Maritime Agencies
APFFLON Seeks Immediate Reform of CRFFN, Replacement of Registrar.
By Izuchukwu Ozoemena
National President, Association of Professional Freight Forwarders and Logistics of Nigeria (APFFLON), Otunba Frank Ogunojemite says the Federal Government should carry out a wholesale reformation of the Council for the Regulation of Freight Forwarding in Nigeria (CRFFN) without delay as it has woefully failed in discharging the responsibilities vested in her by the CRFFN Act. This failure is the reason numerous lapses and confusion continue to bedevil the freight forwarding practice in Nigeria.
Otunba Frank Ogunojemite made the call in Lagos, Thursday, as a guest at a Roundtable organized by the Maritime Reporters Association of Nigeria (MARAN).
He called for immediate replacement of the Registrar who has overstayed his tenure in office so as to pave way for a wholesale reform programme that will, among other expectations, create room for sanity in the Council, reduce numerous complaints of freight forwarders and place premium on training.
“We (concerned freight forwarders) had a meeting sometime ago,” he stated, “and the purpose of the meeting was for a reformation in the industry. We had issues with the CRFFN in the court and we have started processing to come out of court based on the response that things we want should be done in the Council.”
“APFFLON found that a lot of people have violated the Council’s Act. For instance, it is in section 19 of the CRFFN Act that if you do not pay your subscription within six months, you should be deregistered. We found out that so many associations did not pay for years and they have not been deregistered.
“For God’s sake, we are not in animal farm. It is people who claim to be accredited and you have an issue which is supposed to be addressed by the Council and you went to court, which automatically earn you expulsion, and it is not being done. Then you want the Council to be effective when people are violating the Act.”
He specifically referred to the issue of sit-tight in office of the Registrar which needs to be addressed.
“The Registrar is supposed to be leaving the Council because this is his 4th year. He is supposed to have proceeded on terminal leave to hand over. But we do not know the collaboration between the Permanent Secretary and the Registrar that they are keeping them.”
He also regretted that no action has been taken against the CRFFN Registrar despite lots of allegations industry stakeholders have made against him.
“We are just incommunicado. There were several serious complaints leveled against the CRFFN Registrar but no updates on the investigations. It is not accreditation that matters to APFFLON but reformation of the industry. We want to be proud of our industry.”
“We can rate those that have been accredited. What are their achievements? What are they doing? Accreditation is little to APFFLON. What is important is reformation. His tenure is ending, he should proceed on terminal leave; we need reformation. We want the Council to work. We are ashamed to compare our Council with other people’s Council like the lawyers, engineers, etc”.
Picking holes in the running of the International Freight Forwarders Association (FIATA), he revealed that the Council representing Nigerian freight forwarders at the global level is not registered.
“CRFFN is supposed to be an umbrella for all the freight forwarders in Nigeria and it should be representing us at FIATA. There is an extent to which professionals can make decision in the Council because government has half and we have half. So, how do we agree to disagree? So the issue for APFFLON is reformation of the industry.”
Maritime Agencies
NAGAFF Suspends Planned Strike As NPA, Maritime Police, DSS Resolve To End Container Blockage.
By Izuchukwu Ozoemena
Following the adoption of three key resolutions aimed at addressing the controversial blockage of containers by the Maritime Police Command at Nigerian ports, the National Association of Government Approved Freight Forwarders (NAGAFF) has resolved to suspend her planned industrial action.
The resolutions followed a crucial meeting convened by the Nigerian Ports Authority (NPA) Thursday, with representatives of the Maritime Police Command, Department of State Services (DSS), NAGAFF and other relevant stakeholders in attendance to discuss freight forwarders’ long-standing concerns on the matter.
Alhaji Ibrahim Tanko, National Coordinator of the NAGAFF 100% Compliance Team, announced the strike suspension in Lagos Friday.
First among the key resolutions is that there should be no blockage of containers by the Maritime Police. The second agreement is that whenever the Maritime Police has a reasonable intel concerning any container in the port, this should be channelled to the Nigeria Customs Service, the appropriate agency statutorily empowered to handle such matters.
Thirdly, in line with continuing efforts to improve trade facilitation and ease of doing business, government agencies maintaining physical presence in the ports must not exceed five.
Alhaji Tanko explained that agencies such as the Standards Organisation of Nigeria (SON) and the National Agency for Food and Drug Administration and Control (NAFDAC) would, under the new arrangement, show presence in the ports only when invited by relevant agencies to execute specialized interventions in line with their statutory mandate. This is to reduce unnecessary bureaucratic procedures and facilitate easy movement of cargo through the ports.
For customs-related issues, he informed, the meeting agreed that the Nigeria Customs Service (NCS) should take the lead, while suspected narcotics consignments should be referred to the National Drug Law Enforcement Agency (NDLEA).
NAGAFF’s intervention, Tanko clarified, was not aimed at undermining any government agency but to ensure that each agency operates within the sphere of its statutory responsibility while supporting the Federal Government’s ease-of-doing-business agenda.
Tanko who condemned the blockage of containers by the Maritime Police even when such consignments are cleared and released by the Customs said freight forwarders had become increasingly concerned about the delays and additional costs caused by the practice, particularly where containers are blocked without verifiable intel linking them to wrongdoing.
He recalled that NAGAFF had earlier engaged the AIG of the Maritime Police Command, AIG Okunade Ronke Nura on their concerns and the police boss promised to look into the matter.
He strongly condemned sweeping blocking of all containers because one or two consignments are suspected to be laden with undeclared or prohibited goods.
“There is no way you can tell me all the ships and all the manifests are suspected to carry another thing. The whole container coming into the country cannot be under investigation,” he said.
He expressed confidence that reducing the number of agencies physically present at the ports, while allowing specialised agencies to intervene when necessary, would help reduce delays and improve the operating environment for importers, exporters and freight forwarders.
Tanko warned that from next week, NAGAFF would, through her compliance officers, begin monitoring compliance with the resolutions and any container blocked after the August 27 agreement would be treated as a fresh violation and reported to relevant authorities.
“If there is any blockage before that day, they will unblock it. But if there is a blockage after yesterday, it is another issue on its own,” he disclosed.
Tanko also acknowledged that even though freight forwarders had previously directed some complaints to the Nigerian Shippers’ Council, the latest engagement had provided greater clarity on the appropriate channel for handling police-related container blockage.
NAGAFF, Tanko assured, would continue to engage relevant government agencies to ensure that diligent implementation of the resolutions result to improved cargo clearance, reduce delays and avail a more efficient operating environment at Nigerian ports.
Maritime Agencies
CVFF: Cargo Availability, Trade Contracts Should Determine Ship Acquisition.
By Izuchukwu Ozoemena
As the ongoing controversy on the Cabotage Vessel Financing Fund (CVFF) persists, an industry expert has canvassed that only guaranteed cargo and long-term trade contracts would guide shipowners to acquire appropriate vessels, generate revenue from their operations and repay the loan over time.
Capt Ladi Olubowale, foremost ship owner and former chapter president of African Shipowners Association (ASA) stated this, Monday, while speaking as a guest at the Maritime Reporters Association of Nigeria (MARAN) Roundtable. The success of the CVFF, he posited, should not be measured merely by the amount allocated to individual shipowners, but by the ability of beneficiaries to link vessel acquisition to viable commercial opportunities.
Capt Olubowale, the CEO, Seamate Maritime Integrated Services Ltd, said that a $25 million facility under the CVFF could be sufficient to acquire a sizeable vessel if the financing is tied to identifiable cargo and long-term trade contracts.
Shipping is all about practicality and private sector must be in the frontline, not the government. People should be made to understand what it means to run the business of shipping. When the Minister travels, he must take along stakeholders who have the experience because shipping is a public sector-driven industry.
Olubowale recalled that the Nigerian Maritime Administration and Safety Agency (NIMASA) had taken a position that potential beneficiaries from the CVFF would be required to provide about $3.7 million in equity to access financing of up to $25 million, but stressed that the critical consideration should be the trade the vessel would serve.
Nigeria’s maritime industry, he explained, is like a loaded ship waiting for who can sail it to sea.
“NIMASA wants you to bring out $3.7 million in order for you to be able to attract $25 million. They will now look at it in your own case. What trade will you be using that for?” he asked.
Olubowale explained that the $25 million facility should not be considered in isolation as different categories of vessels are designed to serve specific cargo requirements.
He urged the government and industry stakeholders to first identify the volume and nature of cargo available in Nigeria and then match such cargo with the appropriate vessels before approving CVFF financing.
Citing dry cargo, cement and other commodities, he said each trade required vessels specifically suited to its operational needs, warning against financing vessel acquisition without first establishing the commercial demand that would sustain the investment.
The shipowner said a properly structured $25 million facility could enable an operator to acquire a vessel dedicated to a specific trade, particularly where a one- or two-year contract guaranteeing cargo is already in place.
He noted that revenue generated from such contracts could be used to service and repay the financing, thereby making the vessel commercially viable and reducing the risk associated with ship acquisition.
Olubowale further called for the CVFF to be deployed as part of a broader national fleet development strategy rather than being treated solely as a financing scheme for individual shipowners.
According to him, with an estimated $700 million currently available in the fund, Nigeria could develop a national fleet covering various cargo segments if the resources were strategically deployed with the guidance of experienced industry professionals.
“Most of this shipping does not require a big capital. It requires you have a 10 per cent deposit as long as you trade to cover up that money,” he said.
He argued that guaranteed trade would significantly improve the viability of CVFF-backed vessel acquisition and provide a clear repayment structure for lenders.
Olubowale also disclosed that several banks had approached his company regarding the CVFF, with some presenting term sheets detailing financing requirements, equity contributions and other conditions.
He said the development represented a significant shift from previous years when shipowners frequently complained about the prolonged process of accessing the fund.
The shipowner maintained that the priority should now be to ensure that the CVFF delivers measurable economic benefits by expanding Nigeria’s indigenous fleet, creating opportunities for local shipowners and enabling Nigerian operators to capture a greater share of the country’s maritime trade.
Maritime Agencies
MARAN to Honour NAGAFF President, High Chief Tochukwu Ezisi as Patron.
By Izuchukwu Ozoemena
The Maritime Reporters’ Association of Nigeria (MARAN) is set to confer the prestigious title of Patron on the President of the National Association of Government Approved Freight Forwarders (NAGAFF), High Chief Tochukwu Ezisi, in recognition of his outstanding contributions to the development of Nigeria’s maritime industry and his commitment to humanitarian causes.
The investiture will take place at the MARAN Maritime Annual Lecture (MAMAL), the flagship programme of the association, scheduled to hold at the Nigerian Air Force Event Centre, No. 1 Kofo Abayomi Street, Victoria Island, Lagos.
High Chief Ezisi is a seasoned and accomplished freight forwarder whose decades of experience and contributions to the freight forwarding profession have earned him respect within and beyond the maritime community. He is also widely recognised for his philanthropic activities and commitment to supporting individuals and communities.
MARAN President, Mr. Oluyinka Onigbinde, said the decision to honour High Chief Ezisi reflects the association’s appreciation of individuals who have distinguished themselves through professionalism, service and contributions to the growth of the maritime sector.
According to him, High Chief Ezisi’s elevation as Patron is also expected to further strengthen the relationship between MARAN and stakeholders across the freight forwarding and broader maritime community.
The MARAN President noted that MAMAL has, over the years, provided a credible platform for critical discussions on issues affecting Nigeria’s maritime industry, bringing together policymakers, government officials, regulators, industry leaders, academics, journalists and other key stakeholders.
The annual lecture is expected to attract top government officials, bureaucrats, maritime industry regulators, members of the academia and major stakeholders across the Nigerian maritime sector.
MARAN said the investiture of High Chief Tochukwu Ezisi will be one of the highlights of this year’s MAMAL and will underscore the association’s commitment to recognising individuals whose contributions continue to advance professionalism, collaboration and sustainable development in Nigeria’s maritime industry.
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