COVID-19: Why FG Should Shutdown Seaports Now, by Stakeholders
*We want demurrage, rents, penalties waived effective from first week of March – ANLCA President
*Nothing more than saving lives of citizens – Aniebonam
By Francis Ugwoke
Associations of customs brokers and freight forwarders in the country weekend called on the federal government to shut down the nation’s ports as part of the efforts to check the spread of coronavirus pandemic in the country.
The stakeholders who noted that clearing of goods have continued in the ports despite the spread of coronavirus said this was because customs agents were apprehensive that failure to clear some goods will attract demurrage.
The President of Association of Nigerian Licensed Customs Agents (ANLCA), Iju Tony Nwabunike in a open letter to the Vice President, Prof Yemi Osinbajo, explained that while it has shut its secretariat, some customs agents have continued to be in the ports to clear their goods due to the due to fear of losing money and investments through demurrage and other charges as may be effected by the shipping companies and terminal operators operating in the ports.
Nwabunike in the letter had told the Vice President that the only way out was for the government to shut the ports and compel the shipping companies and terminal operators to be prepared to waive demurrages.
He said this way, the fears of the importers and customs agents will be allayed and help in checking the spread of coronavirus.
Part of the letter reads: “We at ANLCA are in full support and we have since last week shutdown our National Secretariat and advise our numerous members across the Country to practice the Self Distancing and stay at home order as issued by the Federal Government in its efforts to help contain the spread of the virus which may be occasioned by moving from offices to ports and to various homes.
“However, due to fear of losing money and investments through demurrage and other charges as may be effected by the shipping companies and terminal operators operating in the ports, hence our fears heightened.
“Your Excellency sir, there is no gain saying that before the Covid 19 pandemic subsides for normal businesses in the seaports, airports and border stations to take it full swing, imported and exported items might have been trapped in the various gateways to the nation. As such demurrages and rent payable to Shipping Companies, Concessionaires/Terminal Operators will have attend an unbearable proportion due to the lock down.
“ As you already know sir, it is difficult, if not totally impossible to process customs documentation and take delivery of cargoes in our ports during this period. Even when attempts is made, it becomes difficult because state governments have closed interstate borders, markets are locked and movement of certain vehicles restricted.
“We now have a situation and irresistible circumstances that make the plea and activation of “Force Majeure” in line with international best practices inevitable.
“We hereby call for the enforcement of “Force Majeure” and total lockdown of our seaports as already done in the airports and border stations to curb the spread of the deadly Coronavirus and to protect the Nigerian workforce operating in our ports.
“We also appeal to the Federal government to prevail on shipping companies, terminal operators and other agencies in the ports to be prepared to waive all charges, taxes and fees during this period of national compromise at all levels.
“Consequently we seek for all demurrage, rents, penalties etc emanating from inability to clear cargoes as at when due from the ports at this period to be waived effective from the first week of March, 2020 when the first case of the deadly virus was detected in Nigeria through an Italian citizen.
“Your Excellency sir, we are appealing that you use your good office to ensure that this is implemented Immediately.
“ Sir, please note that we are dealing with concessionaires, shipping companies and others who are mainly foreigners, hence the need for government intervention and enforcement has become necessary.
“This open letter has become necessary in order to create a conflict free and friendly business operating environment, even after this national pandemic is over.
“We also want to use this medium to assure the Federal Government of Nigeria that ANLCA and all its members across the country will support the government and all its agencies in the ports to make sure government achieve its objectives in making sure activities in the ports return to normal, especially in collecting revenue to the government”.
The Nigerian Ports Authority (NPA) had on Friday directed terminal operators to stop collection of demurrage on goods at the ports.
In a statement coming after ANLCA’s letter to the VP, the General Manager, Corporate and Strategic Communications, Jatto Adams, said the suspension of demurrage payment was for the initial period of 21 days,
The measure , Jatto said was as a result of the coronavirus.
The founder of NAGAFF, Dr. Boniface Aniebonam had also in a statement weekend called on the government to urgently shut the ports, adding that there is nothing more than saving the lives of Nigerians.
Aniebonam argued that this was even constitutional since the primary responsibility of government was to save lives.
NAGAFF founder also advised that in order to avoid congestion, outer terminals and dedicated areas can be used to warehouse the containers and or any other type of goods.
Part of his statement read: “There is no gainsaying the fact that the sea and air ports are the gateways of the nation’s economy. Under the circumstance we have found ourselves the rising cases of COVID-19 in Lagos is enough for government to realise that the SEAPORTS and AIRPORTS must be shut down immediately till further notice.
“This is because there is nothing more than the lives of citizens. It is even constitutional that the primary responsibility of the GOVERNMENT is to protect the lives and properties of citizens. In this regard and in line with the directive of the federal government with regard to vessels approaching Nigeria at the moment such vessels can still be allowed to come in under strict conditions of the rules of engagement.
“It is to advise that in order to avoid port congestion the outer TERMINALS and or any other dedicated area can be used to warehouse the containers and or any other type of goods. Therefore, the need for the Transportation Minister and Finance Minister to set up a special taskforce to undertake such responsibility cannot be OVEREMPHASISED. It is also important that Lagos state and other affected states at the moment should consider imposition of curfew The government of NIGERIA is being advised to take strict measures right now because we do not have facilities for cushion the consequences of the ongoing spread . This again to add we could not take early measures when it started in China”.
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