Poor Export Trade, Barrier To Seaport Reforms – NPA Boss

Failure by successive governments to develop the nation’s export trade has been identified as a major hindrance to timely clearing of cargo in the nation’s seaports as empty containers which are supposed to be taken back with exports now lither the ports, causing loss to importers and hindering international trade.
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The Managing Director of? Nigeria Ports Authority, Mr. Omar Suleiman, told LEADERSHIP in an exclusive interview that due to the country’s undeveloped export trade, containers which are used to bring in goods into country lie empty at the ports occupying space and becoming a threat to reforms in the sector.
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He explained, “In the whole world, it is only in Nigeria that our export remained largely undeveloped. A lot of empty containers are seen in our ports because there is no viable export trade and this is responsible for the presence of so many empty containers at the ports. How many transporters will want to take empty containers? In terms of the cost of handling, an importer pays less for transporting empty containers than laden container whereas the reality is that it takes the same time to transport laden container to transport empty container.
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“Therefore, transporters naturally do not like to take empty containers because it takes the same time and the same energy to transport a laden container and an empty container, yet are paid less for handling the empty ones. That is one reason transporters don’t like carrying empty containers. Secondly, Nigeria has to develop export, so that when the containers come in, a sizeable number would be used to take the export. Then the transporter will be willing to take them back when they are laden and much more money is paid on them. This is a major reason why we have a lot of empty containers in Nigeria.”
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While attributing failure of some concessionaires to the global meltdown and insecurity in the marine environment, the NPA boss noted that the leasing of the ports to private managers in various concession arrangements had brought in positive changes.
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“Over all we give the concession of Nigerian ports a very good mark, because, for instance in Apapa, we are able to bring in vessels of up to 4,500TEU of up to 13.5 metres which we are not able to do before. Before, our magazine was about 1,000TEU and we had about eight metres, but now the concessionaires are given the opportunity to really concentrate on the real key activities of Nigerian port authority that is the channel and by that we have really developed certain parameters much more than before.