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Seaport: Shareholders lament as N8bn Customs scanners fail physical scanning

Published

1 year ago

April 3, 2023

…Pharmaceutical products cannot undergo scanning due to limitations – Customs

By Seun Ibiyemi

Despite the federal government’s multi-billion naira investment in scanners at the nation’s seaports, the Nigeria Customs Service (NCS), operating at the seaports has abandoned the equipment for 100 per cent physical examination of cargoes. This excludes products and others that cannot undergo scanning due to limitations of the scanners.

The 100 per cent physical examination as added value demmurage charges accruing for importers who had thought the introduction of scanners will reduce cost of clearing cargoes out of the nation’s seaports.

However, checks by Nigerian NewsDirect revealed that despite the launch of the scanners at Nigeria’s two busiest ports of Apapa and Tin-Can, cargoes still undergo 100 per cent physical examination at these ports, thereby slowing down cargo clearance chain at the ports.

Recall that the N8billion Scanner project was commissioned recently by the Minister of Finance, Zainab Ahmed. She said that the project would no doubt aid the NCS in the delivery of its mandates, in line with the key priorities of, President Muhammadu Buhari-led Administration targeted at reducing poverty and stimulating favourable macroeconomic conditions for sustained growth and development.

According to her, the scanner has the capacity to detect prohibited import concealed in cargoes, adding that it enables more cargoes to be scanned and bring about the desired efficiency and effectiveness in cargo examination processes.

“The commissioning of these three non-intrusive scanners is in line with efforts to expedite Customs operations and achieve its mandate of ease of doing business, trade facilitation and preventing port congestion.

“These three scanners will help increase revenue for government and improve national security. It will also help enhance the remote audit trail of goods within the port system,” she said.

The Minister stated that the equipment have the capacity to process up to 500 containers in a day, asking for cooperation of key stakeholders.

Meanwhile speaking on the functionality of the scanners, a member of National Council of Managing Director of Licensed Customs Agents (NCMDLCA), Humphrey Okwuosa said cargoes still undergo 100 per cent physical examination at seaports.

According to him, “Customs lacks proper training for the utilisation of the scanners as most results they get to send cargoes form 100 per cent examination are false.”

He said, “Most of the scanners are not properly or adequately operated, their system is yet to be in sync with it. They still go for 100 per cent examination even when there is no infractions and this is wrong.”

However, he said the organisation is yet to have a scanning machine that will give correct report what the items in the containers are.

“The Customs should send more of its officers on training to be able to use the machine rightly and correctly. The officers still do 100 per cent physical examination, because after scanning, they must find one error or the other and most of the time are wrong after getting the scanning report but they use it to delay people for whatever reasons.

“For now, almost all containers are going through physical examination, in fact 80 per cent of containers are going through physical examination, so what’s the essence of a scanner?” he asked.

Also, the Public Relations Officer, African Association of Professional Freight Forwarders of Nigeria (APFFLON), Tin Can Island Port Complex, Clinton Okoro, said the Customs had told clearing agents that cargoes will be scanned from the seaside, even before, getting to the terminal, a situation he said was a ruse.

According to Okoro, 90 per cent of containers are going through 100 percent cargo examination, saying cargoes spend over one week instead of three days before exiting the seaports.

He said, “What we see in the media concerning the scanning machines was a mirage. What they told us when we went for the workshop at Apapa was that the scanners will be installed at the berthing area and all the containers will be scanned. Once they are scanned, there won’t be the hassle of going through rigorous exercise of conducting another examination at the terminal, but as it is now, nothing like that, we still have our normal 100 per cent examination, and of course, you know lot of issues we are facing such as delays.

Meanwhile the Nigeria Customs Service (NCS) has accused terminal operators and clearing agents of sabotaging the utilisation of the newly installed N8billion scanners at the nation’s seaports.

The Customs Area Controller of TinCan Island Ports, Adekunle Oloyede, who disclosed this to journalists at the Command recently, said terminal operators aided the non-compliance level of scanning cargoes with their refusal to provide trucks to take cargoes to the scanning site.

He said the clearing agents have also not been compliant due to fear of being exposed, thereby making examination and clearing of containers cumbersome.

“At least, 80 per cent of containers should go through the scanner and those that do not have a query should be released immediately. But even the terminal operators find it difficult to provide trucks, which will bring the containers to the scanning. We can’t work in silos,” he said.

Oloyede said that even if there are 80 scanners, the terminal operators are not willing to provide trucks, noting that Customs intend to buy more mobile scanners and place them by the quay to scan containers.

“To make sure compliance level is compulsory, the scanning machines will be at the quayside because they are mobile machines that can move from one point to another. So, if I have three mobile scanners at the quayside, it is enough for Tin Can port. I can put two mobile scanners for the trucks to load.

“The scanners can scan under 30 seconds for a 20ft container and 55 seconds for a 40ft container. So, we can scan 400 in a day with this analysis, even more than that because at that point I am not analysing, I am only scanning for record purposes.”

Speaking on the development, the Spokesman of the Apapa Customs Command, Abubakar Usman explained that some cargoes like pharmaceutical products cannot undergo scanning due to limitations of the scanners, thereby forcing the Service to still inspect such cargoes manually.

According to the Apapa Customs Command Spokesman, “Currently, the scanners deployed at the ports cannot examine pharmaceutical products.

“The scanners cannot tell us if a pharmaceutical product is a malaria drug or an antibiotic or a pain reliever. The scanners cannot say if a drug has expired or even tell us when it will expire.

“The scanners cannot tell us if a pharmaceutical drug is approved by the National Agency for Food and Drug Administration and Control (NAFDAC) or not. This is why when such cargoes come into the ports, we move them for 100 per cent physical examination.

“We are expecting more scanners, and hopefully when more scanners arrive, we will be able to reduce the number of cargoes examined manually. But as of today, pharmaceutical cargoes that arrive the ports goes under manual examination.”

Speaking on the capacity of the scanner, Usman added that aside pharmaceutical cargoes, the scanners are doing very well.

“Aside pharmaceutical cargoes, the scanner is working perfectly well at the ports and on a daily basis, we scan around 100 and 150 containers depending on the numbers of containers positioned for examination by the Terminal operators,” the Apapa Customs Spokesman added.

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Minimum wage negotiations hit deadlock as Labour Unions reject FG’s proposed N48,000

Published

21 hours ago

May 16, 2024

NewsDirect

…FG’s proposal an insult to Nigerian workers — NLC President

…Fulfill your promise to Nigerian workers — Ajaero tasks Tinubu on living wage pledge

By our correspondents

The Tripartite National Minimum Wage meeting resumed on Wednesday, but negotiations reached a deadlock due to the government’s perceived unwillingness to engage in fair discussions with Nigerian workers.

The Nigeria Labour Congress (NLC) and Trade Union Congress (TUC) expressed deep disappointment and frustration at the turn of events.

According to NLC National President, Joe Ajaero, the government’s proposal of N48,000 as the new minimum wage is an insult to Nigerian workers.

Ajaero stated that despite their best efforts to reach a reasonable agreement, the government and organised private sector’s actions have led to a breakdown in negotiations.

The labour unions are demanding a higher minimum wage to reflect the current economic realities and alleviate the suffering of Nigerian workers. The stalemate in negotiations may lead to industrial action, which could have far-reaching consequences for the economy.

He said, “Government’s proposal of a paltry N48,000 (forty-eight thousand Naira) as the Minimum Wage does not only insult the sensibilities of Nigerian workers but also falls significantly short of meeting our needs and aspirations.”

Ajaero noted that in contrast, the Organised Private Sector proposed an initial offer of N54,000.

“Though it is worth noting that even the least paid workers in the private sector receive N78,000 as clearly stated by the OPS, highlighting the stark disparity between the proposed minimum wage and prevailing standards further demonstrating the unwillingness of Employers and Government to faithfully negotiate a fair National Minimum Wage for Workers in Nigeria.

“Furthermore, the Government’s failure to provide any substantiated data to support their offer exacerbates the situation. This lack of transparency and good faith undermines the credibility of the negotiation process and erodes trust between the parties involved.

“As representatives of Nigerian workers, we cannot in good conscience accept a wage proposal that would result in a reduction in income for federal-level workers who are already receiving N30,000 (thirty thousand Naira) as mandated by law, augmented by Buhari’s 40 percent Peculiar allowance (N12,000) and the N35,000 wage award, totalling N77,000 only. Such a regressive step would undermine the economic well-being of workers and their families and is unacceptable in a National Minimum Wage Fixing process.”

Ajaero stated that the Labour Unions were forced to withdraw from the negotiations due to the government’s unsatisfactory proposal, but he emphasised that the Congress remains steadfast in its commitment to fighting for the rights and interests of Nigerian workers.

“In light of these developments, and to prevent the negotiation of a wage deduction, the Nigeria Labour Congress and Trade Union Congress have decided to walk out of the negotiation process. We remain committed to advocating for the rights and interests of Nigerian workers and will continue to engage in reasonable dialogue with the Government if they show serious commitment to find a fair and sustainable resolution to this impasse.”

He also called upon the Government to reconsider its position and come to the negotiation table with, “clear hands that reflect the true value of the contributions made by Nigerian workers to the nation’s development and the objective socioeconomic realities that confront not just Nigerian workers but Nigerians today as a result of the policies of the federal government.”

…President Tinubu must fulfill pledge of ensuring a living wage for Nigerian workers — NLC President

He further urged the government to work alongside Labour to finalise the N615,000 minimum wage as proposed by Labour.

“Together, in a reasonable dialogue, we can work to give Nigerian workers an N615,000 National Minimum wage as proposed by us based on evidence and Data. This will be in keeping with the pledge of the President; his Excellency Senator Bola Ahmed Tinubu’s pledge to ensure a Living wage for Nigerian workers.”

Recall that on January 30, 2024, President Bola Tinubu, conveyed by Vice-president Kashim Shettima, addressed a 37-member panel at the Council Chamber of the State House in Abuja.

This panel, comprising representatives from federal and state governments, the private sector, and organised labour, is tasked with recommending a new national minimum wage for Nigeria. Shettima emphasised the importance of swift deliberations, urging members to expedite the process and submit their reports promptly.

“This timely submission is crucial to ensure the emergence of a new minimum wage,” Shettima said.

VP Shettima also urged collective bargaining in good faith, emphasising contract adherence and encouraging consultations outside the committee.

The 37-man committee is chaired by the former Head of the Civil Service of the Federation, Goni Aji.

The committee had the terms of reference to ‘consult all stakeholders on the issue of national minimum wage and recommend a realistic and practical national minimum wage to the government.’

The Nigeria Labour Congress (NLC) and Trade Union Congress (TUC) have proposed various figures as a living wage for workers across the country.

This was made known during zonal public hearings held simultaneously on March 7, 2024, in six locations – Lagos, Kano, Enugu, Akwa Ibom, Adamawa, and Abuja.

According to reports, the NLC and TUC proposed different figures for each zone, citing the current economic realities and the need for a living wage. In the South-West, the NLC proposed N794,000, while the TUC suggested N447,000.

In the North-Central zone, workers demanded N709,000 as the new national minimum wage, while the South-South stakeholders proposed N850,000. In the North-West, N485,000 was proposed, and in the South-East, stakeholders demanded N540,000 as the minimum wage.

After considering the various proposals, the Organised Labour is set to recommend N615,000 as the new living wage for Nigerian workers. This move is aimed at ensuring that workers earn a wage that reflects the current economic realities and enables them to meet their basic needs.

The proposal is expected to be presented to the government for consideration and implementation.

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Foreign remittances: CBN grants license to 14 IMTOs

Published

21 hours ago

May 16, 2024

NewsDirect

As part of concerted efforts to increase the foreign-currency remittance inflow, the Central Bank of Nigeria (CBN) has granted licenses to 14 new International Money Transfer Operators (IMTOs).

The licenses which are Approval-in-Principle (AIP) were disclosed in Abuja on Wednesday by the Bank’s Acting Director of Corporate Communications, Mrs. Hakama Sidi Ali.

The Bank argues that the initiative will help increase the sustained supply of foreign exchange in the official market by promoting greater competition and innovation among IMTOs to lower the cost of remittance transactions and boost financial inclusion.

According to the Apex Bank, “This will spur liquidity in Nigeria’s Autonomous Foreign Exchange Market (NAFEX), augmenting price discovery to enable a market-driven fair value for the naira.”

It will be recalled that the CBN Governor, Mr. Olayemi Cardoso, had recently declared, “We’ve set ourselves a target to double remittance flows into Nigeria within a year, a goal I firmly believe is within reach.

“We are wasting no time driving progress to remove any bottlenecks hindering flows through formal channels permanently. We have a determined pathway and a sequenced approach to tackling all challenges ahead, working hand in hand with key stakeholders in the remittance industry.”

The Apex Bank also viewed increasing formal remittance flows— one of the major sources of foreign exchange, accounting for over 6 percent of GDP—as a means of reducing the historical volatility in Nigeria’s exchange rate caused by external factors, such as fluctuations in foreign investment and oil export proceeds.

The increase in the number of IMTOs is one of the primary actions initiated by the CBN’s remittance task force, overseen by Governor Cardoso as a collaborative unit pulling together specialists to work closely with the private sector and market operators to facilitate the ease of doing business in the remittance ecosystem in Nigeria.

The task force was established as a direct result of an executive learning session with IMTOs during the World Bank/IMF Spring Meetings held in Washington DC, United States of America, in April 2024.

The task force will meet regularly to implement strategy and monitor the impact of its measures on remittance inflows.

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He was an armour bearer – Sanwo-Olu mourns late aid at 55

Published

22 hours ago

May 16, 2024

NewsDirect

By Sodiq Adelakun

The Lagos State Government has announced the passing of its Deputy Chief of Staff, Mr. Gboyega Soyannwo.

According to a statement signed by the Commissioner of Information and Strategy, Mr. Gbenga Omotoso, Soyannwo died on Wednesday after a brief illness at the age of 55.

Governor Babajide Sanwo-Olu expressed his condolences to the Soyannwo family, describing the late Deputy Chief of Staff as a “brother and a servant of the people.

According to the statement, “In deep sorrow, the Lagos State Government announces the passing of the Deputy Chief of Staff (DCoS) to Mr. Governor, Mr. Gboyega Soyannwo.

“Soyannwo died today after a brief illness. He was 55.

“Mr. Governor, Babajide Sanwo-Olu, on behalf of the Government and people of Lagos, sends his condolences to the Soyannwo family.

“I have lost a brother and a servant of the people,” Mr. Governor said while breaking the news to the Executive Council (EXCO) meeting,

“After a minute’s silence in respect of the late DCoS, Mr. Governor ended the EXCO meeting.”

The late Gboyega Soyannwo is survived by a wife and two children.