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2022: INERTIA IN THE MARITIME SECTOR BAD OMEN FOR NIGERIA

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  CHIEF EMMANUEL OSUALA NWAGBARA

For Nigeria to overcome the lingering inertia in the maritime sector, government must decisively address the foreign exchange question, neglect of eastern ports, crude oil theft and other matters. Foremost maritime lawyer,  Chief EMMANUEL OSUALA NWAGBARA stated this in a chat with IZUCHUKWU OZOEMENA.

 

 

 

Q: As 2022 rushes to end, the persistent inertia in Nigeria’s maritime sector remains a huge worry. What’s your take?

 

Ans: What happens globally affects Nigeria because she’s a member of the comity of nations. Whether we like it or not, the Russia/Ukraine conflict has a debilitating effect on the global economy including the economy of countries outside Eastern Europe including Nigeria.

In Nigeria, we see that there is a scarcity of foreign exchange right now; the economy is not smiling. This is complicated by government’s failure to take advantage of certain aspects of the implications of the war in Eastern Europe. For instance, while other countries are increasing their crude oil supply at least to meet their OPEC quota, Nigeria has lost on her quota from about 1.8mbd to less than 900mbd as we speak. Nigeria has failed to take advantage of the rise in demand for oil occasioned by the war. Therefore, Nigeria is not doing well in generating forex. That means her economy gets a harder hit with what is happening in Eastern Europe. The cost of importation has also risen. Since Nigeria is not able to take advantage of the war to increase her OPEC quota and is therefore losing revenue, she is spending so much borrowing to finance her imports. Importers are not able to import and this impacts on businesses in the maritime sector.

 

 

 

So, a port that should be bubbling with activities if we had all the forex to import is virtually empty because Nigerians now have to source their forex from the autonomous market which is very expensive.

 

 

 

Another way to look at the inertia in the maritime sector is the failure of the NPA to develop the eastern ports and work with the Navy to ensure security in the eastern ports area. NPA has refused to deepen the channel in the eastern flank. That would have been an opportunity for business boom. Even with low imports into Nigeria, many vessels still queue outside Lagos ports. That will not happen if the eastern ports were given attention and many of the vessels diverted there to discharge and pick cargo. Because of that, there’s no movement or business from the eastern ports to Lagos or vice versa. Even with the vessels that queue up, export business is not booming. Many of our exports go bad before reaching the ports because the access roads are clustered. If NPA is truthful, nothing stops it from diverting all exports to Onne Port which still measures 14+ metres draught.

If a vessel like Lady Jane that came in last April will take about 600 containers of agro products for exports, it means if NPA dedicated Onne Port for exports, there will be lots of movement. It means other interests will come in to invest in the waterways so that containers can go from Lagos to Onne, Port Harcourt, Calabar, etc. There will be more push from NPA and security agencies to collaborate for security on the waterways at all times.

 

 

 

Q: Federal Government is yet to convince all that politics is not the main reason the eastern ports are still suffering neglect. Do you agree?

 

Ans: When you refuse to do what you should do to spread development, it is likely to have a political undertone. Let us starve this section of the country of development. That is what we are saying that should not exist in Nigeria’s maritime sector because it’s all negative when you fail to do the right thing. If the economy is smiling because the eastern ports are busy, it means less restiveness from that area.

It is wrong political decisions by regulatory agencies that are keeping the economy down. Politics should not be brought into businesses that create development. Port development is strictly commerce. It is better Nigeria develops all ports as any city with a port has no business with poverty. We should not bring politics to ports development.

 

 

 

 

Q: Is it right that instead of adequately empowering security agencies to protect oil pipelines, government is contracting the job to non-state actors?

 

 

Ans: It is an acceptance by government that confidence in the security agencies has been eroded. This means self-indictment. Why should that be? I do not share the idea that locals should be excluded from protecting our national assets such as oil pipelines and installations that pass through their territory. What we need is a healthy relationship between the security agencies and the indigenes. Government should do everything possible to promote good livelihood of the locals so as to earn their cooperation with the security agencies to protect the oil installations. Government should go back to the drawing board, look at positions people have taken over what is happening to the oil pipelines and address the issues holistically.  Various organizations in the locality should work with security agencies to ensure that the pipelines are protected.

 

 

Maritime Agencies

MARITIME SECURITY: 1723 Vessels Conducted ‘Dark Activities’ On Nigerian Waters, January To April, 2025, NIMASA’s C4i Reveals.

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By Izuchukwu Ozoemena

 

Between January 2024 and January 2025, 1,723 vessels conducted ‘dark activities’, including turning off their Automatic Identification System (AIS) while on Nigerian waters.

Dr Dayo Mobereola

The Command, Control, Communications, Computers and Intelligence (C4i) centre of the Nigerian Maritime Administration and Safety Agency ( NIMASA) says this alarming number of vessels probably decided to tamper with their AIS system to enable them carry out illicit activities within Nigeria’s Exclusive Economic Zone ( EEZ).

 

The C4i centre, a critical component of the Deep Blue project domiciled within NIMASA operates with contributions from various security agencies including the Nigerian Navy, Nigerian Air Force, Nigerian Army, the Nigerian Police and the Department of State Services.

 

It monitors vessels entering Nigerian waters using an intelligence system designed to detect any suspicious activity.

 

The supervisor of the C4i operation centre, Abdulrasak Lawal disclosed these findings recently during an oversight visit by the House Committee on Maritime Safety, Education and Administration to the Nigerian Maritime Resource Development Centre (NMRDC) in Lagos.

 

He explained that the system tracks the history of vessels, including their voyages and flags to determine any questionable activities for further investigation. The questionable activities include different types of sharp practices and the deliberate switching off of the AIS, among others.

 

Lawal said some of the vessels uncovered are suspected to have been engaged in illegal fishing, illegal bunkering, oil theft and dumping of harmful waste in the nation’s waters.

 

“These vessels, when they sail into our waters, turn off their transmission, and once they do that, you’re not able to track them. Once you are unable to track vessels operating on your waters, there are so many reasons associated with it. We have so many vessels coming for illegal bunkering, illegal fishing, dumping of harmful waste- they are part of the 1723 vessels conducting dark activities.

 

He added, “Immediately a vessel goes dark, we dispatch one of our aerial assets above that particular vessel to ascertain it’s activities at that moment.  Because once a vessel goes dark, it is a crime on its own, and we even have the power to detain any vessel that is conducting dark activities.”

 

Lawal also highlighted the significant volume of maritime traffic within Nigeria’s waters, which he said accounts for 47 percent of vessel traffic in the Gulf of Guinea with 33,530 port calls recorded between January and April 2025.

 

This, he said, is against figures from countries within the Gulf of The Guinea (GoG) like Ghana with 4,969 port calls, Gabon- 2,753, Equatorial Guinea- 2,196, Benin- 996, Liberia- 711, and Gambia with 328 port calls within the review period.

 

The high volume of traffic, Lawal noted, increases the potential for illegal activities and attack on vessels adding that as a member of the GoG, Nigeria is accountable to the International Maritime Organization (IMO) for ensuring security of vessels in its maritime domain.

 

Lawal disclosed further that a total of 4,016 different vessels entered Nigeria’s EEZ between January and April 2025,

with 166 of them entering for the first time.

 

Despite the challenges posed by these dark activities, Lawal said the C4i centre of the deep blue project has been instrumental not only in identifying suspicious vessels but also in maintaining a record of zero piracy incidents in Nigeria waters for over one year.

 

 

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Maritime Agencies

Nigeria – China Currency Swap Deal: Farinto, Olanrewaju Urge Maritime Stakeholders To Take Advantage of Opportunities.

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By Izuchukwu Ozoemena

 

 

 

Chairman, Customs Consultative Council (CCC), Aare Hakeem Olanrewaju is optimistic that the currency swap agreement between Nigeria and China has the potential to address the challenges of inflation and other issues working against trade facilitation in the country.

 

Determined to relieve external funding pressures and ensure trade facilitation between Nigeria and China, both countries engaged in a series of negotiations for a bilateral currency swap framework.

 

Olanrewaju who chaired the recent breakfast meeting held in Lagos by the Maritime Reporters Association of Nigeria ( MARAN) recalled

a research of over ten years ago showing that prices of goods keep going up in Nigeria compared to other countries of the world.

 

” I believe the decision of MARAN to organise this breakfast meeting and bring stakeholders together will give us an insight into the benefits and challenges of the currency swap between Nigeria and China”, he said.

 

Statistics show that China is a strategic tool for trade efficiency and external sector diversification . It has the potentials to offer Nigeria’s maritime industry new trade opportunities with China, the country’s trading partner .

 

In his intervention, former Acting President, Association of Nigeria Licensed Customs Agents (ANLCA), Dr. Kayode Collins Farinto commended the Tinubu administration for courageous decisions being taken to move the country’s economy forward.

 

However , he wants Government to tackle the challenge of infrastructure which has been an impediment to trade facilitation so as to efficiently implement the currency swap deal.

 

Farinto also called for the construction of a functional rail system to make the Lekki Deep Sea port viable and disbursement of the Cabotage Vessel Financing Fund ( CVFF).

 

He urged the Federal Government to provide the financial support to MARAN to enable the pioneer maritime media association to lead in efforts to carry out needed sensitization on the implementation of the currency swap deal between the two countries.

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Maritime Agencies

MAN, Oron, Pledges Partnership With CILT To Foster Professionalism In Marine and Blue Economy.

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The visitors presenting the Rector's portrait.

 

 

By Izuchukwu Ozoemena

 

 

 

The Management of the Maritime Academy of Nigeria (MAN), Oron, Akwa Ibom State, has received special recognition and applause for emphasizing robust professional maritime, logistics and transportation education, supply chain management and other professional pursuits aimed at deepening maritime development in Nigeria.

 

The Chartered Institute of Logistics and Transport (CILT) Uyo Branch made the commendation recently during a courtesy visit to the Management of the foremost nautical school.

 

Addressing the Academy’s Management Team, the Chairman of the Uyo Branch of the CILT, Mr. Itoro Okon Effiong, said the courtesy visit was to strengthen the professional relationship CILT established with the Academy and to congratulate the newly- appointed Acting Rector of the Academy, Dr. Kevin Okonna.

 

Okon Effiong who was accompanied by some key officers from the Uyo, Oron, Calabar, and Next Generation branches of the oldest Transport and Logistics Institute in the world said:

“We wish to reaffirm the CILT’s commitment to deepening collaboration with the Academy. We Congratulate you, (the Acting Rector).”

 

“The track record of your achievements in maritime leadership and educational development will always be remembered.”

 

The chairman added that the Rector’s appointment was timely considering the need to add value to the maritime and logistics sectors, which are undergoing global and local transformation.

 

Effiong stressed the pivotal role the Maritime Academy is playing in shaping seafarers and maritime professionals across the country and Africa, an effort he recalled is equally the professional passion of CILT Nigeria.

 

The Uyo CILT boss further maintained that by building and strengthening a robust professional partnership with institutions like the Maritime Academy, the Institute can tackle critical industry challenges such as capacity building, technological advancement, and policy alignment in line with international standards.

 

In his welcome address, the Ag. Rector of the Maritime Academy of Nigeria, Dr. Kevin Okonna,

warmly welcomed the delegation and commended the CILT for its continued dedication to maritime and logistics education. He pledged robust institutional support for the CILT.

 

In a symbolic gesture, the CILT delegation presented a commemorative souvenir in form of a portrait to the Rector, honouring him as a distinguished member of the Institute.

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