The Chairman of Starzs Investments Company Limited (SICL), Engr. Greg Ogbeifun, has revealed that Nigeria is losing $9.2 billion yearly to the domination of its freight trade by foreign vessel owners.
Ogbeifun stated this in Lagos on Thursday, during the 16th Marine and Technical Summit of the Association of Marine Engineers and Surveyors (AMES).
He attributed the situation to lack of indigenous capacity.
Ogbeifun, who noted that Nigeria has everything to become the maritime hub of the Gulf of Guinea, said it breaks his heart that despite all the quays and jetties being filled up with ships, not one of them is owned by a Nigerian.
“Nigeria’s geographical location along the Atlantic Coastline grants her a lot of access to shipping operations, making Nigeria a crucial hub for marine activities.
“Nigeria currently generates about 70 per cent of the total cargo between the West and Central African regions.
“When you look at Apapa port, Tin-Can port, Warri port, Onne port, and the newly established Lekki port, all these ports are relevant in the carriage of Nigerian imports and export trade.
“It however breaks my heart that every time I look at our ports, all the quays and jetties are filled up with ships, but not one of these ships is owned by any Nigerian.
“The likes of Captain Emmanuel Ihenacho, Chief Isaec Jolapamo, and Temisan Omatseye, who bought ships in the past, the system killed their businesses. With the jobs they were providing and the economic benefits to the nation, everything went down.
“There are challenges that have made it very impossible for this country, since the demise of the Nigerian National Shipping Line in 1995, to own ships.
“So this has a lot to do with the topic of my paper titled ‘What is militating against the resurgence of Nigerian global trading?’
According to him, the country has growing demand for shipping services, but regretted that the government has not made it possible for indigenous operators to own ships.
“The result of this has made Nigeria completely rely heavily on foreign ships to move her goods.
“Conservatively, Nigeria is losing about $9.2bn to foreign vessels dominance of her trade. We are the ones paying that money to the foreign vessel owners. Every Nigerian who imports or exports is paying hugely.
“I don’t think our leaders need a Prophet to tell them that they need to be in a hurry to ensure Nigerians participate in her shipping freight.
“The enabling policies need to be implemented. How can Nigerians compete with foreign vessel owners who enjoy zero duty and a near-zero tax regime? It is high time our leaders provide policies that encourage indigenous shipping in this country.”