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Home » NAGAFF Appeals to FG Over Persistent Server Failures, Claims N193 Million Daily Losses

NAGAFF Appeals to FG Over Persistent Server Failures, Claims N193 Million Daily Losses

By Joshua Yousouph

by Joshua
May 13, 2024
in Featured, News

 

The National Association of Government Approved Freight Forwarders (NAGAFF) has reached out to the Federal Government, urging immediate action against persistent server failures of Web Fontaine; the IT firm responsible for managing the Nigeria Customs Service’s (NCS) automation system.

The system’s frequent breakdowns have reportedly caused significant disruptions in trade operations and led substantial financial losses.

According to a formal complaint from the association and signed by the National Coordinator of the 100 Percent Compliance Committee of NAGAFF, Alhaji Tanko Ibrahim, which was addressed to the Minister of Finance; Mr Wale Edun detailed the severe impact of the ongoing technical issues, highlighting the urgency of the situation

According to Tanko, the Customs’ server failures have trapped approximately 1,600 containers at major ports in Lagos, including Apapa, TinCan, PTML, and Kirikiri Lighter Terminal, leading to daily losses estimated at N192 million due to accruing demurrage charges imposed by terminal operators and shipping companies. He noted that these charges amount to N62,000 and N58,000 per day, respectively.

The NAGAFF Compliance Chief said the situation, which was described as a “recurring decimal,” has exacerbated tensions among the freight forwarding community, prompting calls for a contract review with Web Fontaine. He also noted that reports suggest that a new service provider might be taking over, yet the freight forwarders demand a comprehensive overhaul of the existing agreements to address what they term “gross incompetence” on the part of the current service provider.

Tanko called for urgent attention and intervention of the Minister in a bid to stave-off brewing anger and crisis as agitated freight forwarders are already pushed to the wall and may react any time soon.

In his words: “The Honorable sir, we as stakeholders and users of the customs servers are going through a lot in the hands of our teeming customers, shipping companies and terminal operators.

“This is so as the Terminal Operators charge the sum of N62,000.00 (Sixty two thousand naira) per day.

“The shipping companies charge N58,000.00 (Fifty eight thousand naira) per day. For instance sir, we have an average of 1,600 containers trapped by the server failure in each of the ports of Apapa, TinCan, PTML and Kirikiri Lighter terminal respectively, with an estimated sum of N192,000,000(One hundred and ninety two million naira) being lost daily.

“Where this sum is multiplied with more than two thousand containers that are equally denied exit from off dock terminals, due to the server failure/breakdown, the consequential effect is better imagined than experienced.

” This had been a recurring decimal over time with the customs service provider, namely, WEB FONTAINE. Sir, it is now being alleged that a new outfit or new service provider has been appointed to replace the WEB FONTAINE.

“If that is the case Honorable sir, we respectfully call for a total review of their contract for the circumstance and situation has degenerated to unbearable state.

“We are taken aback as to why such outfit that has over the time manifested gross incompetence is hired and allowed to oversee such critical infrastructure of the Nigeria customs service”,Tanko concluded.


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