Covid-19: Custom Agents Threatens Legal Action against Shipping Companies, Terminal Operators over N1.5bn Waiver Granted by FG

Eromosele Abiodun
Licensed customs agents in the country have threatened to sue Terminal operators and shipping companies over their refusal to refund the N1.5 billion waiver granted to importers, customs agents during the Covid- 19 pandemic by the federal government.

In a petition to the federal government through the Secretary of the Government of the Federation (SGF) seen by THISDAY, the customs agents decried the flagrant disobedience of the federal government’s directive that terminal operators and shipping companies refund the collection of demurrage and rents during the COVID- 19 lockdown.

The Nigerian Ports Authority (NPA), had directed that all terminal operators should suspend all applicable terminal storage fees (demurrage) on consignments for an initial period of 21 days effective March 23, 2020. It also extended the demurrage-free period by another 14 days from April 13, 2020.

In another memo issued on April 8, 2020, the NPA had said it would, “grant credit notes commensurate to the rental reliefs granted by the terminal operators to importers within the 21-day free storage period.”

Also, the Nigerian Shippers Council (NSC) had directed all shipping companies to suspend demurrage charges on cargoes during the period of the COVID-19 lockdown effective March 30th, 2020.
However, the customs agents in the petition claimed that the shipping companies and terminal operators have refused to refund the fees as against federal government’s directive.

National President of the National Council of Managing Directors of Licensed Customs Agents (NCMDLCA), the umbrella body of customs agents in Nigeria, Lucky Amiwero, lamented that: We hereby draw the attention of the Federal Government of the refusal of the Terminal operators and shipping companies to refund the waiver of thirty five(35)days relief granted the Importers/ Licensed Customs Agents under the COVID 19 Pandemic by the Presidency.

“The letter dated 13th January 2021 ECD/P/251/T/VI addressed to the NCMDLCA on waiver of both terminal and shipping companies waiver on the days of the lockdown, which cumulated to 35 days for the period, which conform with principle of force majeure restricting the movement of all agencies especially the importer and licensed customs agents who were mostly affected.”

The agents alleged that the terminal operators and shipping companies with the connive with Nigerian Ports Authority who are to implement the waiver process, refused to implement the directive from the presidency of the 35 days of waiver on demurrage and rent for importer and agents.

This, they stated, is clear contravention of international maritime obligation on COVID 19 Pandemic and the presidential directive on the relief for licensed customs agents.

They added, “The total collection by the Terminals operators and Shipping companies on the waived rent and demurrage, was made possible by the NPA that allowed the Terminal operators and Shipping companies to collect all the 35 days, which was supposed to be refunded to the Importers/ Licensed Customs Agents(LCA)

“Nigerian Ports Authority aided the Terminal Operators and Shipping Companies by issuing the circular HQ/GM/MRS/OP/L.1/VOLII/434 OF 14TH MAY 2020 on the demand of the refund to the NCMDLCA after the ease of the lockdown, when the terminal operators, shipping companies have illegally and forcefully collected the rent of the 35 days without refund to the importers and licensed customs agents.”
The agents added that the management of the NPA was forwarded with the terminal operators and shipping companies receipt of payment made by the importers, licensed customs agents, “which falls under the date of the waiver of the thirty five days that was illegally and forcefully collected, which was not paid up till date.

“The Ministry of Justice and the Nigeria Customs Service (NCS) being the agency of government that regulates the licensed customs agents and the legal Chief Law office of the Federation recognize that their is no faction in NCMDLCA but manipulation by NPA who use the ploy to connive with the terminal operators and shipping companies to refuse the refund of the COVID-19 waiver to importers and licensed customs agents.”