Cargo evacuation :  Compt Nnadi harps on harmonisation of processes, tangible investment in port infrastructure

Cargo evacuation :  Compt Nnadi harps on harmonisation of processes, tangible investment in port infrastructure

The roles of Nigeria Customs Service in evacuation of cargoes from Seaport to the Hinterland have been re-echoed in the port industry. In a well researched paper presentation titled; ‘The Roles of Nigeria Customs Service in Evacuation of Cargoes from Seaport to the Hinterland’, Comptroller Dera Nnadi mni, gave details explanation on the importance of efficient and timely cargo evacuation.

Compt Nnadi made the presentation at the ‘Stakeholders’ Sensitisation Summit,’ organised by
Nigerian Shippers Council, NSC,
in Apapa, Lagos, taking into cognisance the pivotal roles of numerous stakeholders; including regulatory agencies, freight forwarders, importers, exporters, terminal operators, shipping companies and private sector players.

His explanation :
“Cargo evacuation from Customs Ports to the hinterland is essential for the smooth operation of international trade. Nigeria’s trade and logistics sector is part of this chain. Customs plays a critical role in this process, ensuring that cargoes are cleared, secured and transported efficiently.

“In carrying out this important task, the Service recognises and licenses off-dock terminals and inland container terminals as provided in Section 31 subsection 2-6 of the NCSA 2023. Other sections of NCSA 2023 on evacuation of cargoes to hinterland include Section 121sub sections 2-4 for the admission of goods into a warehouse, 122 subsections 1-6 for bonded terminals, Section 153 being the law guiding management of transire.”

Compt Nnadi, who is the Customs Area Controller of TinCan Island Port Command; explained extensively
Customs operational activities in movement of Cargoes to the hinterland. Starting from Customs clearance processes; he informed; “NCS officers often inspect and verify cargoes to be transferred to the bonded terminals and hinterlands outside the mother port using the IM 8 import module. IM 4 module is deployed for cargo evacuated to bonded terminals under the control of the mother port, while IM 5 module is deployed for cargo evacuated to the free trade zones.

“These cargoes are evacuated by roads or by barges through the waterways and sometimes by rail. The cargoes are escorted by officers who obtain landing certificates. Officers ensure compliance with regulatory requirements, collect duties, taxes and facilitate timely release of goods thereafter.

“Other incentives introduced by NCS to ease evacuation of cargoes include deployment of Fast Track and Authorised Economic Operators- (Section 108 of NCSA 2023) program, introduction of pre-arrival assessment Report (PAAR) and pre-release regime, which are effective in facilitation of timely release of cargoes for qualified traders.

“Others are Risk Management through which Customs employs techniques to identify and manage potential risks associated with cargoes. One of these is the recently launched World Customs Organization Time Release Study, aimed at identifying bottlenecks in clearance process in line with Section 32 of the Nigeria Customs Service Act (NCSA) 2023 and Article 7 of the Trade Facilitation Agreement.

“This involves adopting modern trends like Non-intrusive inspections Technology and Tracking shipments, Fast track and Authorized Economic Operator Programs which helps in streamlining the process and reducing delays.”

According to him, implementing streamlined procedures and expediting clearance processes using Inland Container Depots (ICDs), the NCS plays a crucial role in reducing port congestion, which in turn improves the overall efficiency of port operations.”

On Escort Services, he said; “Escort customs officers ensure the secure transit of goods from seaports to bonded terminals in the hinterland. They prevent theft and tampering, maintaining integrity of the supply chain.”

On the roles of other parties involved in cargo evacuation, he stressed; “Bonded Terminal Operators are responsible for efficient management of port facilities, which directly impacts on the evacuation of goods.
Cargo Handling Operators manage the loading, unloading and storage of cargoes. Efficient cargo handling is vital to prevent delays and ensure that goods are moved swiftly through the port.

“Terminal operators must ensure that their operations align with customs requirements. Also, maintaining port infrastructure is critical for efficient cargo handling and storage. Well-maintained facilities help in reducing delays and improve the overall flow of goods.”

Speaking further, Compt Nnadi mentioned the role of importers and exporters. His words; “Importers and exporters play a key role in ensuring smooth evacuation of cargoes from seaports. This requires doing
accurate and complete documentation, which is essential for customs clearance. Importers and exporters must ensure that all necessary paperwork is in done, to avoid delays.

In this aspect, compliance with the rules of engagement is vital. Adherence to customs regulations and guidelines is crucial. Non-compliance can lead to penalties and delays, disrupting the flow of goods.

“Coordination with Logistics Providers is essential. This implies making arrangements for timely transportation of goods from the port to their final destinations. Importers and exporters must coordinate effectively with logistics providers to ensure smooth transit.

“Shipping companies contribute to the efficient evacuation of cargo by timely arrival and departure. Adhering to schedules is crucial to avoid port congestion. Shipping companies must ensure that their vessels arrive and depart on time to maintain the flow of goods.”

During the presentation, Compt Nnadi pointed at Cargo Security as another important aspect of cargo evacuation, saying; “Maintaining the security of cargoes during transit is essential to prevent losses and damages. Shipping companies must implement measures to protect goods from theft and tampering. Effective coordination with port authorities is needed to ensure smooth loading and unloading operations, facilitating swift movement of cargoes through the port. Also, freight forwarders and logistics providers play a crucial role in the transportation of goods from seaports to the hinterland.”

He went on; “Regulatory bodies must ensure compliance with trade and safety standards, which impacts the efficiency of cargo evacuation.
The Standards Organisation of Nigeria (SON) has a role of enforcing quality and safety standards for imported and exported goods, which is essential to ensure that all cargoes meet required regulations.

“Nigeria Agency for Food and Drug Administration and Control (NAFDAC) ensures that the goods, especially perishables, meet health and safety regulations to prevent spoilage and contamination. Nigeria Agricultural Quarantine Service (NAQS) oversees the environmental impact of port operations and ensures that all activities comply with environmental regulations, contributing to sustainable port operations.”

The Area Controller mentioned some challenges of Port congestion to include insufficient infrastructure to handle the increasing volume of cargo efficiently; limited berthing spaces; inadequate cargo handling equipment and insufficient storage facilities;
poor management practices, lack of automation and inefficient handling processes, which contribute to longer turnaround times for ships and cargo. This inefficiency can be due to bureaucratic delays, lack of coordination among port operators, and insufficient workforce training.”

On the way forward, he informed; “Investing in modernising and expanding port infrastructure is crucial. These includes increasing berthing spaces, upgrading cargo handling equipment and expanding storage facilities to accommodate larger volumes of cargo efficiently. Implementing best practices in port management, such as adopting automated systems for cargo handling and clearance, can significantly reduce turnaround times. Training the workforce in efficient handling practices is also essential.

“Harmonising customs procedures, leveraging technology for electronic documentation, tracking and reducing bureaucratic red tape can expedite cargo clearance and reduce dwell times. Improving transportation networks that connect ports to the hinterland, including upgrading road, rail and inland waterway infrastructure is important for efficient evacuation of cargo from ports. Ports should engage in proactive capacity planning to anticipate future cargo volumes and invest in necessary expansions.

” Implementing advanced analytics for better demand forecasting can aid in managing peak traffic periods.

“Encouraging collaborations between public and private sectors can bring in much-needed investment and expertise. Private sector participation can lead to more efficient port operations and management practices. By understanding and optimizing these roles, Nigeria can enhance its trade efficiency and economic growth.”