Nigeria's Economy Saves N31.1bn Through Shippers' Council Automated Demurrage Fee Portal

The Nigerian Shippers’ Council (NSC) announced that it has saved the Federal Government N31.1 billion between January and June 2024.

The substantial saving, which represented a 400 per cent improvement compared to the manual process used in 2023, was achieved through the introduction of an automated demurrage fee confirmation portal for information options.

Speaking to Journalists, the executive secretary of the Council, Dr Pius Akutah, said the automated system streamlined the confirmation process, reduced the risk of excessive charges and promoted a more balanced shipping cost structure.

The NCS boss, who was represented by the Director of the Regulatory Services Department, NSC, Margaret Ogbonna, also disclosed that the council has developed a web-based platform called CRD Portal with six major modules, including modules for shipping companies, vessel charterers, shippers, and authorized dealer banks.

Akutah stated that the CRD system would further help to curb excessive charges by vessel charterers and promote a balanced shipping cost structure that aligns with international best practices.

“NSC and Central Bank of Nigeria (CBN) are currently working out strategies to develop a standardized module for the CBN on the CRD Portal and also integrate the Confirmation of Demurrage, Freight Rate 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 FOREX. In promoting fair trade practices, the system will help to curb excessive charges by vessel charterers and promote a balanced shipping cost structure that aligns with international best practices,” Dr Akutah stated.