
By Martins Uba Nwamadi
PENULTIMATE Tuesday August 11, 2020, major agencies in the Federal Ministry of Transportation namely Nigerian Shippers’ Council, NSC; Nigeria Ports Authority, NPA; Nigeria Maritime Administration and Safety Agency, NIMASA; Nigeria Inland Waterways, NIWA; Council for the Regulation of Freight Forwarders in Nigeria, CRFFN; and Maritime Academy of Nigeria Oron, MAN; held an inter-agency collaboration meeting with a view to finding out areas that will strengthen and develop our maritime sector for economic sustainability. This meeting came on the heels of an earlier one held at the Corporate Headquarters of Nigerian Shippers’ Council Apapa in July.
Briefing newsmen after the meeting, the Director General of NIMASA, Dr Jamoh, said the meeting discussed issues bordering on maritime safety and security, port efficiency, intermodal transportation as well as synergy among agencies in the sector on how to contribute and grow Nigeria’s economy.
Critical stakeholders
In her contribution, the Managing Director of Nigeria Ports Authority, Ms Hadiza Usman noted that the NPA and other sister government agencies are set to commence 24 hour port operations but this cannot be done in isolation of other agencies of government and other critical stakeholders in the sector who must be part of the process in achieving the innovation.
Buttressing the above, the Executive Secretary Nigerian Shippers’ Council, Hassan Bello, noted that the meeting was a significant building block for efficient economic activities within the country’s maritime domain. He stressed that the council’s ultimate aim is to make Nigeria a maritime hub in Africa through efficient and effective maritime operations and infrastructure development.
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This is not only a cheering development but it has been long overdue given our position in world trade and as Africa’s largest economy. Nigeria has a population that is estimated at more than 200 million, a coast line of about 100,00 kilometres with at least eight functional ports namely Apapa Premier Port, Tin Can Island Port, Port-Harcourt Port, Onne Port, Calabar Port, Warri Port, Kirikiri Lighter Terminal Port. A nation with such vastness and potentials cannot continue to sit on the fence when global maritime issues are discussed.
Since the concession of the ports in 2006, the aggregate contribution of Nigeria ports to GDP growth has tripled unlike the pre 2006 regime. Industry watchers attribute the growth to infrastructure development at the ports, strong regulatory functions, and diversification of the economy and Federal Government intervention efforts to grow the economy and improve trade facilitation.
Twenty four hour port operations in Nigeria has been a mirage. One may ask why? In a lead paper presented to Maritime Editors in 2018, the Executive Secretary of Nigerian Shippers’ Council, Hassan Bello, rolled out fundamentals that must be looked into while aspiring for a 24 hour port operations. He emphatically posited that Nigeria must do the right things first and then gradually remove the peripheral issues. Among the first things are that the rails must function effectively and right on time. There is a warehousing deficit in our port environment. The ports are not fully automated to reduce human contact. There is also absence of enough or sufficient scanners at the ports as examination of cargoes are still done manually. The road network has to be drastically improved upon to serve as complementary to rail. The need to add value to freight forwarding industry given their pivotal role. Others are the need to increase security surveillance in our ports, coastal regions and waterways to reduce and allay the fears of international shipping community that our region is not safe. All these are not only posers but critical and fundamental issues that need to be addressed to avoid a pitfall.
One book I admire so much is entitled When Tomorrow Comes. Now that the agencies in the Ministry of Transportation are out to ensure 24 hour port operation, it then means that tomorrow is here with us. Are we ready for it? It is not out of place to state here that this initiative is a fall out of COVID-19. The pandemic has totally changed our mind set, global thinking and a new perspective on international business and political relationships. It is a new world order whereby smart and intelligent brains will have the edge thereby determining the economic pendulum.
As postulations are, increased trade is projected Post COVID. We must therefore begin to align ourselves with current realities of the time. To achieve 24 hour port operations, the committee must painstakingly work and ensure that 80-90 percent of our port process are automated. We must embrace technology as a means of fast tracking development in the sector and to the larger economy. Technology will hasten payment process, examination of cargoes, reduce under current or off curve deals and bring a seamless cargo delivery clearing process.
Secondly, the committee should as a matter of importance carry all stakeholders in the maritime sector along for proper integration. The truckers, freight forwarders, ship owners, dock workers, shipping companies, terminal operators, importers, exporters, Federal Ministry of Works, among others are critical in the industry.
Thirdly, Nigerian Shippers Council as facilitators of Dry Ports/Ports Economic Regulator has enormous responsibility towards achieving 24 hour port operations. As an intervention agency of the Federal Government and advisor on transport matters it has to be the operating face between the Federal Government and various stakeholders in the sector.
The Council must work assiduously to the completion of the US$94 million Ibadan Dry Port because of its strategic position when the operation takes off. The Jos Dry Port, Funtua, Kano, Isiala Ngwa Dry Ports must be completed to await the upsurge or boom in trade. These dry ports occupy prime positions along the value chain. It will not be out of place to a advise Nigeria Custom Service to appreciate that these dry ports are internationally xertified as port of destination and port of origin. They must be accorded that recognition. The primary function of dry port is to relieve sea ports cities from some of the congestion, make goods handling more efficient while facilitating improved logistics solutions for shippers. A situation a container is examined in Lagos and same container examined in Kaduna Dry port and vice versa is tantamount to killing the 24 hour port operations. It will surely obliterate the gains accruing to this innovation.
Distractions and criticisms
May I use this opportunity to commend the Minister of Transportation, Hon Rotimi Chibuke Amaechi, and Minister of State, Ms Gbemi Saraki, for thinking globally and acting locally. The duo have shown that exposure, experience, vision and determination to succeed in spite of distractions and criticisms that the minister loves Chinese loans, his aggressive infrastructure development on rail network has brought the ‘change’ in this government. By September, the Lagos – Ibadan standard gauge rail will kick off while by 2021 the Itakpe – Warri rail line will commence. When all the ongoing rail projects – Kano, Maiduguri, Port Harcourt are all connected, by 2023, Amaechi/Saraki can beat their chests thereby challenging critics to swallow their ego.
Corroborating to what rail transformation could achieve in an optimally functioning port operations, Hassan Bello highlights that inter modal connectivity will bring about 300, 000 metric tonnes of cargo to be moved from Lagos to Kano and this will change the configuration of Nigeria’s transport system.
Rail is a key component to infrastructure, you have modern economy and the economy will bolster and diversify. This is what advanced economies have done to create jobs, increase revenue, improve ease of doing business, reduce tariffs, reduce carnage on roads while producing an environment friendly atmosphere that will aid production, Bello added.
Infrastructure deficiencies
Furthermore, the committee should interface with Council for the Regulation of Registered Freight forwarders as they are a critical component in port operations. It is not out of place to recommend to the committee to hold series of sessions with shipping companies and concessionaires to address some concerns especially in the area of security, acquisition of state of the art equipment, cargo dwell time issues, arbitrary tariffs, pilferage and other envisaged attempts that may want to scuttle this noble initiative.
Finally, Nigeria is a high cost production economy because of infrastructure deficiencies and cost of doing business and this is part of our fears when we commence AFCFTA. The ports playing a critical role must, therefore, be prepared and ever ready to accommodate the volume of trade envisaged if this initiative comes through. There is, therefore, a compelling need for the Federal Government to deploy the International Cargo Tracking Note, ICTN, immediately.
The deployment of ICTN should be a precursor to achieving seamless port operations in any given environment. The 24 hour port operation is welcome development and we urge all stakeholders to embrace the initiative given the huge potentials it will create in the economy.
Disclaimer
Comments expressed here do not reflect the opinions of Vanguard newspapers or any employee thereof.