 percent of Nigeria's income is earned by foreigners due to foreign domination in the shipping subsector of the Nigerian maritime sector.
The Director General (DG) of the agency, Dr. Peterside Dakuku said this yesterday in Lagos at a one day seminar with the theme: Local Content Development in Shipping, Oil and Gas Logistics Operations in Nigeria, organised by Maritime Reporters Association of Nigeria (MARAN).
Dakuku who was represented at the event by Mrs Hannah Akpa said that Nigeria, ranking seventh largest oil producer in the world is the only oil producing country that does not carry a drop of its crude.
According to Dakuku, 95 percent of the income from the over annual throughput of 150 million metric tons with freight earnings in excess of $5billion in her international trade transactions, goes to foreigners.
He said, "Industry statistics shows that the country generates an estimated annual cargo throughput of 150 million metric tons with freight earnings in excess of $5billion in her international trade transactions.
"95 percent of this income is earned by foreigners, with the job deprivation to the country that goes with it.
"The same dominance by foreigners is also extended to the domestic shipping market where the estimated $3 billion annual marine related spending in the oil and gas production activities is virtually earned by foreigners."
He further stated that in situation of much activities and money, little impact is paid to the lives of Nigerians which in turn accounts for high level of frustration and restiveness in the country, especially in the Niger Delta region.
In tackling the anomaly, Dakuju said the Cabotage law which was enacted in 2003 came into operation in April, 2004, saying the law was created to ensure that vessels are Nigerian- owned, built, manned and registered in Nigeria for self-sufficiency.
The terms according to him, were meant to be in absolute terms even as he said that the policy direction of the indigenous capacities were to be optimum at the inception of the law.
Citing reasons for the failure of the policy, the head of the apex maritime regulatory agency said, "however, due to the fact that the indigenous capacities were not adequate, the concept of waivers was introduced to allow for a gradual build-up of indigenous capacities and also to avoid destabilising the smooth running of the Nigerian oil and gas sector which is the target market of the Cabotage law.
"Balancing the act of implementing the Cabotage law and not destabilising the smooth running of the oil and gas sector has not been easy, but with the enactment of the Local Content policy in the oil and gas industry, NIMASA was presented with a verifiable tool to leverage on to effectively implement the Cabotage law in order to boost the indigenous maritime capacity," he stated.
In his goodwill message, the Governor of Edo State, Mr Godwin Obaseki, who was represented by the President, Waterways Oil and Gas Association, Capt. Tony Vevakpor, stressed the need for development of the Gelegele Port, saying that it will go a long way in decongesting the Apapa port.
Vevakpor said that dredging of the port is ongoing as well as construction of modular refineries to decongest Lagos ports.
In his welcome address, the President of MARAN, Mr Anya Njoku, said that shipping operations in Nigeria were problematic in view of the complexities associated with operations in shipping, oil and gas operational logistics.
According to him, it is important for Nigerians to take over operations in these sub-sectors to make gains as these sector were lucrative if properly administered.
"By so doing, we demand that speakers should deliver pratical and achievable experience as this will land us half way to the moon, since there is no end to knowledge," he said.
Njoku urged members of the armed forces including Navy, Army, Police and Customs, to work in line with the constitutional provisions and the standard set by the International Maritime Organisation (IMO) as well as other international agencies.
"Customs should also work with institutions that have enacted conventions and regulations on how to conduct smooth commercial shipping and operatoonal logistics and ensuring good conducts in all ramifications to achieve the set goal in the sub-sector," Njoku said.
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