Port terminal operators, shipping firms impose new illegal levies
Lagos -- Following the introduction of registration fees by the Nigerian Shippers' Council, NSC, shipping firms and port terminal operators have introduced frivolous levies with a view to maximising profit to the detriment of the nation's economy.
Some of the new charges introduced and now collected by terminal operators include terminal delivery charges, Nigerian port charges, Customs examination charges and bill of lading documentation charges.
In one of the bill of lading documents obtained by Sweetcrudereports from Grimaldi Shipping, a N75,000 charge, labeled ‘Nigerian port recovery charge’ was seen while its terminal, Ports and Terminal Multiservice Limited, PTML, had other questionable charges, such as terminal delivery charges, Customs examination charges, bill of lading documentation charges, among others.
Similarly, strange demurrage fees are being charged by terminal operators as they latch on to the inaccessibility of the Lagos port roads to fleece freight forwarders and importers of their container deposits via colossal demurrage.
While NSC claimed to be oblivious of these sharp practices, maritime stakeholders have expressed worry that terminal operators have been unwilling to extend their three days' grace period to cushion the effect of the Apapa traffic congestion on port users.
A senior Cusoms officer in Lagos, who preferred anonymity, stated that Nigerian port recovery charges, bill of lading charges and Customs examination charges were frivolous as such activities were captured in the terminal handling charges.
Our source, who is vast in trade facilitation processes, lamented
that terminal operators through the new charges and their other illegal actions, were killing port business in the country and inhibiting the nation’s economy from growth.
Drawing an analogy, he said; “This problem can be likened to a situation where someone buys an airplane ticket and gets onboard. Suddenly, someone appears and says you have to pay for the seats and lights in the plane separately. He also demands that you pay for the air-hostesses to attend to you and the food for the pilots.
"Wouldn’t that be abnormal? But that is what is obtainable in the Nigerian port sector because these charges are what make up the terminal handling charges”.
Speaking with Sweetcrudereport on the development, the Vice President of the Association of Nigerian Licensed Customs Agents, ANLCA, Dr. Kayode Farinto, said the issue had since been on despite the complaints by the licensed customs agents.
“These are the issues we have to deal with in the industry and when we shout, people see us and think we are mad. We shout that way as a result of what we go through on daily basis. At times, we finance the clearing of the containers with our personal monies,” he said.
According to Farinto, ANLCA had confronted the terminal operators to explain the Nigerian port charges, but they revealed that they were collecting the money on behalf of the Nigerian Ports Authority, NPA.
“We have written to NPA to tell us the importance of this collection but they haven’t answered us.
“What is clearing charges, Customs examination charges, and others?” Farinto queried.
He added: “At Grimaldi, there would be container deposit charges and provisional demurrage charges. It is criminal to have provisional charges, but, when we complain they insist that if we could return the container on time, they would write-off the provisional charges”.
When confronted about these charges, the Director, Monitoring, and Compliance at NSC, Chief Cajetan Agu, expressed shock at the development, assured our correspondent that NSC would begin investigations into the erring terminal operators and shipping companies.
Efforts at getting the reaction of the NPA to the development remained unsuccessful at the time of going to press.
The National Association of Government Approved Freight Forwarders, NAGAFF, has, however, debunked claims that the Shippers’ Council has been oblivious of these charges as the association had written to the Council and held several talks with its management on the issue.
NAGAFF Public Relations Officer, PRO, Mr. Stanley Ezenga, revealed this while he confided freight forwarders’ plight to our correspondent, stating that, “the charges are not new”.
“These are part of the myriad of challenges that freight forwarders are facing here in Nigeria. We have articulated some of these issues with Shippers’ Council who ought to be the port economic regulator. We are following up the development with the top management of Shippers’ Council.
“However, we are business people and it is our duty to deliver consignments to our clients. We wouldn’t allow the containers to continue to stay at the terminals while we discuss with NSC because it would accumulate more demurrage. As soon as the goods arrive we do everything to deliver while we are still deliberating with Shippers’ Council on these abnormal charges,” he said.
When contacted to clear the issues, the General Manager at PTML, Mr. Babatunde Keshiro, said that he was on vacation and not able to respond to the request.