• Friday, April 19, 2024
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Chamber of Shipping sees alternative cargo destination in Eastern ports

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Worried by the underutilisation of the seaports located outside Lagos, especially in the East, the Nigerian Chamber of Shipping (NCS) has identified ways to improve the viability of the Eastern Ports as alternate cargo destination for the benefit of shippers, investors and the economy at large.

A communique issued by the Chamber at the end of its one day focus group meeting held in Lagos last week with the theme, ‘Maximising the Economies of the Eastern Ports,’ suggested that there is need to increase awareness of the existence and the use of the Eastern ports in order to develop and increase their economy of scale.

The Chamber further stated that there is also need to reduce tariff across board particularly in the Eastern ports to significantly increase traffic in those ports.

“In addressing security issues around the Eastern ports, economic integration through poverty elimination programmes and training will reduce community interference on government right of way in and outside the ports,” the communique stated.

The communique, which noted that the lack of comprehensive shipping policy, derived from the transportation policy for Nigeria had made it difficult to adequately plan, implement and address issues in the sector, particularly the ports, their usage and the port area infrastructure, as well as the multimodal activities around the ports.

It therefore suggested that there is need for a comprehensive shipping policy for Nigeria. It added that security needs to be holistic, integrated and be approached on a multi-level that starts with all-inclusive analysis of the issues that lead to maritime related security issues.

“To maximise the economies of the Eastern ports requires more than a port plan, but a port masterplan, as well as a holistic and integrated approach to the issues of security, container management, port infrastructure, geographical areas of the ports, the relationship between the public and private sector, and financing requirement. All these must be derivable from a comprehensive transport policy and its resultant shipping policy,” it stated.

The communique, which suggested that there is need to develop deep seaports and its attendant infrastructure facilities, further stated the port should be automated to help reduce the issues of corruption and gridlocks at major Nigerian ports even as it advised port managers to address issues around managing containerised cargoes.

Delivering a welcome address at the event, Andy Isichie, president of the NCS, said that the underutilisation of the Eastern ports have taken toll on the nation’s economy and it contributed to the gridlocks experienced daily on the road leading to Apapa and Tin-Can Island Ports.

He listed shallow draft, insecurity and port cost as factors responsible for the underutilisation of the eastern ports as 70 to 80 percent of the cargoes coming to Nigeria come in through Lagos ports.

Isichie, who pointed out that Eastern ports are reportedly too expensive in terms of freight due to lack of economy of scale, suggested that there is need to segment the problems with the eastern ports into long and short term basis in order to properly advise the government.

“The nation must make conscious commitment to making Eastern ports viable by specifying cargoes to be received by individual ports through the policy of cargo categorisation,” Isichei said.

 

Amaka Anagor-Ewuzie