Port users at Onne port in Rivers State have been enveloped with uncertainty as West African Container Terminal, WACT, a subsidiary of the APM Terminals has announced an increase in its Terminal Handling Charges, THC and the Storage Charge in line with permission allegedly granted it by the Nigerian Shippers Council, NSC.
This is as the National President of the Africa Association of Professional Freight Forwarders and Logistics of Nigeria, APFFLON, Otunba Frank Ogunojemite has urged the Nigerian Shippers Council to suspend the WACT tariff adjustment, which by his calculations was presently at 100 percent increment.
In a notice to stakeholders dated February 3rd, 2025, the terminal operator first informed that starting from April 1st 2025, it would adjust its tariff in line with relevant regulatory approvals.
The notice reads in part, “We wish to inform you that WACT has reviewed its tariff in line with the relevant regulatory approval to adjust both Terminal Handling Charges, THC and Storage chargeable at the terminal.
“To this end, effective on April 1, 2025, applicable THCs shall be duly adjusted as attached, and the new rates shall be made available on our website on the said effective date.
“We understand the inconvenience this may cause you; hence, the free days have been adjusted from 3 free days to 5 free days.
However, in a petition addressed to the Executive Secretary of the NSC in this regard dated 4th March, 2025, APFFLON President, Ogunojemite said, “The Terminal intends to adjust its Handling Charges by 8 percent while that of the Storage Charges will be adjusted by 100 percent. WACT also claimed that the upward review of its tariff was in line with the relevant regulatory approval.
“In view of the above, we write to express our displeasure over this development and we unequivocally express our opposition to this planned hike which will in turn add to the cost of doing business at the port.
“We are aware of the meeting your office had with stakeholders in Lagos last month where you appealed to all parties to stay action on any planned increment in service charges, promising to look at the request holistically and come up with a position that would be acceptable to all concerned. The management of WACT could not wait for the outcome in this regard, only to rush to announce a review.
Again, we recalled that during a stakeholder engagement on the National Single Window held in Lagos recently, the Honourable Minister of Marine and Blue Economy, Adegboyega Oyetola announced his plans to reduce port cost by at least 25 percent and here we are having a terminal thinking of increasing its tariff in outright disregard to the Minister’s plans.
“While we are not against increment by any terminal operator, we are only saying that any increment at this point in time will amount to economic sabotage because the economy is bleeding and its harsh effects are being felt by the greater number of Nigerians.
“The planned upward review of tariff at this time is ill-timed and therefore, unacceptable to us.
“We insist, sir, that whatever review that they need to do should be suspended until further notice and until we can see that there’s really need to increase because most of their equipment are obsolete and outdated and the economy is so fragile at the moment to accommodate any tariff adjustment.
“We at APFFLON believe that what we should be talking about now is how to facilitate trade, enhance ease of doing business and deploy cost cutting measures to reposition our port system not tariff adjustment.
“We therefore, urge you to use your good office to prevail on the management of WACT to suspend the planned tariff adjustment and come for a roundtable discussion on the best time to effect this tariff adjustment as any move in that direction now will not only hurt the economy but will aggravate the congestion at the Lagos ports thereby impoverishing Nigerians the more.
“We demand that all efforts should be made to call the management of WACT and indeed, any other Service provider in the port environment who is contemplating something like this to order and be talked into aligning with the vision of the Minister of Marine and Blue Economy and the Nigerian Shippers’ Council under your leadership to work out cost saving measures in order to make our ports user friendly and competitive.”
Photo: West Africa Container Terminal, WACT, Onne, Rivers State.
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