The National Executive Director of the Chartered Institute of Logistics and Transport (CILT) Nigeria, Mr. Paul Ndibe has said that the Peak Season Surcharge slammed on Nigerian bound cargoes by the shipping companies is a warning signal that Nigerian port system is inefficient hence the need to make it efficient.
Ndibe who made this assertion in a chat with Primetime Reporters in Lagos recently said that it was obvious that during seasonal peaks, there were lots of congestion which according to him would also create idle time for ships that were waiting to be unloaded adding that the charges were being raised by the shipping companies not for the purposes of increasing their profit level but for the purposes of addressing incidental costs that would arise as a result of delays during peak periods.
He therefore argued that it is left for the government to reorganize the system such that this peak period problems would not be there again saying that if they were not there anymore, the shipping companies would not charge it customers.
He continued, “They are charging because they exist and there is no solution to it and they cannot continue to incur such costs. So, it is left for us Nigerian to look at that and try and see how we can ameliorate that so that they would not have the need to introduce such costs because they need to be in business and they need to absorb all their costs in order to be in business and to do that, they have to transfer the cost to the next person.
“So, if as a nation we felt it is out of place and we know that what they are doing is for a particular purpose, it is left for us to address and put in shape our roads, put in good shape our clearing processes, put in good shape even our ease of doing business processes so that it will be seamless and when that happens, of course, there will be no need for all these charges”.
On the advice by the Executive Secretary of the Nigerian Shippers’ Council, Barr. Hassan Bello to Nigerian shippers to boycott shipping companies with that surcharge, the CILT National Executive Director said,” I don’t think there was a discussion between the Shippers’ Council and the shipping companies before the introduction of these charges. Because there was no such agreement, they came up with that, until it is resolved, it will be in the interest of the shippers to avoid using them so that they won’t incur the cost because once you use them, you have to pay the cost until it is resolved. So, in the meantime, while that last, avoid them and when they start losing businesses, they may also come to their senses and come to the negotiating table.
“Cost is involved and that cost will be borne by somebody else. So, there should be a line of discussion and agreement on that and of course, Shippers’ Council should be aware of such introduction of the charges and accept that it is in the best interest of the shippers. For Shippers’ Council to have taken such decision, it means they are not totally in support of the introduction of the charges and the best thing to do while discussions are on to resolve that is for them to avoid them, once you use that service, you will pay that charge. So, the best thing remains don’t use the service so that you don’t pay until the matter is resolved”.
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