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Monday, July 1, 2013

National Mirror: Nigeria risks global trade isolation over poor seaport security

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National Mirror
All the Facts | All the Sides
Nigeria risks global trade isolation over poor seaport security
Jul 1st 2013, 23:05, by FRANCIS EZEM

About two weeks to the expiration of the six-week deadline given by the United States to Federal Government to comply with the International Ships and Ports Security (ISPS) Code or face serious trade sanctions. It is not yet clear if Nigeria will escape an effective shipping embargo. FRANCIS EZEM reports.

The decision of the United States Government to issue a 90-day ultimatum to the Nigerian Government to fix its seaport lax security situation or face global trade sanctions, might not be unconnected with the rising wave of insecurity in the country, especially in the last two years.

The country had following the conclusion of its 2011 general elections held in April been experiencing serious challenges, following the emergence of Islamic insurgents, who have wrecked havoc in many public places, including the United Nations Organisation building located in Abuja, the nation's capital. Houses of worship and other public places such as markets and motor parks and markets have had their unfair share of these bombings, through which scores of innocent people including women and children were killed.

The US Government had therefore through its Embassy in Lagos in May, warned the Federal Government to improve on its ports security system within 90 days or face the stoppage of of vessels visiting the nation's seaports.

What this means is that if after the ultimatum Nigeria fails to comply, no shipping line that calls at any of US seaports or any of her trading partners including the European Union, will be allowed to sail to Nigeria.

What this means is that Nigeria's crude oil will not be taken out of here, imported goods can also not come into the country since the nation has no vessels to do any of these.

Apart from the worsening general security, the ultimatum was also informed by a security audit report from the officials of the United States Coast Guard who were in Nigeria early in May to inspect security of the Nigerian seaports.

It was in reaction to the report, which indicated the porous security situation at Nigeria's seaport facilities that the embassy sent a diplomatic memo to Nigeria's Foreign Affairs Ministry in Nigeria, which in turn contacted the Nigerian Ports Authority (NPA) and other relevant agencies. It was gathered that that the US Coast Guard operatives were piqued at the poor security situation at some Nigerian ports, especially the Tin Can Island Port Complex, Apapa.

The ultimatum of the American Government almost coincided with the selection of the Nigerian Maritime Administration and Safety Agency (NIMASA) as the designated agency for the enforcement of the ISPS Code, which is the International Maritime Organisation regulation in charge port security.

Prior to the selection of NIMASA, there was no designated agency to enforce the ISPS, which follows the dissolution of the Presidential Implementation Committee on Port Safety and Security (PICOMSS). PICOMSS was an adhoc committee created in 2004 at the coming on stream of the ISPS Convention to ensure that Nigeria complied with the new regulation.

The security code, which Nigeria had initially complied with but later slowed down, was in response of the terrorist attack on the World Trade Centre, New York in September 2001, was designed to forestall a repeat of such attacks on ships and ports facilities across the globe.

It was probably in reaction to this ultimatum that NIMASA organised a one day programme with the theme 'Reviving ISPS Code Implementation in Nigeria, to announce its appointment as the new designated agency and also to sensitise the port community on the need for Nigeria to forestall any sanction on accounts of her inability to meet the deadline.

It was also gathered that NIMASA had before now set up an ISPS Code Implementation Committee, on which critical stakeholders in the port security issues were represented to facilitate the smooth implementation of its new mandate of forcing the code as the new designated agency.

President Goodluck Jonathan has also not hidden the fact that Nigeria cannot at this point in time not afford any possible trade sanctions when he gave marching orders to NPA and NIMASA, particularly to do everything humanly possible to ensure that the nation complies.

Special Adviser on Maritime Services to President Goodluck Jonathan, Mr. Leke Oyewole, who spoke in Lagos, warned that Nigeria cannot afford any international sanction at this time of her political and economic history.

According to him, following the dissolution of PICOMMS set up in 2004 to enable Nigeria comply with the ISPS Code, NIMASA has been designated to enforce the provisions of the code.

It was gathered that the decision of the government to dissolve the committee and re-designate NIMASA to takeover the job was because the President needed an agency that has good knowledge about ships and ports operations.

Oyewole said: "90-day ultimatum is to say that hence forth, if a ship that is not ISPS complaint comes to Nigeria, such ship will not be allowed again to sail into the United States or her allies again, which portends great danger for the Nigerian economy".

This, according to him means that fewer or no ships will be allowed to sail into Nigerian waters, which in turn means that the few ships that might come to Nigeria will hike their freight rates because Nigeria is a security risk, to international shipping community, which cannot be tolerated by any responsible government.

He disclosed that six weeks have passed since the ultimatum was issued, an indication that Nigeria has just 45 days for the ultimatum to expire and therefore instructed that the issue must be approached with the greatest urgency, as the ultimatum must be complied with.

The President, who also frowned at the influx of all manner of people, most of whom do not have any business at the ports, insisted that NPA must enforce strict access control at the major seaports in the country.

"I have not seen any reason why NPA should put security personnel at the major entry points to the seaports, who look at faces before they determine who goes in or not. Time has come for NPA to install electronic card system at the ports to control access to un-authorised persons.", he said further.

This new measure is also in reaction to government's earlier approval granted the private jetty operators in 2011 numbering over 75 spread across Lagos, Warri, Port Harcourt Onne and Calabar among others to receive and handle deep sea going vessels, which many stakeholders then expressed fears that it might be abused.

Security sources, who spoke in an interview, disclosed that apart from trying to secure the nation's seaports in line with the ISPS Code, the Federal Government is worried by the seeming unregulated nature of the various private jetties in the country, which might be used for bringing arms and ammunitions into the country.

The source also hinted that the government is currently uncomfortable with an earlier approval for the private operators to handle ocean going vessels, with which the government is making serious consultations with a view to reversing the approval. It was also gathered that government believes that most of the arms used by these suspected terrorists may have come through the private jetties.

"You remember that the operatives of the US Coast Guard, who inspected seaport facilities, also visited some private jetties, where they also raised security issues and that is why the government should not fold its arms over such reports, especially given the security challenges in the country", a security source had disclosed.

It was probably worried by this fact and the seeming uncontrolled theft of petroleum products both refined and unrefined that the government set up the Stevedoring and Jetty Review Committee to take a critical look at the operations and activities of these private jetty operators as well as those of stevedoring contractors that operate in the maritime industry.

Beyond the lapses at the jetties, stakeholders have continued to wonder why the relevant authorities have over the years failed to instill sanity at the seaports by checking influx of unwanted and unauthorised persons.

But a senior officer of the Nigeria Customs Service, who pleaded anonymity, noted that the Tin Can Island Port, which was mentioned in the US Coast Guard security is a special kind of seaport because it handles Roll –On-Roll-Off (RORO) operations, which does with vehicle imported into the country.

He noted that some times, more than five different clearing agents would be clearing one used vehicle at the port. He also disclosed that in addition to these, the presence of some artisans like mechanics, battery chargers and vulcanizers, whose sometimes are required to move a used vehicle out of the port helps to worsen the situation. It was gathered that it was in line with this that the service, once in a while, carries out raids at the ports to control access.

But Captain Solomon Omotesho, a council member of Nigerian Association of Master Mariners, an umbrella body for retired indigenous ship captains, chief engineers and engineers is optimistic that Nigeria will meet the deadline. Omotesho, who spoke in an interview in Lagos, noted that security is a continuous thing, arguing that before now, Nigeria had met the ISPS requirements.

He also ruled out the possibility of any trade blockage championed by the US, arguing that the country has serious economic and political interest in Nigeria and might therefore not want to do anything funny. He also argued that what Nigeria needed to do now is to touch on some areas, especially access control at some places TCIP Complex, which still has huge human traffic.

While it is dangerous to take the ultimatum for granted, efforts should be made to install electronic gatting systems at the nation's seaports.

Ghana, which has less access control issues than Nigeria has recently installed electronic access systems at her habours. This is what the Nigerian seaports need now to control crowd, especially given that the miscreants that were arrested in the past have all returned to the ports given the lapses in the nation's judicial system.

The earlier this is done the better for the port industry, gateway to Nigeria's economy.

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