Merit Ibe
The Nigerian Ports Authority (NPA) has listed items with high import tariff, inability of availability of deep seaports and continued delays in cargo clearance at the ports as major reasons Nigerian importers divert cargoes meant for the ports in-country to neighbouring countries.
Consequently, the Authority said the economy is losing multi-billion naira to rising cargo diversion from Nigerian waterways.
The NPA however called for concerted efforts to arrest the disturbing situation in earnest if government plans to raise its revenue generation.
The Group Managing Director (GMD) of NPA, Ms. Hadiza Usman Bala, made these known in Lagos on the sideline of the Lagos Chamber of Commerce and Industry (LCCI) event with key members of the organised private sector.
She explained that one of the most disturbing tropical issues at the ports currently was the cargo diversion, Apapa congestion and the underutilisation of the Eastern port.
The NPA GMD noted that goods banned from entering Nigeria are usually taken to the neigbouring countries but later find their ways into the Nigerian market, like large bags of rice, automobiles, frozen chickens and others.
She explained that the Federal Government’s border closure policy is a good strategy to arrest the rising smuggling of these items into the country via the land border.
Speaking on the lack of deep seaports in the country, the NPA boss noted that the shipping industry has moved to larger vessels for economies of scale, especially container vessels that require dead draft of about 17 meter to 18 meter.
According to her, currently, Nigeria lacks bigger draught to accommodate larger vessels on its waterways.