The Apapa Area command of the Nigeria Customs Service has accused APM terminals of causing delays in cargo clearance at the port due to its failure to position containers early for examination.
The command lamented that scanners at the Apapa port are presently under- utilised due to APM terminals’ inability to position the required number of containers for scanning, resulting in delays and additional cost for stakeholders.
Speaking when a combined team of the National Trade Facilitation Committee and the World Bank, visited the Apapa Customs command in Lagos on Monday, Controller of the command, Comptroller Babatunde Olomu noted that while the scanners have the capacity to scan 400 containers a day, it presently scan between 150 and 200 per day.
Earlier, leader of the World Bank team Aleksandar Stojanov, noted that the team’s visit to the command was to gain first hand knowledge and understand the cargo clearance process, identify bottlenecks to trade facilitation, as well as customs digitilization efforts and the impact of forex fluctuation on customs operations.
He said the team, which comprises representatives from the Ministry of Industry, Trade and Investment, NAFDAC, SON, and the Nigerian Shippers’ Council aims to support government to improve competitiveness and domestic value addition.
Also speaking, representative of the Minister of Industry, Trade and Investment, Dr. Brenda Max-Nduagube,
emphasized the significance of harmonizing, standardizing, and simplifying trade processes and procedures.
She stressed that the benefits of streamlined trade are immense and cannot be overstated, hence the government decision to collaborate with the World Bank to conduct a comprehensive study on trade processes at Nigerian ports and border stations.
According to her, the ministry’s trade mission aims to identify bottlenecks and challenges in port operations, inspection processes, and trade facilitation.
She said by understanding these issues, the government seeks to develop policy options that will make trade seamless and efficient, thereby boosting Nigeria’s economic growth.
Addressing the delegation, Comptroller Olomu highlighted measures taken by the command to facilitate trade including full digitilisation and automation of its operations.
However, he noted that delays arise due to the time it takes for APM terminals to position containers for examination, while examination of cargoes only takes place between 12 to 4pm.
He said, “It takes time for APMT to identify these boxes and position them. People book for examination but APMT will drop them at their convenience. If APMT said they are ready for examination by 9:am, then we are available.”
He told the visiting World bank team that the Authorised Economic Operator (AEO) and the Advanced Ruling System recently launched by the NCS under the leadership of its Comptroller General Adewale Adeniyi has sigbificantly streamlined trade facilitation and reduce clearance time.
“With trade facilitation, the revenue component of our task is being simplified because it is when you facilitate trade that you can talk about generating revenue. So we see trade facilitation as a tool towards generation of more revenue for government. We will continue to engage with our stakeholders because there is no end to engagements, ” he said.
In terms of evacuation of cargoes, Olomu said the command is encouraging the use of rail and barge with over 50 percent of cargoes now being transported via barges while only 25 percent opt for road transport.
Deputy Controller in charge of Revenue, Wale Adenuga also corroborated the CAC’s position on delays in cargo clearance, stating that APM terminals is pioritizing demmurage charges over the needs of stakeholders.
His words, “APMT is working for its own selfish interest. A day container pay is N65, 000 as demurrage. So when examination is not conducted on time, people are frustrated and it leads to delay. We have tried from our end to make them see reasons but it has always been like that. We need to talk sense to APMT. Things need to change. They are capitilizing on demurrage to make more money and that has led to serious agitation on the side of the stakeholders.”
Adenuga also took the World Bank team on operations of the command, stating that once shipping companies tramit their manifest electronically, compliant traders can have their containers cleared within 24 hours of vessel arrival.
“Operation in Apapa is seamless because we are fully digitilised and working in collaboration with other agencies.
“We operate an open window for other agencies to acess the customs system especially the NDLEA, SON and other relevant agencies.
“We have about 50 bonded terminals in Apapa and all of them are interlinked with the server in the CPC, “he said.
Clearing agents who spoke at the meeting also expressed frustration with the delays caused by slow container movement and called for earlier examination times and improved cooperation from APM terminals.
Chairman, Association of Nigerian Licensed Customs Agents ( ANLCA) Apapa Chapter, Basil Nduagu,
said, “Agents are ready to work but the delay experienced at the port today is because of APMT.
“We are ready to work if they are ready to position containers even at 9am because our clients are already on our neck and we want our cargoes to be delivered on time.'”
Secretary, ANLCA, Apapa Chapter Oluseyi Adebiyi also added,” The challenge we have today is because of APMT. They should push the timing of examination back to 8am and 9am so that we can have more time to work.
“Our position as stakeholders in Apapa is we want to do business devoid of conflict and confrontation. We don’t want any form of industrial action but, however, we also expect the government to help us prevail on APMT so they can do the needful and give the best of service to deliver containers.”
Photo caption:
Controller, Apapa Command, Comptroller Babatunde Olomu presenting a souvenir to the representative of the Minister of Industry, Trade and Investment, Dr. Brenda Max-Nduagube, during the World Bank team’s visit to Apapa Customs command in Lagos on Monday.
