…Sign MoU to enhance seamless movement of cargo
The Nigerian Shippers’ Council, NSC and the Nigerian Railway Corporation, NRC, on Thursday, led stakeholders to x-ray the factors inhibiting the actualization of optimal and seamless movement of cargoes by rail from the nation’s seaports to the Inland Dry Ports, IDPs and the hinterland in general at a one-day stakeholders summit held in Lagos.
The event which has the Council for the Regulation of Freight Forwarding in Nigeria, CRFFN, the Nigeria Customs Service, the Nigeria Police, the Federal Road Safety Commission, the Chairman of Apapa Local Government Area, freight forwarders, transport operators’, Maritime Workers’ Union of Nigeria, among other prominent stakeholders in attendance, also witnessed the signing of the Memorandum of Understanding between the two government agencies for enhanced movement of cargoes by rail from the nation’s seaports to the Inland Dry Ports, IDPs and the hinterland.
Speaking in a keynote address, the Executive Secretary/Chief Executive Officer, CEO of the Nigerian Shippers’ Council, Barr. Pius Akutah recalled that the Council which was under the supervision of the Federal Ministry of Marine and Blue Economy, was saddled with diverse responsibilities to ensure equity and fairness among stakeholders in the maritime industry.
He added that one of such responsibilities of the Council was to liaise with appropriate arm of the government with a view to identifying issues and problems affecting inland transportation across all modes and to monitor intermodal coordination as it relates to challenges, costs and efficiency across the modes of transport.
Akutah further explained that the Nigerian Railway Corporation, NRC, as a dependable ally was vested with authority to manage the Public Rail Infrastructure, and to provide services and facilities for the carriage of goods and passengers.
“In line with their statutory mandates therefore, the two agencies are desirous of collaborating with the aim of ensuring and facilitating the efficient carriage of cargoes from the seaports to the Inland Dry Ports, IDPs”, he stated.
The Executive Secretary maintained that the Council’s initiative through closed Inter-Agency collaboration, particularly with the Nigerian Railway Corporation, NRC was with a view to ensuring: enhanced intermodal connections and connectivity; fast-track delivery of cargoes to and from Inland Dry Ports (1DPs) in Nigeria; cheaper and cost-effective means of transportation of goods to the hinterland and specifically, the IDPs located at the hinterland as well as facilitation of the development of critical transport infrastructure in the hinterland of Nigeria, among others.
He noted that rail transportation was efficient, economical, and safe, especially for long distances and carriage of large volumes of goods adding that it could also reduce greenhouse gas emissions and energy consumption compared with road transportation.
“The lack of functional rail system for evacuation of cargo from the seaports to various distribution centres to the hinterland has become a problem in the shipping industry and ease of doing business in Nigeria. This has resulted in congestion at the seaports, delay in off-loading of vessels and turnaround time, payment of demurrage, increase number of trucks and tankers on the road, traffic gridlock and high cost of doing business.
“It is therefore hoped that at the end of this programme, challenges impinging the transportation of cargoes to the hinterland (IDPs) would be identified and solutions proffered. I wish to encourage you all to deliberate extensively and come up with implementable resolutions that will enhance the delivery of cargoes from our seaports to the hinterland for maximum contribution to our economy”, he stressed.
Earlier in her welcome address, the Director, Inland Transport Services Department, NSC, Mrs. Ify Okolue disclosed that the objective of the summit amongst others, was to identify the challenges facing the Nigerian Railway Corporation, NRC infrastructural development; the role of the Nigerian Custom Service towards enabling seamless movement of cargo/reduction of cost of doing business in the port, proffer practicable solutions to the identified problems and open up discussions on the possibility for Public Private Partnership (PPP) in the provision of rail transport services with a view to promoting multimodal approaches to cargo evacuation and distribution to the hinterland.
While expressing optimism that the event would come out with far reaching resolutions that would impact positively on the development and promotion of seamless movement of cargoes from the Seaports to the Inland Dry Ports, IDPs in Nigeria, she however, called on all the participants to take advantage of the opportunity provided by the summit and contribute meaningfully to achieve the objective of the event.
“I wish to affirm to all our esteemed stakeholders that the NSC and indeed, the Federal Ministry of Marine and Blue Economy stand resolutely committed to creating an enabling environment for the actualization of optimal and seamless movement of cargoes by rail from the seaports to the Inland Dry Ports and the hinterland in general”, Okolue concluded.
Also speaking in a paper titled, “Limitations To Rail Transportation of Cargo In Nigeria”, the Director, Operations and Commercial Services, Nigerian Railway Corporation, NRC, Mr. Akinwunmi Osinowo stated that the Corporation was looking at enhancing the mutual cooperation between the shippers and the railways noting that that was where Shippers’ Council would be extremely and most helpful.
Insisting that there were lots of ways the two agencies could enhance the mutual working relationship, Osinowo harped on the need to resolve the discrepancies between port and rail legislations as according to him, there were many of such discrepancies.
He said, “Government to government, sometimes, it’s much easier to talk to each other but by the time you have the third parties in terms of the private sector injected into the process, then, it can get a bit tough here.”
He maintained that with an effective rail system, one was bound to have an access to a wider market base as according to him, rail actually was a very effective way of bringing the sellers nearer to the buyers. “It’s a very effective way of moving your goods from the hinterlands to the port for the purposes of exportation. It also maximizes the use of land and when you look at the Nigerian Railways standard gauge network, 3,500 kilometers nationwide.
“The damage to our roads goes without saying that, one rail cargo can move up to a thousand tonnes off our roads at any one time. Any one time our trains on standard gauge are moving, they are moving 35 boxes, that is 35 trucks off the road at any one time. You can imagine the multiplier effect of that”, he stated.
Photo: (L-R): Engr. Fidet Okhiria, Managing Director, Nigerian Railway Corporation, NRC, Barr. Pius Akutah, Executive Secretary/CEO, Nigerian Shippers’ Council, NSC and Director, Inland Transport Services Department, NSC, Mrs. Ify Okolue shortly after signing the MoU at a one-day stakeholders summit in Apapa, Lagos Thursday.
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