…As expert says ‘Maritime can generate N3tr yearly’***
The Shipowners Association of Nigeria (SOAN) has pledged to collaborate with the Federal Government to meet the expectations of stakeholders.
SOAN Vice President and Chairman, Organising Committee, End of the Year Annual General Meeting (AGM), Alfred Okoigun, made this known in Lagos.
In an interview, ahead of the AGM, he said: “We are beginning to get the collaboration of the industry players like the Nigerian Local Content Board, the NAPIMS office and NIMASA, with everyone of them, not just listening but even asking us: what are your challenges and where can we help? This was not a common thing before,” adding that the association, five years after its founding,was proud of the disposition of certain high-calibre individuals, including the Minister of Transportation, Rotimi Amaechi, the Petroleum Minister of State, Dr. Ibe Kachukwu, the Executive Secretary, Nigerian Local Content Board, Simbi Wabote and the Director-General, Nigerian Maritime Administration and Safety Agency (NIMASA), Dr. Dakuku Peterside.”
He continued: “This was not how it used to be when we operated as if we were on our own and they were on their own; fighting one another and even as some of the coordinating ministries were also not in harmony.
“But through the SOAN, we have been able to blend them all of them, because we have emphasised the importance of national interest. Can you imagine that with the quantum of water we are endowed with, we have not harnessed and prospered from it?
“If you go to Holland, Sweden, Norway or even Dubai without much water, you can see what they are doing with their waters. But here, we are just scratching the surface.
“So, this year is to really get the government and the key players together, to enable all parties, brainstorm and explore how we need to continue to collaborate and improve together in the overall interest of both the maritime industry and the citizens.
“We have some relevant stakeholders who should join us; but are still outside. But I am happy that some of them are already appreciative of what SOAN is able to do. We are using the tools of personal engagement, as well as the media to let them know they should no longer stay out.
Speaking on what to expect at the AGM at the Oriental Hotel, Lekki, Lagos, Okoigun confirmed the attendance of Amaechi; and Kachukwu as special guests of honours, and some dignitaries, adding that the doyen of the Nigerian maritime industry, High Chief Adebayo Babatunde Sarumi would chair the event.
In the meantime, the Federal Government can make over N3trillion yearly from the maritime sector, if it is well structured, a top Federal Ministry of Finance official has said.
The official, who asked not to be named, urged President Muhammadu Buhari to invest part of the money generated from the sector because of dwindling oil revenue. He said 30 per cent of the revenue generated from the Lagos Port Complex (LPC) and the Tin Can Island ports should be ploughed back into developing the seaports to international standards.
Speaking with The Nation after the visit of the Senate Committee to the Lagos ports last week, the official said there has been a reduction in the number of vessels calling at Lagos ports, saying the problem has to do with some policies on importation.
“It would be recalled that in 2006, $1 exchanged for about N130, but today it is about N360 to a dollar, which implies a significant decline of about 70 per cent in the value of the national currency since port concession, and that is why the Minister of Transport needs to reposition the maritime sector,” he said.
Customs alone, the official said, could generate about half of the money, if loopholes were blocked and if the government stops the abuse of the waiver clause.
According to the official, the President should review import policies, especially the foreign exchange (forex) restriction on 41 items.
Investigation by The Nation revealed that activities at the ports were still very low because of the exchange rate policy.
For instance, findings revealed that activities at the RoRo Terminal at the Tin Can Island port in Lagos were still at their lowest ebb.
The exchange rate and the auto policy have impacted negatively on importers, freight forwarders and revenue from government agencies.
The official said in 2012, 11,380 vehicles were imported through the Lagos port, while 251, 375 came in through the Tin Can Island port in the same year.
“The figure increased to 14, 422 and 280,057 at the Lagos Port Complex and Tin-Can Island ports respectively, in 2013,” he said.
The figure dropped below 881 and 124,250 at each of the ports last year.
The official attributed the low vehicles import to the exchange rate and the auto policy.
“The Federal Government needs to diversify the economy by using the money generated from the ports to develop agriculture and other solid minerals to encourage exports so that the economy does not rely on oil export but diversified into other areas,” he said.
The government, the official said, should also encourage Foreign Direct Investments (FDIs) for new port projects to come up.
He suggested that the auto policy should be simplified to improve port activities.
“Otherwise, activities at the Port and Terminal Multiservices Limited (PTML) renowned for vehicle imports would continue to drop. If this happens, Nigeria will conyinue to be losing about N800 million yearly from this source,” the shipper warned.
The Nation
