ADVERTISEMENT
  • The Membership Club
  • PT Hausa
  • About Us
  • Advert Rates
  • Careers
  • Contact Us
Sunday, January 24, 2021
Premium Times Nigeria
  • Home
  • COVID-19
  • News
    • Headline Stories
    • Top News
    • More News
    • Foreign
  • Investigations
  • Business
    • News Reports
    • Financial Inclusion
    • Analysis and Data
    • Business Specials
    • Opinion
    • Oil/Gas Reports
      • FAAC Reports
      • Revenue
  • Opinion
  • Health
    • News Reports
    • Investigations
    • Data and Infographics
    • Health Specials
    • Features
    • Events
    • Primary Health Tracker
  • Agriculture
    • News Report
    • Research & Innovation
    • Data & Infographics
    • Special Reports/Features
    • Investigations
    • Interviews
    • Markets
  • Arts/Life
    • Arts/Books
    • Kannywood
    • Lifestyle
    • Music
    • Nollywood
    • Travel
  • Sports
    • Football
    • More Sports News
    • Sports Features
  • Projects
    • Parliament Watch
    • Panama Papers
    • Paradise Papers
    • AGAHRIN
  • Home
  • COVID-19
  • News
    • Headline Stories
    • Top News
    • More News
    • Foreign
  • Investigations
  • Business
    • News Reports
    • Financial Inclusion
    • Analysis and Data
    • Business Specials
    • Opinion
    • Oil/Gas Reports
      • FAAC Reports
      • Revenue
  • Opinion
  • Health
    • News Reports
    • Investigations
    • Data and Infographics
    • Health Specials
    • Features
    • Events
    • Primary Health Tracker
  • Agriculture
    • News Report
    • Research & Innovation
    • Data & Infographics
    • Special Reports/Features
    • Investigations
    • Interviews
    • Markets
  • Arts/Life
    • Arts/Books
    • Kannywood
    • Lifestyle
    • Music
    • Nollywood
    • Travel
  • Sports
    • Football
    • More Sports News
    • Sports Features
  • Projects
    • Parliament Watch
    • Panama Papers
    • Paradise Papers
    • AGAHRIN
Premium Times Nigeria
BUA Group Ad BUA Group Ad BUA Group Ad
ADVERTISEMENT
Lagos sea port usef to illustrate the story. [Photo credit: The Guardian Nigeria]

Lagos sea port usef to illustrate the story. [Photo credit: The Guardian Nigeria]

Nigeria controls 70% cargo traffic of West, Central Africa – Official

byAgency Report
August 18, 2018
3 min read

The Chairman, Nigerian Ports Consultative Council (NPCC), Kunle Folarin, says Nigeria controls 70 per cent of cargo traffic of West and Central Africa.

Mr Folarin made this known on Friday in Lagos during the 3rd Annual Maritime Conference in honour of Taiwo Afolabi, the Chief Executive and Vice Chairman, Sifax Group.

The Theme of the conference was: “Port Costs and Ports Charges: A Recurring Decimal under Port Reform Regime”, held on Friday in Lagos.

According to the maritime economist, the percentage is far from the formal trade alone and will certainly be bigger if we consider the informal trade aspects of cargo movements.

He said that the traffic into Nigeria by latest data was over 5,307 ships per annum.

“The potential is certainly bigger when we consider the capacity of cargo traffic to Nigeria’s landlocked neighbours such as Niger Republic and Chad.

“In real terms, over 85 per cent of all the goods and services that entered Nigeria came through the seaports.

“The current aggregate value exceeds $15 billion dollars a year through normal imports.

“Nigeria also imports over two million tonnes of non-oil cargo yearly.

RelatedNews

No Content Available

“It is therefore, no doubt that the maritime sector’s performance is indeed a major contributor to the economy and must be given attention when discussing port costs and port charges.

“In 1970, following the end of civil war in Nigeria, government adopted a policy that focused on the need to reconstruct the infrastructure and superstructure of areas that were crucial to the commercial and industrial sectors of the country.

“In order to give effect to the implementation of the policy, importation of building materials was done by about 600 vessels, most of which arrived at the same time and created port congestion,” Mr Folarin said.

Dangote adbanner 728x90_2 (1)

He recalled that the available port infrastructure at that time could not handle more than 12 vessels at a time in Apapa Port Complex, which resulted to long queue of ships waiting to berth.

Mr Folarin said that consequently, ship owners incurred huge running costs and this led to demurage as a result of penalties put in place by the chartered parties.

He said that the port cost and charges reform policy of the Federal Government started in 1993 by the Federal Ministry of Finance apparently to address the issue of rising costs in the delivery of port services and several others.

The NPCC boss said that the port concessioning started in 2006 by transfering operations of public sector activities to private sector to improve productivity and achieve competiveness at the ports.

He said that there was need for port industry to be truly productive, competitive and earn a hub status in the region, adding that otherwise, Nigerian ports would continue to perform at best a little above average.

In a keynote address, Mr Afolabi, who was represented by his daughter, Mirian Afolabi, recalled that the exchange rate of Naira to dollar in 2006 was between N125 and N131.

ADVERTISEMENT

“Many obligations of terminal operators are expected to be discharged in dollars and how much naira will be enough today to purchase the required dollars,” he asked.

Mr Afolabi said that 12 years after the historical concession, the value of naira had changed.

“By what percentage will the cost of service be adjusted upward to reflect the astronomical change in foreign exchange regime?

“So many questions seeking answers.

“These are matters of immediate and practical concern to every Nigerian and the regulatory authorities,” Afolabi said.

He commended the organisers of the Maritime Forum, who were students of the Faculty of Law, University of Lagos, for the steadfastness and diligence they demonstrated in sustaining the yearly event.

In his opening remarks, a former Managing Director of the Nigerian Ports Authority (NPA), Adebayo Sarumi, said that government should not run port operations, adding that it was indeed a business for the private sector.

Mr Sarumi said that port concessioning was a business venture that concerned both the consumers and the producers of shipping services.

“Up to the time I returned to NPA in 2003, NPA was using the tariffs that we got from the Price Income and Productivity Board, approved in 1993.

“It was so surprising to see that a tariff of 1993 was still being used in 2004. There is no way you could do that business gainfully.

“More worrisome was the quality of service NPA was giving. Low turnaround time of ships and shallow channels,” Sarumi said.

He, however, urged government to ensure that port infrastructure were in good shape.

Mr Sarumi recalled that immediately the concession started, APM Terminals invested heavily on infrastructure and bought 11 cranes.

He said that the concession regime had increased cargo throughput (imports and exports)

A former President, Association of Nigerian Licensed Customs Agents (ANLCA), Olayiwola Shittu, said that there was need to look for lasting solutions to the continuous problem of rising port costs.

Mr Shittu said that things could only change positively in the industry if all the operators were ready to positively change their attitude.

Also speaking, the Executive Director, SIFAX Group, retired Maj Henry Ajetunmobi, said that terminal operators invested a lot of funds on additional port infrastructure.

The Director General, Nigerian Chamber of Shipping, Obiageli Obi, said that there was need to bring down the high costs to encourage port business.

A Maritime Lawyer, Victor Onyegbado, said that there was need to have an economic regulator as well as the enactment of the Port and Harbour Bill.

Another Maritime Lawyer, Ademola Afun, said that there was also need for availability of the political will to enable all our operators to work harmoniously to improve operations and increase government revenue. (NAN)

  • WhatsApp
  • Tweet
  • Email
  • Print
  • Telegram
  • More
  • Share on Tumblr
  • Pocket

Support PREMIUM TIMES' journalism of integrity and credibility

Good journalism costs a lot of money. Yet only good journalism can ensure the possibility of a good society, an accountable democracy, and a transparent government.

For continued free access to the best investigative journalism in the country we ask you to consider making a modest support to this noble endeavour.

By contributing to PREMIUM TIMES, you are helping to sustain a journalism of relevance and ensuring it remains free and available to all.

Donate


TEXT AD: To advertise here . Call Willie +2347088095401...


JOIN THE CONVERSATION

  • Disqus (1)
premiumtimes



PT Mag Campaign AD

Previous Post

Hajj 2018: NAHCON concludes transportation of 37,746 Nigerian pilgrims

Next Post

Fayemi raises alarm as Fayose recruits 2000 Ekiti teachers, others

Agency Report

Agency Report

More News

Ghana’s President, Nana Akufo-Addo. [PHOTO CREDIT: Council on Foreign Relations]

Akufo-Addo urges action against insecurity in ECOWAS

January 23, 2021
Union Bank of Nigeria

Union Bank’s principal owner ‘considering sale of 50% stake’

January 23, 2021
Nonso Eze, suspected to have killed his girlfriend

Man pushes girlfriend to death from five-storey building

January 23, 2021
Shehu of Dikwa [PHOTO CREDIT: @thekanemborno]

Shehu of Dikwa, Muhammad El-Kanemi, is dead – Official

January 23, 2021
COVID-19 vaccine [PHOTO CREDIT: The Economic Times]

India probes deadly blaze at AstraZeneca coronavirus vaccine production site

January 23, 2021
Governor Muhammad Badaru

Defection rumours in Jigawa APC after governor invites Tambuwal to commission projects

January 23, 2021
Next Post
Fayose and Fayemi used to illustrate the story. [Photo credit: NewsTimes Nigeria]

Fayemi raises alarm as Fayose recruits 2000 Ekiti teachers, others

IPOB women demand Kanu’s release. [Photo credit: NAN]

IPOB women protest, demand Nnamdi Kanu’s release

Discussion about this post

Search

#EndSARS: Latest Updates




Polaris Bank


JAIZ Ad


NITDA Ad




Advertisement






netherland biz school Advert

Zenith Advert

Heritage Advert
ADVERTISEMENT

Our Digital Network

  • PT Hausa
  • Election Centre
  • Human Trafficking Investigation
  • Centre for Investigative Journalism
  • National Conference
  • Press Attack Tracker
  • PT Academy
  • Dubawa
  • LeaksNG
  • Campus Reporter

Resources

  • Oil & Gas Facts
  • List of Universities in Nigeria
  • LIST: Federal Unity Colleges in Nigeria
  • NYSC Orientation Camps in Nigeria
  • Nigeria’s Federal/States’ Budgets since 2005
  • Malabu Scandal Thread
  • World Cup 2018
  • Panama Papers Game
  • Our Digital Network
  • About Us
  • Resources
  • Projects
  • Data & Infographics
  • DONATE

All content is Copyrighted © 2020 The Premium Times, Nigeria

No Result
View All Result
  • Home
  • COVID-19
  • News
    • Headline Stories
    • Top News
    • More News
    • Foreign
  • Investigations
  • Business
    • News Reports
    • Financial Inclusion
    • Analysis and Data
    • Business Specials
    • Opinion
    • Oil/Gas Reports
      • FAAC Reports
      • Revenue
  • Health
    • News Reports
    • Investigations
    • Data and Infographics
    • Health Specials
    • Features
    • Events
    • Primary Health Tracker
  • Agriculture
    • News Report
    • Research & Innovation
    • Data & Infographics
    • Special Reports/Features
    • Investigations
    • Interviews
    • Markets
  • Arts/Life
    • Arts/Books
    • Kannywood
    • Lifestyle
    • Music
    • Nollywood
    • Travel
  • Sports
    • Football
    • More Sports News
    • Sports Features
  • Projects
    • Panama Papers
    • Paradise Papers
    • Parliament Watch
    • AGAHRIN
  • Opinion
  • PT Hausa
  • The Membership Club
  • Dubawa
    • Dubawa NG
  • About Us
  • Advert Rates
  • Careers
  • Contact Us
  • Digital Store
  • DONATE

All content is Copyrighted © 2020 The Premium Times, Nigeria

Our website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
loading Cancel
Post was not sent - check your email addresses!
Email check failed, please try again
Sorry, your blog cannot share posts by email.