BusinessDay... the voice of business: Port and terminal charges on 302 percent rise

Port and terminal charges on 302 percent rise
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CLIFF ALOZIE-ERONDU on 30 April, 2008 02:00:00
 
Port and terminal charges have risen by 302 percent higher, two years after
concession exercise began.
The increase is attributed to the infrastructure development and investments
the concessionaires have made at the port within the period.
Before the exercise, the Nigerian Ports Authority (NPA) charged N11,715.50 for
20-footer container and N18,158.50 for 40-footer box respectively.
In the post concession era, terminal operators such as APM Terminals collect
N50,285.00 for 20-footer container and N68,068.00 for 40-footer, which are
N38,596.50 and N49,909.50 higher than the NPA period.
The services has also improved in the last two years, with waiting period for
vessels reduced from 14-28 days to 0-24 hours and container moves per hour
increased from seven containers to 19.
Reacting to the increase in charges at a Policy dialogue on “Customs and Port
Reforms,” held recently in Lagos, the director general of the Manufacturers
Association of Nigeria Jide Mike, said stakeholders were not appreciative of
achievements in the turnaround time of vessels because of the high charges.
He explained that the gains from concession was better and far outweighed the
situation on ground prior to port congestion, stressing that operators in the
industry should be patient.
According to Mike, there were no other alternative to improving the situation
of Nigerian maritime industry, which had made the seaports unattractive and
odious to operators from other parts of the world, with special charges and
fines on ships plying the country’s route.
On his part, the chairman of the National Association of Government Approved
Freight Forwarders (NAGAFF) said government’s decision to embark on port
concession exercise was to reduce the cost of clearing goods to about 30
percent, but up till now it had not been felt.
He pointed out that a lot remained to be appreciated in terms of costs and
quality assurance.
“It is not enough to say that the number of days it takes to clear a
consignment at the ports has reduced but at what cost”, Aniebonam asked