…Counsels ECSA to take measures to improve on transparency and facilitation of trade relations***
Against the backdrop of a raging controversy, following foreign shipping companies’ arbitrary hike in shipping charges, the Union of African Shippers’ Councils (UASC) has called for its immediate suspension, backing the Nigerian Shippers Council to the hilt.
The NSC Head of Public Relations, Rakiya Zubairu confirmed this Friday afternoon, noting that the UASC position, effectively buttresses Nigerian stakeholders’ position, on the controversial Peak Season Surcharges (PSS), capable of igniting new spiraling inflation.
Recall that six foreign shipping companies allegedly hiked peak season charges by 400 percent.
“The Union of African Shippers’ Councils (UASC) has called for the immediate suspension of Peak Season Surcharges (PSS) imposed by Shipping Lines ‘serving the West African Trade Route. This is in line with Nigerian Shippers’ Council’s position”, she pointed out.
She highlighted that the Nigerian Shippers’ Council had in an August 16, 2020 letter addressed to the European Community Ship Owners Association (ECSA) and copied to the UASC among others, complained about the outrageous increase in surcharges with particular reference to Peak Season Surcharge (PSS), levied on Nigeria bound cargo.
“In a letter signed by the Secretary-General Ogoula Giscard Lilian, the UASC strongly condemned the ‘unilateral and offensive action by ECSA carriers in blatant disrespect of previous agreement and expectations,’ stating that the action destabilizes the business operations of its members ‘through the increasing of transport costs and weakening of the economies of UASC member-states especially during this outbreak of Coronavirus pandemic which has kept commercial activity at its Iowest in terms of activity and prosperity’ “.
The Maritime First learnt that the letter to ECSA further stated that: ”the implementation of this unilateral decision on your part is in violation of previous UASC/ECSA agreements requiring prior, mutual and reasonable notification of UASC and PMAWCA by individual shipping companies before any such imposition of new tariffs, surcharge or increase in transport cost”, and subsequently called ECSA attention to the Report of the UASC/ECSA meeting held on 16 July 2010; and a ‘Joint Declaration’ between UASC and ECSA, signed in Brussels on 12 April 2012.
Consequently, the UASC called on ECSA to pursue the following measures:
*Respect previous agreements and recommendations on this matter;
*Suspend the application of the Peak Season Surcharge until discussions on the new surcharges take place.
*Take necessary measures to improve on the general transparency and facilitation of trade relations with UASC’s members.
lt would be recalled that the Nigerian Shippers’ Council on Wednesday convened a meeting of stakeholders and the organised private sector to discuss the astronomical increase in Peak Season Surcharge. The meeting roundly condemned the surcharge.
Expatiating, Chief Cajetan Agu, the Nigerian Shippers’ Council Director, Consumer Affairs Department said a joint platform made up of UASC, Shippers’ Council and other relevant stakeholders would be created to facilitate further discussions with ECSA.
