• Mon. Sep 25th, 2023

    Nigeria Loses Over N3 Trillion To Vessel Demurrage Annually – NCS

    ByHybrid Communications

    Jun 15, 2022

    …Says corruption fighting back at the nation’s Seaports

    The Executive Secretary and Chief Executive Officer of the Nigerian Shippers Council, Emmanuel Jime, on Tuesday said demurrage collected by shipping liners on return of containers cost the nation a whopping N3 trillion annually.

    The Executive Secretary who described deposit on return of containers as fraud, wondered why shipping liners are more interested in collecting demurrage than the actual business of shipping itself.

    Jime revealed that with the establishment of the Port Service Task Team, has saved the nation a total of $6,540 billion, about N3.270 trillion which was supposed to have been paid on vessels demurrage between 2020 to 2021.

    Speaking at a world press conference to mark his one year in office, on Tuesday, the Shippers’Council boss said activities of the team was able to save the nation’s economy an average of $20, 000 daily on vessel demurrages within the year under review.

    PSTT officer are made up of officials drawn from the Independent Corrupt Practices Commission (ICPC), NSC, Police, Nigerian Ports Authority, Directorate of State Services is charged with the primary duty of ensuring that standard operating procedures were followed in carrying out transactions in the ports and implementation of the Nigerian Ports Process Manual.

    “On joint vessel boarding by mandated government agencies, the activities of the team saved the Nigerian economy an average vessel demurrage of $20, 000 per day between year 2020 and 2021, which ultimately translates to the sum of $6, 540 billion, equivalent to N3, 270, 000trillion”

    He said between 2021 and 2022 about 80 percent of the vessels that called at Nigerian Ports left without any incident.

    “Likewise, the average time for resolving complaints with regards to vessel infractions has also considerably reduced from 7-10 days to 1 – 4 hours. More than 85percent of vessels that called at Nigerian Ports in 2021 left without any incident, which was not the case in time past”

    Jime also said that compliance to Joint Cargo Examination by all agencies involved in cargo has helped to increase the number of cargoes examined from 125 to 230 daily per terminal.

    “On the other hand as regards Compliance with Joint Cargo Examination by all government agencies involved in cargo clearance, the exercise has helped to increase the number of cargos examined per day from 125 to an average of 230 boxes daily per terminal”

    The NSC boss said that so far 12 domestic expert warehouses nationwide have been approved for commencement of operations

    “In summary, the implementation of the Manual has facilitated the ease of doing business in our ports and it has drastically reduced corruption tendencies. Collaboration with Nigerian Export Promotion Council on the establishment and operation of Domestic Export Warehouses. A total of 12 Domestic Export Warehouses nationwide have been approved for commencement of operations”

    “The council in 2021 received and handled 518 complaints, while in first quarter of 2022, 100 complaints were received and handled. The Council in 2021 was able to recover the sum of N1, 072, 008, 040 billion while in the first quarter of 2022, stakeholders were saved of the sum of N18, 493, million. The Council is currently working on compilation and analysis of complaints handled in the second quarter of year 2022” he said.

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