Shippers’ Council, NPA , CRFFN Begin Stakeholders Consultation On Container Indemnity Scheme

By Roland Ekama

 

The Nigerian Shippers’Council (NSC), has commenced consultation with stakeholders from the maritime sector on the proposed Containers Deposit Guarantee Collective Scheme   for cargo clearance  and reduction in the cost of doing business in the nation’s seaports.

 

The federal government has directed the port economic regulator, Council for the Regulations of Freight Forwarding in Nigeria (CRFFN) and Nigeria Ports Authority (NPA) to engage freight forwarders , shippers’ and truck owners on the need to introduce or abolish the proposed  scheme which is spearheaded by FRM Communication Limited.

 

The brainstorming session held on Monday had in attendance members of the Association of Nigerian Licensed Customs Agents (ANLCA) ,Shippers Association Lagos State (SALS), Association of Maritime Truck Owners (AMATO), Nigerian Association of Road Transport Owners (NARTO), and the Lagos Chamber of Commerce and Industry (LCCI) .

 

Speaking , at the meeting, Executive Secretary of the Council, Mr. Emmanuel Jime stated that the purpose of the stakeholders meeting was to examine and review the proposal on how operators in the sector can benefit from it.

 

 

Jime who was represented by the Director, Consumer Affairs NSC, Chief Cajetan Agu noted that the interactive session of the day’s meeting would focus on how the technological driven scheme can be introduced in cargo clearance.

 

Executive Director, FRM Communication Limited, Mr. Banjo Olufemi who described the innovation as a technological instrument said it will element containers deposit fee from the maritime sector adding that for over two decades in the industry, shippers have been paying such levies to shipping companies without getting their monies back.

 

Olufemi reiterated that ”It is either the shipping companies pays the money to the freight forwarders or the shipping companies come up with funny reasons as to why they will not return the money back to the shippers.

 

“Premise on these challenges of tied down billions of naira for shippers to get refunds, we now came up with this idea that we should come up with a technological driven solution that will enable stakeholders track their containers from anywhere; both laden or empty containers respectively. It is going to be right from the port for import down to the owners warehouse where they offload and the return of the container back to the holding bays of the shipping companies.

 

“We strongly believe that once the system is operational ,there will be no need for containers deposit fee again because the billions of naira paid on container deposit will be totally eliminated. .

 

“There would be any reasons for capital flight again and we as a responsible organisation will be able to engage stakeholders and employ more Nigerians to manage and drive this scheme.

 

He noted that the stakeholders interaction and engagement was key towards fine-tuning the proposal, saying the organization will work on the positivity aspect on the outcome of the meeting with a view to improving the numerous contribution made known.

 

On his part , Ayodele Durowaiye, who the chairman e-call up system and Assistant General Manager Operations NPA, noted that cost of movement of containers from the seaports to Mile 2 has dropped drastically when compared to what was obtained in 2020.

 

He said NPA has made progress in the e-call up system, saying containers movement in and out of  the ports have been witnessing easy movement.

 

The AGM called on shipping companies to renew their licenses for holding bays activities as part of the role of engagement.

 

 

Similarly, Director at CRFFN, Dr. Alban Igwe expressed satisfaction for the robust interaction with stakeholders.

 

Igwe said CRFFN, NPA and Shippers’Council will work closely in ensuring free flow of cargo movement in and out of the seaports.

 

He said the interaction was fruitful but consultation would still be ongoing in furtherance to arrive at a logical conclusion..

 

Caption:

 

From Left: Director Consumer Affairs, NSC Chief Cajetan Agu, Governing Board Executive NSC, Mrs Margaret Orakwusi and NARTO Chieftain, Alhaji Inuwa Abdullahi during the stakeholders meeting on container deposit held in Lagos on Monday