Gridlock: NPA Announces Relief Measures for Importers, Grants 21 Days Free Period on Rent, Demurrage
*Tasks customs to auction overtime cargoes in ports
A measure of relief came the way of importers Tuesday to ameliorate the effect of the Apapa gridlock with the increase in the rent free period for goods in Lagos ports announced by the Nigerian Ports Authority.
According to the statement from the authority, importers will now enjoy rent free days of 21 days as against three free days that has been the case.
What this means is that before terminal operators or shipping companies begin to charge for rent, the goods would have spent 21 days.
Similarly, the authority increased the demurrage free period on the return of empty containers from the current five days period to 15 days for a period of four months.
The measure was mainly to save importers the huge cost outlay being suffered as a result of the Apapa gridlock.
The measure will last for a period of four months.
The authority drew the attention of the Nigeria Customs Service on the need to urgently auction of overtime cargoes in the ports.
Part of the statement released to newsmen reads:
“With effect from Tuesday, December 18, there will be an increase in rent-free period for cargoes housed in the terminals from the current period of three free days before the commencement of rent charges to 21 free days before the commencement of rent charges for a period of four months.
“With effect from Tuesday, December 18, there will be an increase in the demurrage free period on the return of empty containers from the current five days period to 15 days for a period of four months.
“Shipping companies should immediately deploy sweeper vessels to evacuate empty containers from the port to clear the backlog of empty containers littering the country within four months. The Authority encourages the use of Onne Ports for such sweeper vessels.
“This is imperative as the ports are meant to be transit and not storage facilities. These auctions should be carried out on the spot at port locations and every buyer would be given a stipulated short period to evacuate the cargoes out of the ports after which they will be re-auctioned.
“The Authority wishes to state that these measures are emergency steps taken to immediately reduce the financial burden of congestion on citizens as the Federal Government proceeds to permanently resolve the congestion through the following: reconstruction of the port access road, the provision of trailer parks and holding bays with e-call up system, the enhancement of cargo evacuation using rail transportation and inland waterways with barges, among others.
“The Authority recognises the financial implications of these policies on the terminal operators and shipping companies and will consider a shift in our operational charges to ameliorate the situation of stakeholders.”
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