A respected figure in the shipping industry and former president of the Shippers Association of Lagos State, Rev. Jonathan Nicole, has issued a compelling plea for comprehensive economic policy reforms within Nigeria’s ports to elevate their global standing in the year 2024.
Nicole’s urgent appeal focuses on the crucial necessity of restructuring the Ministries, Departments, and Agencies (MDAs) associated with the ports, advocating for the elimination of redundant government bodies to streamline operations.
Specifically addressing the issue, he urged the Minister of Marine and Blue Economy, Mr. Adegboyega Oyetola, to spearhead this transformative effort, highlighting the potential for “dramatic progress” with such reforms.
In alignment with the Nigerian Ports Authority’s management, Nicole underscored the importance of reducing the number of MDAs operating within the ports.
Envisioning collaborative efforts with shippers’ associations nationwide, he advocated for the introduction of a new Port Order and a complete overhaul of rules of engagement, placing a special emphasis on inclusivity for the informal sector.
Nicole painted a stark picture of the current state of affairs, deeming it “pathetic.” He shed light on the struggles of importers who, due to policy somersaults, lost properties used as collateral for bank loans. The shipper pinpointed the tumultuous year of 2023, marked by exorbitant taxes and duties driven by ambitious targets set for the Nigeria Customs Service.
Nicole emphasized the severe impact of fluctuating foreign exchange rates on importers and manufacturers throughout the year.
Drawing attention to the soaring cost of clearing, Nicole highlighted instances where importers abandoned goods due to an inability to secure additional funds to meet mounting demands.
He lamented the formidable challenge posed by a 400 per cent increase in terminal charges, urgently calling for the Nigerian Shippers’ Council executive secretary to introduce an equitable pricing regime.
While expressing hope for positive changes, Nicole acknowledged the persistently high cost of doing business in the port. Importers, he noted, face a challenging decision—whether to persist under difficult conditions or relocate to more favorable environments. Nicole firmly asserted that the industry could only flourish and become highly competitive when obstacles and pressures, including high diesel and fuel costs, complex tax regimes, business closures by the Corporate Affairs Commission, and unrealistic tax reforms, were eliminated.
