Funtua inland dry port,

Why shipping companies starve inland dry ports of containers — NSC

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THE Nigerian Shippers Council (NSC) has revealed that due to insecurity issues and container deposits issues which usually lead to refusal to return empty containers by consignees, many shipping companies are becoming reluctant to release import laden containers to inland dry ports located in the hinterland areas of the country.

Speaking on the sideline of the 2024 Annual Seminar for Maritime Journalists held in Lagos recently, the Executive Secretary/CEO of the NSC, Barrister Pius Akutah, explained that the council was putting measures in place to see that consignees return empty containers to shipping companies.

According to the NSC boss who was represented by the agency’s Director of Special Duties, Mustapha Zubairu, “Many shipping companies are reluctant to release import laden containers into the hinterland. Many of these shipping companies don’t want to release containers to Inland Dry Ports in the hinterland because many of such containers don’t get returned.

“For many of these containers that don’t get returned, insecurity is a major reason. Aside the issue of insecurity, Container Deposit Fee’s (CDF) is another issue that has made consignees not to want to return these containers.

“For the issue of container deposits, some consignees pay between N200,000 and N400,000 as container deposit fees only to find out that their deposits have been eroded even before they return the containers.

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“When container deposits become eroded, consignees find it difficult to return empty containers to the shipping companies. This is why we have many of such containers been converted into office or residential structures in some parts of Lagos.

“However, a cursory look at the logistic chain in Nigeria with its attendant bottlenecks like illegal checkpoints and others may be a reason why containers stay longer than expected before being returned by consignees. So when these containers have overstayed, and the consignees know their deposits is no longer there, they simply hold on to the container or sell it off.

“This is a major reason why shipping companies are finding it difficult to release containers to inland dry ports in the hinterland. The NSC is looking at putting an end to this and very soon, the issue of lack of return of containers to shipping companies or eroding of container deposits fees will become a thing of the past.”




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