Planned shipping charge hike will worsen inflation — IMAN

By Efe Onodjae

The Importers Association of Nigeria, IMAN, South-West Zone, has warned that the planned increase in shipping charges by shipping companies would worsen inflation and further raise the cost of goods across the country.

Speaking with Vanguard, President of IMAN, South-West Zone, Mr. Joseph Adjoko, said importers were strongly opposed to the proposed increment, stressing that the development would negatively affect businesses and consumers already struggling with high prices.

According to him, the planned hike would significantly increase the cost of clearing goods at the ports, thereby forcing importers to transfer the additional burden to consumers.

“We are rejecting the increment because it will reflect directly on the economy and on the masses. The cost of clearing goods will increase and this will worsen inflation.

“Currently clearing costs for some consignments, range between N15 million and N16 million, could rise to nearly N20 million if the new charges are implemented.

Adjoko lamented that many importers were already grappling with poor sales due to the high cost of goods, noting that warehouses remained stocked with unsold products.

“Our warehouses are full and there are no buyers because of the high cost of goods. Now they want to increase the cost again,” he stated.

The IMAN president also accused shipping companies and the Nigerian Shippers’ Council of failing to adequately consult importers before approving the proposed increase.

He alleged that importers, who ultimately bear the financial burden of shipping charges, were excluded from critical discussions on the matter.

“We asked them to provide templates showing how they arrived at the charges, but they could not provide any. Yet, the importers are the ones paying,” he said.

Adjoko maintained that while global developments and conflicts could affect shipping operations, stakeholders deserved proper explanations regarding the basis for the new charges.

“There is no doubt that global conflicts may affect shipping costs, but let us know exactly how the figures were arrived at and what specific costs are being transferred to importers,” he added.

He further criticised shipping companies for allegedly passing the cost of managing empty containers to importers after delivery of goods.

“What concerns the importer with an empty container after taking delivery of goods”.

When contacted Head of Public Relations and spokesperson for the Nigerian Shippers’ Council (NSC), Rebecca Adamu on the issue, she explained that the Senate committee had previously intervened in the matter following concerns raised by exporters and other stakeholders in Apapa.

According to the Council, the Senate is actively involved in the review of the issue, while the Shippers’ Council is only serving in a mediating role between shipping companies and stakeholders.

Her words; “The Council is not the final decision-maker in this matter. It is essentially between the shipping companies and the stakeholders,” the spokesperson said.

“We are currently awaiting the outcome of those consultations. At this stage, the matter is no longer within the direct control of the Shippers’ Council; it is now with the National Assembly committee.”

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