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The Cocoa Processors Associations of Nigeria (COPAN), has raised the alarm over what they termed operational challenges experienced by cocoa exporters, shippers and shipping agents in the course of obtaining approvals from the Nigerian Ports Authority (NPA), for the offloading of export containers at the various Lagos ports.
The Chairman of the association, Otunba Felix Oladunjoye, who raised the alarm at a press conference in Lagos, said the recent developments in the export clearance and port access processes have created serious delays, bottlenecks, manipulations and increasing extortions that are adversely affecting their operations and the competitiveness of the Nigerian exports.
Oladunjoye lamented that in the last six months, exporters have lost between N10b and N12b, in terms of transactional cost, delay, high rent and other sundry expenses linked to the unprecedented delays in NPA approval for export container offloading.
He regretted that the development would automatically reduce exportation of agro produce, as the operational costs are weighing down the exporters, who are already overwhelmed by the development.
“In November 2022, the NPA announced the licensing of Export Processing Terminal (EPTs) –designated facilities approved to receive process, inspect, consolidate and prepare export cargo before the cargo is moved to Apapa or Tin Can Island Port for shipment.
“With the introduction of the Electronic Truck Call-UP System (ETO) – a digital platform to regulate and coordinate the movement of trucks in and out of designated seaports, export containers were properly prepared, all requisite payments made, and the necessary documentation completed. NPA approval to offload at the port was ordinarily obtained within approximately two hours.
“However, over the past six months, we have observed a significant deterioration in the turnaround time for obtaining these approvals. Trucks conveying duly documented export containers are reportedly kept waiting for a minimum of four working days in some instances before the necessary approval is granted,” he said.
Oladunjoye lamented that the development has led to alleged extortion by some officials from operators, to expedite approval and facilitate timely access to the port for offloading.
He said the situation has created corruption perception that access to an essential port service may depend on additional payments outside officially approved charges, saying it undermines confidence in the port administration process, raising concerns about transparency, accountability, and the integrity of the country’s export logistics chain.
Oladunjoye warned that the persistent delays and associated costs are capable of creating breach of international cocoa purchase and delivery contracts due to missing shipping schedules; additional truck detention, haulage, demurrage, storage, and related operational expenses, as applicable; disruption of truck rotation, export terminal scheduling, and container movement planning; reduced operational efficiency and increased transaction costs for exporters and shipping agents; and loss of Direct Foreign Exchange and Unemployment among others.
While noting that letters have been written to the Minister of Marine and Blue Economy, Adegboyega Oyetola, and other relevant authorities on the issue, he called on the minister to open an urgent investigation into the reported delays in NPA approvals for exports containers at the various ports and the alleged demand for unofficial payments.
“We appeal for the establishment and enforcement of a clear service-level timeline for processing offloading approvals for export containers, whose documentations and prescribed payments have been duly completed. We also appeal for a transparent, standardised approval process, including clear communication of documentary requirements, approval status, applicable official charges, and reasons for any delay.
“We demand for a review of the current manifest and the ETO call-up procedures to ensure that port access controls operate in coordination with the approval process and do not unnecessarily penalise compliant exporters and shipping agents ….
“We demand appropriate disciplinary and corrective action where investigations establish misconduct, abuse of office, or non-compliance with approved procedures. We also seek a stakeholder meeting involving NPA management, Lagos Port Management, relevant EPTs, exporters, shipping agents, and other stakeholders to agree on practical measures for reducing congestion and restoring predictable export operations.” (The Guardian)