Nweke Calls for Harmonization of Policy Objectives by Agencies for Effective Automation Process at Ports
*Urges govt to allow Shippers Council drive automation processBy Francis Ugwoke
For an efficient automation process in Nigerian ports as obtains in advanced countries, the federal government has to take urgent steps to harmonize its policy objectives beyond the various Ministry interests represented by its agencies for a common goal.
Former President of National Association of Government Approved Freight Forwarders (NAGAFF), Dr. Eugene Nweke who made this call explained that this was because the automation process in the ports was not centrally driven but one of multiplicity of efforts by different agencies of government.
Nweke described a national automation process as devoid of undue agencies supremacy tussles, but driven purely on national interests.
He argued that there was the need to harmonize what agencies such as Nigeria Customs Service (NCS), Nigerian Ports Authority (NPA) , Nigerian Maritime Administration & Safety Agency (NIMASA), NAFDAC, SON, among others were doing under a seamless integrated process to arrive at a better result as obtains in other climes.
He said that the current situation was that all the agencies in their different objectives for automation seem to be driven by simply individual core objectives which according to him was a negation of the whole essence of national e-commerce networking among shipping companies.
Nweke in an online chat with SHIPPING DAY was of the view that for best results, the evolution of national port automation process should be a core focus of the Nigeria Shippers Council (NSC).
He further explained that the reason was, “from all indications, it appears that the Trade Ministry has surrendered it’s administrative obligations to the Transport Ministry, perhaps for policy concerns”.
Arguing that the Presidential Task For on Ease of Doing Business didn’t achieve much in its campaign on account of non seamless integrated process, Nweke said it was imperative to allow
the as NSC as the ports economic regulator to sustain its advocacy in this direction.
Nweke said the Nigeria Customs Service has a near national automated system but limited to trade, a robust interface and interaction capacity as required.
“Same goes with the NPA, NIMASA,etc. All of them seem to be driven by core agency objectives which is a negation to whole essence of National e-commerce networking amongst the port/shipping companies. Ordinarily, one should expect that, this evolution of national port automation process should be a core focus of the Nigeria Shippers Council”, he said. He explained that this was because the Ministry of Trade seems to be far from the global realities.
“From all indications, it appears that the trade ministry has surrendered it’s administrative obligations to the Transport Ministry, perhaps for policy concerns”, he said.
“I must also note that, going by what obtains in any country where National Single Window permeates, by WTO/WCO recommendations, the Customs serves and stands as a lead agency to drive the process. Unfortunately, since emphasis is on seamless trading and trade facilitation and not revenue generation, I doubt if it will be appropriate for the Nigeria Customs to lead, hence, the need to score administrative balance or reconcile the inter play between trade facilitation flexibility and revenue generation rigidity”.
He said an efficient automated port system, is expected to “posses the capacity for unhindered communication via Single Portal which provides for single lodgment process, validation of data, inbuilt security device, prompt business intelligence monitoring and responses, accommodate users templates, minimize efforts for all parties via seamless net-workings”.
He added, “therefore, submission of inwards, outwards and transshipment declaration/shipping manifests and the distribution thereof to regulatory agencies of the government is made easier, thereby facilitating trade. In an automated port system, port users can place orders, make enquires from any given point, at any time. This is because, an automated port system supplies information and keeps track of Cargo movement on 24/7 on line real-time information irrespective of the cargo source. Permit me to say that, port automation signals a paperless documentation regime in the port-shipping operations, wherein, lead time for the submission of documents and processing are done almost instantaneous, reducing man hours and associated delays”.
Referring to what obtains in Singapore, Nweke described automation as an advanced technology that engenders positive changes to the shipping industry and its critical stakeholders in the port value chain.
He said, :As obtains globally, shipping communities are linked up via a centrally programed computer systems in a given nation’s ports.
I”t then implies that, if the shipping Communities are linked to the National trade Electronic Data Interchange ( EDI) Network or TradeNet, it then suffices to say that, the Port is automated.
“In another word, Port Automation means opening up a port system to National E-commerce Network, which indeed enables real time transaction between port users/customers, this is because it opens up the concept of Business to Business trading arrangement by means of electronic transfers.
“An efficient automated port system is expected to posses the capacity for: Unhindered Communication via Single Portal, Provides for single lodgment process, Validation of data, Inbuilt security device, prompt business intelligence monitoring & responses, accommodate users templates, minimize efforts for all parties via seamless networkings.
Wherefore, submission of inwards, outwards and transshipment declaration/shipping manifests and the distribution thereof to regulatory agencies of the government is made easier, thereby facilitating trade.
“In an automated port system, port users can place orders, make enquires from any given point, at any time.
“This is because, an automated port system supplies information and keeps track of Cargo movement on 24/7 on line real-time information irrespective of the cargo source.
Permit me to say that, port automation signals a paperless documentation regime in the port-shipping Operations, wherein, lead time for the submission of documents and processing are done almost instantaneous, reducing man hours and associated delays.
Let me emphasis that, the critical port users under reference here, includes: Shipping Lines; Shippers/Forwarders/Truckers; Port Authority/Terminal Operators; Other Regulatory Agencies.
The system is not open to a non critical stakeholders, for administrative convenience”.
Other maritime stakeholders who spoke to SHIPPING DAY were also of the view that the current automation in Nigerian ports was without international standard, adding that a situation where a freight forwarder must in almost all process interface physically with customs officials, service providers for different services was not the best.
President of NAGAFF, Chief Increase Uche, had traced the obstacles being faced in federal government’s automation programme at the ports to high level corruption in the system involving some unscrupulous elements who are sabotaging the efforts.
Uche, told SHIPPING DAY that automation which recorded impressive implementation after the port concessioning programme in 2006 soon suffered set-backs as a result of deliberate sabotage by players whom he identified as customs personnel.
Uche revealed that some customs officers in the Customs Processing Centre (CPC) and terminals had soon realized that they were no longer making personal money as was the case before due to absence of physical interface with shippers and their clearing agents before sabotaging the programme.
He said this was through issuance of frivolous alerts which forced importers and their customs agents to go back to them over queries that created room for settlements.
Uche said, “Automation should have worked in 2006 after the port concession. We expected it to have worked, then perfection should have followed but as the process was being perfected at that time, up to 2008, you can request for payment of customs duty, you do the assessment, you take delivery of your cargo without interfacing with anybody. As at that time, with scanner once your cargo is on green lane what you require is to go to the terminal and carry your goods to leave. By that nothing is causing you any encumbrance. But at a stage, when customs at CPC discovered that nobody was coming there anymore, and those at the terminals found out nobody recognized their presence any more, they started posting alerts. That was what reversed the whole thing. The CPC that was almost deserted became lively again towards 2008 and early 2009. So that was how automation under ASYCUDA 2.7 was reversed again”.
Alert sent to customs agents in respect of any container is a query which must be cleared before the affected goods can be allowed to leave the ports.
The NAGAFF President said the industry would have gone very far with automation if not for the sabotage, regretting that what obtains now was not reliable in critical areas of goods delivery.
He dismissed the claim by the Customs that single window was working in the ports, adding that it was not effective enough for the desired trade facilitation in the country and in line with what obtains in other climes.
According to him, there was lack of synergy, integration among critical players in the industry, adding that even shipping companies were not interfaced with Customs except few of them.
He said that among those currently interfacing with the Customs on the single window platform were Marskline, APMT, Grimaldi and PTML.
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