Shippers Council, FCCPC collaborate to protect consumers’ rights, tackle unfair trade practices at ports

The Nigerian Shippers’ Council (NSC) in collaboration with the Federal Competition and Consumer Protection Commission (FCCPC) has declared plans to establish a Consumer Protection Regime (CPR) aimed at ensuring that consumers of shipping services are protected against unfair trade practices at the nation’s ports.

Executive Secretary of the NSC, Emmanuel Jime disclosed this in Lagos on Tuesday at a sensitization programme for stakeholders on consumer rights and responsibilities in the port and shipping sector.

Jime said the CPR when instituted will address infringements by service providers and users in the industry as well as enthrone sanity and fair-trade practices in the system.

Represented by Director of Human Resources at NSC, Ada Okam, Jime noted that the collaboration between both agencies started in 2022 with the signing of a Memorandum of Understanding (MoU) to protect both providers and consumers of shipping and port services.

According to him, the idea was to bring sanity in the conduct of shipping and ports business to ensure harmony, fair trade practices and efficiency in the sector.

Jime said the sensitization exercise which will be conducted at various ports will ensure all stakeholders are carried along in the process of developing the CPR so as to build trust and confidence before rolling out the scheme.

He said, “This is the first in the series of sensitization programmes which we scheduled to hold, to enlighten the stakeholders of their rights and responsibilities in the course of carrying out their activities at the port.

“We plan to conduct sensitization exercises at various ports and inland locations to get necessary inputs from stakeholders on how the industry can operate seamlessly with little or no infringement on rights of users and providers of shipping and port services.

“As we are all aware, the shipping industry comprises various players who in the course of daily transactions are bound to trample and infringe on each other’s rights.”

Jime said the collaboration between both agencies will help encourage competition, prosecute erring service providers and users, sharing of information and intelligence, consumer education and awareness as well as enforcement and compliance.

He listed some of the rights to include the right to be informed about the quality, quantity, potency, standards and charges/rates of services so as to protect the consumer against unfair trade practices.

Others include right to access variety of services at competitive prices, right to seek redress against unfair trade practices, unscrupulous exploitation of consumers of shipping service, right to consumer education, enlightenment and information on services availability

“The sector as of today looks as if there is chaos everywhere. However, when the CPR becomes fully operational, we expect a change of behavior in the conduct of shipping and ports business in Nigeria.

“It was in order to address the observed challenges and unwholesome practices in the sector that the Federal Government of Nigeria appointed NSC as the Ports Economic Regulator, to create an effective regulatory regime at Nigerian Ports for the control of tariffs, rates, charges and other related economic services.

“Although, the various sections of the Nigerian Shippers’ Council (Port Economic) regulation 2015, adequately provide NSC with sufficient power to monitor and enforce its regulatory mandate for compliance by the various players, our resolve to collaborate with the FCPCC is to explore avenues towards strengthening the enforcement of the mandates of the two agencies,” he said.

On his part, Executive Vice Chairman of FCCPC, Babatunde Irukere noted that consumers’ rights and welfare must be prioritized.

While commending the NSC for collaborating with the FCCPC, Irukere stressed the need for effective collaboration among government agencies for the benefit of consumers of shipping services at the port.

“In everything we do, the consumers should be first whether at the port, or at the point of agreement, we must ensure that the consumer is protected,” Irukere, who was represented by Director of Legal Services at FCCPC, Tam Tamunokobia said.

In his paper presentation on Ethics and Integrity in the Port and Shipping Sector, Director of Programme at CBI Nigeria, Emmanuel Bosah highlighted the need for both providers and users of shipping services to imbibe integrity in their operations.

This, he said, is essential to promoting development in the sector, improving international trade and creating an inclusive economy where different port stakeholders enjoy a level playing field required to conduct their businesses.

He pointed out that a lot of corrupt practices happen within the maritime value chain because vessels and cargo clearance involve numerous stakeholders resulting in multiple interactions with port officials.

According to him, this provides ample opportunities for corruption especially where port officials enjoy broad discretionary powers and giving that ports are an administrative monopoly over an essential public service that businesses have to depend on to function.

“This creates breeding ground for ‘coercive’ corruption where port officials can extract bribes from port users for performing routine processes during vessel and cargo clearance practices. Such corruption constitutes an additional cost on businesses and increases the cost of doing business, reduces efficiency and productivity as well as inequality in port operations,” he said.

To enhance integrity at the port, Bosah called for the establishment of a clear set of rules and standard operating procedures that define and govern how port operations are conducted.