Importers, exporters, agents bicker over port charges

By Foster Obi
Motoring/Maritime Editor

There may be unrest at the ports as stakeholders feel aggrieved over the recent increase in cargo handling and shipping charges by terminal operators and shipping companies.
Some told TheNiche the new charges from June 1 are unwarranted.
Most importers believe the concessionaires, mainly foreigners, introduced the charges without consultation as required by law, in order to depress the economy, create capital flight, and emasculate the masses who bear the brunt.
They wondered why, in spite of outcry, each time an arbitrary step is taken by terminal and shipping companies the authorities hardly do anything, which suggests highly placed persons benefit from this multitude of charges.
Association of Nigerian Licensed Customs Agents, Apapa Chapter Public Relations Officer, Emeka Chukwumalu, said terminal operators and shipping companies introduce charges that are forced down the throats of importers and freight forwarders.
“Just take a debit note at the ports and you see the difference between the old charges and the new ones. It is just too much. Nobody is telling anybody anything,” he lamented.
“These guys have the latitude to increase charges anytime they want and this time it is uncalled for.
“Why are they increasing charges at this time in the nation’s economy? Is it not to create hardship in the country? Are they saying that imports are much and they want to discourage them or what?
“Everybody knows that only a few people are importing now so do they want to kill the economy finally?
“I believe there is a con game going on that we don’t know about. There are people eating from these things and this is why the regulators are not talking. This time they have taken it too high and something needs to be done.
“A lot of people moving around at the ports are self-employed people who manage to renew their licences yearly. Now there are scarcely imports and you are introducing more charges.
“Most of this people may be forced out of the ports into crime and the country will be the worse for it. This is why I believe that there should be caution in issues like this.”
Uburu Maritime Managing Director, David Pius, said most foreigners conversant with the loose Nigerian system take advantage of it to exploit people.
He moaned that most increments and sharp practices at the ports are hardly cautioned.
Pius recalled that terminal operators recently took the Nigerian Shippers Council (NSC) to court when it stepped in to reverse a similar increase and the court gave judgment in favour of the NSC as the economic regulator.
He wondered why the NSC is now a toothless bulldog refusing to enforce the court order.
The NSC could not be reached for comment at press time, despite attempts by TheNiche.
In its reaction, the Association of Exports Commodity and Manufacturing Freight Forwarders of Nigeria (AECMFFN) threatened to shut down or boycott the ports if the charges are not reversed.
AECMFFN President, Olubunmi Olumekun, said exporters would not pay the new fees of N40,000 on 20ft and N60,000 on 40ft containers.
Terminal operators had sent notices of fee increase from N4,200 per 20ft container to N40,000 and N6,200 per 40ft container to N60,000 alerting exporters that the new rate would take effect from June 1, 2016.
Olumekun recalled that before port concession, the Nigerian Ports Authority (NPA) charged N516 on 20ft containers, which was later increased to N2,100.
He said the new charges are additional to storage and renomination fees charged if a container is not shipped.
“When port concession came, we paid the terminal operators N4,200 per 20ft container and N6,200 per 40ft container.
“Now, we are expected to pay N40,000 per 20ft container and N60,000 per 40ft container. Is this how we are going to survive and diversify the nation’s economy?’’ he wondered.
“Unless the federal government intervenes quickly, we would be left with no option than to either shut down the ports or leave the export business.
“Forty 40 per cent of exporters have closed shop; out of the 30 per cent remaining, 60 per cent are smuggling commodities through Cotonou and Niger Republic.
“Our cashew nuts are smuggled though Cotonou, while sesame seeds are smuggled through Niger Republic because of the high cost of exportation.”
NPA General Manager (Western Ports), Michael Ajayi, warned that “shutting down the ports is a criminal offence.”
He asked those aggrieved to utilise available channels to air grievances as the NPA will not tolerate the closure of the sea ports because it is sabotage and treasonable.

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