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Nigerian-bound vessels laden with rice berth at Benin Republic

By on February 14, 2014

MORE twenty vessels laden with rice  that sailed into Nigerian ports have gone to Benin Republic as importers have refused the ships to berth due to the high duty rate.

Disclosing this newsmen in Lagos, Chairman of the Seaport Terminal Operators Association of Nigeria (STOAN) Princess Vicky Hastrrup said that some of the vessels have been outside bar for more than two months.

The vessels according Hastrrup,  had to sail back to Benin Republic so as to reduce  accrued demurrage that was building up.

She said the policy on rice is welcome development, but that the increase in duty should be a gradual process noting the current situation will only encourage smuggling.

She noted while Nigeria is pegging rice duty on 110% percent, while in Benin, it is only 7% percent and in Cameroon it is zero percent.

Besides the revenue that is being lost to neigbouring countries, Nigerians are also losing businesses to citizens of that country.

For instance, Nigerian truck owners under the aegis Nigerian Association of Road Transport Owner (NARTO  have decried a lull in their business  as result of the diversion of rice laden vessels to Benin.

The NARTO ,through its executive secretary; Barrister Emmanuel Gowon told the media  last week in Lagos that their trucks have been idle and rusty.

Gowon noted that rice consignments are favourites of NARTO members, but lamented that since the 110% duty hike on rice, most of his member have little or nothing to lift from the port. According to him, other vessels laden with general cargoes like: cement wheat and salt cannot be compared to the rate at which rice- laden vessels come into the port.

Gowon appealed to federal government to consider the plight of haulage operators from the maritime industry and also intervene to encourage transporters.

He explained that for a truck to remain stagnant for such a long period without moving cargoes poses a major threat to the life span of such vehicle.

Speaking further, the NARTO chief added that,” a lot of challenges are being faced by transporters in the area of lifting of bulk cargoes from the port”.

”Now, we are having problem of rice and since the government increased the tariff on rice, we have been redundant”

 

 

 

[Vanguard]