The Nigerian Shippers’ Council (NSC) has stated that it saved the Federal Government a whopping N31.1 billion revenue under its automated demurrage fee verification and confirmation.
This significant revenue leakage blockade was achieved within a six-month period covering January to June 2024, through the Council’s automation of demurrage fee confirmation, which represents a 400per cent improvement compared to the manual process used in 2023.
Executive Secretary\CEO of the NSC, Dr. Pius Akutah MON, who spoke on this milestone achievement, said the automated system has streamlined the confirmation process, thereby reducing the risk of excessive charges and promoting a more balanced shipping cost structure. The NSC has developed a web-based platform called the CRD Portal with six major modules, including modules for shipping companies, vessel charterers, shippers, and authorised dealer banks.
The NSC boss was represented at the meeting by the Director Regulatory Services Department, Mrs. Margaret Ogbonna.
The NSC and Central Bank of Nigeria CBN are currently working out strategies to develop a standardised module for the CBN on the CRD Portal and also integrate the confirmation of demurrage, freight rates and Charter Party payments (CRD Portal) and the Trade Monitoring System TRMS.
The integration when completed, will allow seamless data collaboration between the NSC and CBN and mitigate undue pressure on the foreign exchange FOREX window.
The NSC also stated that in promoting fair trade practices, the system will help to curb excessive charges by vessel charterers and promotes a balanced shipping cost structure that aligns with international best practice.
The NSC aims to continue improving the automated system, with plans to establish a joint technical committee with the CBN to drive innovation and enhance trade facilitation in Nigeria.
