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Home » WHO CAN WE HOLD RESPONSIBLE FOR HIGH PORT CHARGES

WHO CAN WE HOLD RESPONSIBLE FOR HIGH PORT CHARGES

by Joshua
February 7, 2011
in Uncategorized

Oluwasegun Bakare (Registered Agent, 5star)

Oluwasegun Bakare (Registered Agent, 5star)
It is the terminal operators that we should hold responsible, when it was in the days of NPA the rates were very low, people pick their cargoes in bulk and at once, but now take for instance, I am asked to go and pay N301, 000 for rent on just one vehicle because it has been here for three months, tell me, if someone is having two of such vehicles, then he will pay N600, 000 naira to pick it out. Government should focus on mandating them to reduce the charges because when NPA was in charge of the port, we didn’t pay this much money. Within these three months that I am asked to pay N301, 000 it would still be under N50, 000.

Emeka Okoroanyawu (Business Editor, Sun Newspapers)
I remember when the concessioning programme wanted to take- off, the assurances we were given then was that it would bring down port cost and so all of us fell for it, but unfortunately now port cost is still high and goods are still being diverted to neighboring countries. I think the problem is with the regulators, when the concession started, the BPE did not appoint a regulator, just like we have it in the telecom industry with the NCC, in the maritime industry there is no regulator that can caution the regulators concerning their high charges, everybody is complaining, but there is nothing they can do about it, it’s like the concessioners have ganged up to increase their charges and there is nobody challenging them. I think we need a regulator for the sector that will set standard and that will tell the concessionaires what to do and what not to do. They always tell us that when they came into the port they spent a lot of money in upgrading facilities and equipment, we can understand with them in a way, but again they are private operators who are interested in their pocket. If nobody checks them they will keep increasing their charges.

Mr. Val Usifo (Chairman, Shipping Association of Nigeria)
Personally, I think everybody is responsible for the increase in port charges so we can not hold anybody in particular, our ports are not trade facilitating ports, there are so many bottlenecks and what I call excessive control, the trade is not flowing and that is why the port is expensive. It is not that we don’t know what to do, but we are unwilling to do it for many reasons, most of the Nigerian importers are not honest, if they can be declaring properly, there will be no problem, if people don’t import dangerous weapons, there will not be all this control that we are talking about.

Chief Frank Aliakor (Apapa Chapter, ANLCA)
Everybody tries to lay the blame on the clearing agents operating in the port, but as it were, it is not the fault of the agents, the blame should be laid on the terminal operators who usually hold on to containers and do not allow them to leave because of space constraint, they complain of not having enough space and as it were, some of the containers that are loaded can not leave the port. Again the custom is also there, they are trying to generate revenue by all means and this is another area that has increased cost.

Chief Ike Mbuba (Nagaff, PTML Chapter)
 I think the blame is of two parts, government is on one side while the clearing agents are on the other hand. Government is the one that makes policies and if each policy they make does not favour the masses or the economy then there will be a problem. For example, the tariff right now is very high, and when the tariff is high, the agents will want to add their own extra charges. Secondly, the bank is no longer giving out loans to people to do business and so everybody wants to make optimum gain from the little they have.

Mr.Geofrey Njoku [Crisp International]
The terminal operator should be the one to blame for  high port charges, the ship owners  do not have a hand in the issue because there’s is to transport whatever the importers want them to transport and of course the importer must pay for their logistics cost,  but for the terminal operators, since the port concession which made the Nigerian Port Authority not to have full control of the port , the terminal operators now dictate the tune  to the agent and other relevant stakeholder who want to do business in the port. When you talk of port charges the terminal operators are responsible for the high port charge. Some may  say  it is the Customs, but I  owe the  port terminal operators  responsible.

Mr.Ekene Obeleagu [Auto Dealer]
What led to the high port charges is what we call the Nigerian factor .Nigeria factor is a case where things are not done the way it should, there must be that hidden agenda of the officers to make money. Another thing is that the shipping companies sometimes bring in a lot of actions that will now make goods to be declared as abandoned; that will lead to demurrage.  I believe that if Nigeria factor is reduced, especially among the shipping companies, then it will be easier for people to do business in the port. Sometimes the clearing agent who want to clear his container may not have the money to do that, but when the money is available, you find out that such a container has entered demurrage and that is the fault of the terminal operator who sometimes create their own hiccups and the Nigeria Customs on their part are greedy and selfish for the duty charged. There should be an understanding among the stakeholders,  but basically everybody has the share of the blame.

Mr.Emeka Nwatata [Clearing Agent]
The shipping company, the customs and even the clearing agents are all involved in the high port charges .The port is not properly managed and as a result mismanagement comes in. The ship owners have their own blames on their own part because they believe the transportation of goods are being monopolized so they can charge the importer an exorbitant freight rate. The Nigeria Customs also contributes to the high port charges with their duty and unnecessary charges and even the agent that is to clear the goods too will add his own amount that will affect the final consumers which will lead to high cost of the commodity in the market. The Nigeria Port Authority used to provide the necessary facility for the proper clearing of the goods or containers away from the port  e.g. cranes,  but due to the rate at which the terminal operators handle the activities at the port, one will now say it is because the ports have been  given to concessionaires .However agents also have their   blame  too  because they are the intermediary between the importer, the terminal operator and the final consumer, so it is not centralized on anybody, but to all the stakeholders in the maritime industry.

Mr. Eniola Odulaja [Stakeholder]
All the stakeholders should be held responsible for the high port charges. If you pin it on the Customs, they will say it is the port management, if you say it is the port management, they will say it the ship owner .Therefore it all centers on the stakeholders in the industry. The stakeholders should come together and conclude on issue of the high port charges .The port has been concessioned, then it is better for stakeholders to look for a positive ways whereby the issue can be address because with collective effort and dialogue, things can change for good and in that regards it is not an issue in which we can draw conclusion that terminal operators or the various ship owners are responsible for the high port charges. 
 


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