. NSC, NPA, MAN, NACCIMA, LCCI, others kick
THE Federal Government and industry stakeholders have taken bold step to protest against the indiscriminate charges by the multinational shipping firms, who have continued to slam huge surcharge on Nigerian-bound cargoes.
The surcharge, which was about 400 per cent increase from the regular charges, according to stakeholders would cripple industries, claim jobs and shrink revenue to the Federal Government.
Led by the Nigerian Shippers Council (NSC), the industrialists under the aegis of Manufacturers Association of Nigeria (MAN), Lagos Chamber of Commerce and Industry (LCCI), NACCIMA, and the Nigerian shipping community at large met today in Lagos to resist the arbitrary charges.
The 2020 peak period charges of between $1000 and $1,500 per twenty-foot equivalent unit(TEU) by shipping firms, is over 400 percent increase from the previous $200 freight charge per TEU during peak period.
Executive Secretary, NSC, Hassan Bello, said, “the charge is scary. If a Nigeria-bound container is charged as much as $1000, then the national economy is in trouble.
He expressed worry that the surcharge was introduced at a time when the nation is slammed with such charges.
Bello lamented that the charges would lead to ” spiral inflation rate on the economy; cargoes will be abandoned at the ports; it means job losses and many shippers will be put of business,”
He said the charges are “astronomic, unjustified, not notified and discriminatory. This is against fair trade facilitation rules”.
Bello said the NSC has written to the erring firms and waiting for responses accordingly.
” We have also written to ministry of transportation to escalate it to ministry of trade and ministry of foreign affairs, and the Federal Government will protest the charges.
“We have been having surcharge in the range of $200 to $400, but 400 per cent increase and there was no time limit. Its already going to nine months is not what any economy can cope with.
” This can cripple the economy,” Bello said.
Managing Director, Nigerian Ports Authority (NPA), Hadiza Bala Usman expressed disappointment about the charges, saying that it might result to more cargoes being abandoned at the ports.
Usman, who was represented by the General Manager, Tariff and Billings, Abubakar Garba Umar, said, ” if the importers are charged so high and they abandoned them in the port, NPA will lose revenue and it would reduce efficiency and turn around of ships to Nigerian port,”
Director-General, Lagos Chamber for Commerce and Industry (LCCI), Muda Yusuf, said the industries would resist the charges because this is not the best of time for businesses generally.
Olufemi Immanuel of Manufacturers Association of Nigeria (MAN), said it is a capital no to the surcharge because it is coming at a time when manufacturers are working with less staff, less raw material and lower profit.
He said, “the price of goods will skyrocket and cost of transports will be unbearable”.
Representative of Nigeria Association of Chamber of Commerce, Industry, Mines and Agriculture (NACCIMA), Margaret Orakwusi, said the surcharge would affect commerce critically.
“Our members borrowed huge money to import items and they are slammed this huge amount, then it would affect the banks too,” he said.
Large scale importers such as Dangote Group and Promasidor also bemoaned the arbitrary charges by shipping companies, expressing readiness to protest the charges with all mercenaries.
Shipping companies allegedly involved are Cosco, Maersk, MSC, CMA CGM, Hapag Lloyd and Evergreen shipping.
Vice President, Association of Nigerian Licensed Customs Agents (ANLCA), Kayode Farinto, urges collaboration with ECOWAS on the arbitrary charges.
” It will affect our economy seriously because the Nigeria is an imports dependent economy,” he said.
President, National Association of Government Approved Freight Forwarders (NAGAFF), Increase Uche, said the peak season surcharge is unacceptable. saying that the new normal does not give room for acceptability of such charges.