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Agents Battle Customs over Multiple Checks in Cargo Clearance

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Nigeria Customs Service
  • Agents Battle Customs over Multiple Checks in Cargo Clearance

There is a growing agitation among freight forwarders plying their trade at the Lagos ports over what they described as the proliferation of Customs units which they alleged are being used for extortions and to encumber the clearance procedures at the ports.

The concerned agents, who warned that their patience was running out over what they claimed was the mindless extortions they are being subjected to, alleged that the multiple Customs units not only complicate and elongate the clearing process, but have also added to the cost of doing business at the ports.

Speaking on behalf of agents, Vice-President, Western Zone of National Association of Government Approved Freight Forwarders (NAGAFF), Tanko Ibrahim, lamented that apart from the resident Customs officers and Federal Operations Unit (FOU), the Customs authority has created what it called Strike Force team and Customs Police.

According to him, “We have never witnessed what is happening now in customs clearing process. Apart from the traditional resident Customs officers and the FOU, which are involved in cargo clearing process, there are other units newly created by Customs hierarchy to muddle up cargo clearance procedures.

“They are CG strike force and Customs Police. All these units are doing the same thing. They all want to be part of cargo clearing process. When your goods have been cleared by the resident Customs officers at the ports, these other units, which are alien to the cargo clearance procedures, will delay your goods through issuance of indiscriminate alerts and inordinate engagement in arrest of containers. This frustrates quick clearance of goods, make nonsense of ease of doing business initiative of the Federal Government and add to the cost of transactions.”

However, the Customs authority said any freight forwarder who does not have anything to hide should not be agitated over the new structure.

The Public Relations Officer of the Nigerian Customs Service (NCS), Joseph Attah, said it was not within the jurisdiction of any freight forwarder to question the structure in the Customs or how Customs should do its duty.

He explained that the strike force team is not involved in cargo clearing process but to act on information to impound containers that are enmeshed in infractions in clearance procedures.

Attah, further disclosed that the Customs Police is a new creation meant to instil discipline in the service.
“The Customs Police is just like military police. It was created to restore discipline within the service. They can invite, arrest and detain Customs officers based on any disciplinary breach.

“They do not interfere in clearance procedures but unless there is a reported case and need for their intervention in a case that involves agents and customs officers. Their primary duty is to restore discipline in the service,” he insisted.

He said the strike force is known to Customs operations and whoever states otherwise is being mischievous.
“The authority created three layers of security to check abuses of clearing process and plug revenue leakages. The first layer is the resident Customs, the second layer is the FOU while the strike force is the third layer.

“If you beat one, you can’t beat the others. There is no way you can beat all the three layers,” Attah declared.

He said rather than condemn the structure and engage in generic accusation of all the units, the agitating agents should identify any officer in any of these units who is involved in any form of malpractices for appropriate sanction.

However, Tanko insisted that these units do not confine themselves to their so called primary duties, but rather want to be involved in examination of cargo.

“Whether your container is involved in any infraction or not, the strike force will arrest your container and knowing what you will face if the container is taken to the Customs training school where they are based, agents quickly part with money to avoid delay,” he alleged.

According to him, if a container is taken to their office, the officers will subject the owner to inhuman treatment before they ask him to pay for unloading the contents for physical examination and loading, even when nothing incriminating is found.

Is the CEO/Founder of Investors King Limited. A proven foreign exchange research analyst and a published author on Yahoo Finance, Businessinsider, Nasdaq, Entrepreneur.com, Investorplace, and many more. He has over two decades of experience in global financial markets.

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Computer Village Traders Demand Refunds as Lagos State Cancels Katangowa Project

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Traders at the renowned Computer Village in Lagos find themselves in a state of uncertainty following the abrupt termination of the multibillion-naira Katangowa project by the Lagos State Government.

The project, which was aimed at relocating the bustling tech market from its current site in Ikeja to the Agbado/Oke-Odo area of the state, has left traders in a state of limbo.

Despite the cancellation of the project reportedly occurring two years ago, traders claim they were not informed by either the government or the developers, Bridgeways Limited.

This lack of communication has left them in a precarious position, particularly concerning the substantial upfront payments made by some traders to the developers.

Chairman of the Computer Village Market Board, Chief Adebowale Soyebo, expressed dismay at the lack of communication from the authorities regarding the project’s termination.

He explained that neither the government nor the contractors had officially informed them of the decision, leaving traders in the dark about the fate of their investments.

Traders who had made payments to Bridgeways Limited now seek clarity on the refund process. The absence of official communication has compounded their concerns, with many uncertain about the fate of their investments.

While acknowledging the payments made by traders, Lagos State Governor’s Adviser on e-GIS and Urban Development, Dr. Olajide Babatunde, assured that the government would facilitate refunds.

He, however, said there is a need for proper identification and verification to ensure that affected traders receive their refunds accordingly.

The termination of the Katangowa project has reignited debates about the relocation of Computer Village.

Traders assert that the issue of relocation should not be raised until the new site is at least 70% completed, as per their agreement with the government.

The cancellation of the Katangowa project underscores the challenges associated with large-scale urban development projects and the importance of transparent communication between stakeholders to avoid such situations in the future.

As traders await further directives from the government, they remain hopeful for a resolution that safeguards their interests and ensures the continuity of one of Nigeria’s most prominent tech markets.

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Government Begins Disbursement of N200bn Support Fund to Manufacturers and Businesses

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The Ministry of Industry, Trade and Investment has initiated the disbursement of the long-awaited N200 billion Presidential Conditional Grant Scheme.

This is the beginning of a vital phase in the government’s strategy to provide financial assistance to manufacturers and businesses across Nigeria.

The scheme, which is being administered through the Bank of Industry (BOI), has been divided into three categories of funding, totaling N200 billion.

The disbursement process comes after an exhaustive selection process and verification of applicants to ensure transparency and accountability in the allocation of funds.

Doris Aniete, spokesperson for the Ministry of Industry, Trade and Investment, announced the progress in a statement posted on the trade minister’s official X (formerly Twitter) handle.

Aniete highlighted that verified beneficiaries have already started receiving their grants, signaling the beginning of the phased disbursement strategy.

“We are pleased to inform you that the disbursement process for the Presidential Conditional Grant Programme has officially commenced. Some beneficiaries have already received their grants, marking the beginning of our phased disbursement strategy,” stated Aniete.

She further disclosed that by Friday, April 19, a substantial number of verified applicants are set to receive significant disbursements.

However, Aniete emphasized that disbursements are ongoing, and not all applicants will receive their grants immediately, assuring that all verified applicants will eventually receive their grants in subsequent phases.

The initiation of the disbursement process comes after more than eight months since President Bola Tinubu announced the grant for manufacturers and small businesses.

The scheme aims to mitigate the adverse effects of recent economic reforms and foster sustainable economic growth by empowering businesses with financial support.

President Tinubu had outlined the government’s commitment to strengthening the manufacturing sector and creating job opportunities through the disbursement of N200 billion over a specified period.

The funding is intended to provide credit to 75 enterprises, each able to access up to N1 billion at a low-interest rate of 9% per annum.

However, the implementation of the programme has faced challenges, including delays and criticisms regarding the registration process.

Femi Egbesola, President of the Association of Small Business Owners, expressed concerns over the slow pace of data collation and suggested that genuine businesses were being discouraged from accessing the loans.

Despite the hurdles, the commencement of the disbursement process signifies a significant step forward in the government’s efforts to provide vital support to manufacturers and businesses, potentially revitalizing economic activities and driving growth across various sectors.

As beneficiaries begin to receive their grants, the impact of this initiative on the nation’s economic landscape is eagerly anticipated.

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MicroStrategy Rally Crushes Short Sellers, Wiping Out $1.92 Billion

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MicroStrategy- Investors King

Short sellers betting against MicroStrategy found themselves facing significant losses as the company’s rally wiped out $1.92 billion since March.

This development comes amidst a rally that has seen MicroStrategy’s stock outperform bitcoin, causing a considerable hit to those who had taken a bearish stance on the tech firm.

According to data from S3 Partners, short sellers have been on the losing end since March, as MicroStrategy’s stock surged, highlighting the impact of the rally on those betting against the company’s success.

This loss underscores the challenges faced by short sellers in a market where certain stocks experience rapid and unexpected price increases.

The rally in MicroStrategy’s stock is attributed to several factors, including the approval of several spot bitcoin exchange-traded funds (ETFs) by the Securities and Exchange Commission (SEC) earlier in the year.

This move by the SEC brought bitcoin, a once-nascent asset class, closer to the mainstream and fueled investor interest in companies like MicroStrategy, known for their significant holdings of the cryptocurrency.

MicroStrategy, which held nearly 190,000 bitcoin on its balance sheet as of the end of 2023, has indicated its intention to continue increasing its exposure to the digital currency.

The company’s decision to sell convertible debt to raise money for additional bitcoin purchases further bolstered investor confidence and contributed to the stock’s rally.

Analysts at BTIG noted that the premium for MicroStrategy’s stock reflects investors’ desire to gain exposure to bitcoin indirectly, especially those who may not have the means to invest directly in the cryptocurrency or ETFs.

The company’s ability to raise capital for bitcoin purchases is seen as a positive sign for shareholders, adding to the optimism surrounding its stock.

However, despite the recent rally and optimism surrounding MicroStrategy, the crypto industry as a whole continues to be heavily shorted.

Short interest in nine of the most-watched companies in the crypto space remains high, standing at 16.73% of the total number of outstanding shares, more than three times the average in the United States.

Moreover, concerns persist regarding the SEC’s stance on cryptocurrencies, with some experts suggesting that the approval of spot bitcoin ETFs may not necessarily indicate a broader acceptance of other similar products, such as spot ethereum ETFs.

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