Stakeholders in Nigeria’s maritime industry have called on the Federal Government to consider policies that could grow the shipping sector for the benefit of operators and the nation’s economy.
Speaking at the 20th Anniversary Lecture/Awards and patrons investiture ceremony, with the theme “Indigenous Fleet Development, What Options?”, speakers and various stakeholders urged the government to come up with policies that would grow the shipping sector.
Barr Hassan Bello, the Executive Secretary of the Nigerian Shippers Council and Guest Speaker on the occasion, pleaded for a deliberate government policy that would provide national incentives to encourage indigenous fleet development in the nation’s shipping industry.
He emphasised the need to institutionalise such incentives for the sector, to gain and sustain investors’ trust and ensure protection from political influence
The incentives, Bello said, should be “comparatively simple, but reliable ship registration procedure” which is efficient and full of integrity.
He said the incentives should also include “a very strong safety administration system and procedures in support and protection of the registered ships, a systematic approach to the establishment of merchant shipping security and administration that provide confidence in shipping trade and understanding of the international shipping community
“Establish a reliable statistical data for the manning of flag ships and well coordinated training, examination and certification of seafarer in Nigeria; strategic plan and implementation procedures to ensure availability of cargo for interested indigenes; concern for ships’ repair and husbandry; reasonable protectionism for national fleet in operational procedures even when such requirements are not statutory or institutionalized; reliable communications and assistance to fleet; all entities concerning the carriage of national cargo should develop common interest on the sustainable success of the policy.
“Bello informed that such enabling environment of national incentives would go a long way in fostering growth and development of the indigenous fleet in Nigeria.”
He said that the Nigerian Fleet Implementation Committee which, he chairs, has so far identified zero import duty on vessels, tonnage tax as among the incentives necessary for the growth of indigenous fleet.
He added that the Committee is currently discussing the need to abolish temporary importation permit, shipping sector support fund of about -2 per cent per annum/9 per cent, waiver of export tariff for use of Nigerian vessels and right of first refusal for National Carriers in the procurement process for cargo.
He said the Committee is discussing the issuance of work permit only upon verification of unavailability of ratings or officers, change of Nigeria’s crude oil policy, CAC to adopt FIRS’s zero duty for ship finance registration and preferential berthing privileges.
He further informed that the Vice President, Prof. Yemi Osinbajo, has so far expressed delight at the prospect of the country trying to find ways to return to international shipping and has directed the NFIC and the Nigerian Investment Promotion Commission (NIPC) to review the proposal and work out the details of incentives stating a holistic and credible approach to address the issues and represent for consideration and
approval.
With the directive from the VP, Bello said the Committee has held meetings with the NIPC to work out the modalities for the granting and implementation of incentives to achieve the development and sustainability of the national fleet.
He said the Vice President equally charged his Committee to identify partnerships, benefits and the role of the private sector in achieving the Nigerian fleet project.
