The Nigerian maritime sector is grappling with challenges that impede the ease of doing business. A prominent issue is the soaring cost of clearing goods, exacerbated by exchange rate fluctuations and stringent import regulations. Licensed customs agents, whose livelihoods are jeopardized, are compelled to seek alternative sources of income.
The upheaval in the maritime industry has left many licensed customs agents despondent, as they struggle to support their families. The prohibitive cost of clearing goods has led to loss of employment, fatalities, and mass exodus from the profession. The prevalence of items under prohibition in Nigeria further constrains import activities, diminishing the agents’ earning potential.
A report by The Media Talk Africa revealed that 60% of licensed customs agents have forsaken their profession, resorting to menial jobs such as commercial motorcycling (okada riding) due to the adverse impact of the fluctuating exchange rate. Comparatively, licensed agents attest that the previous administration at the Central Bank of Nigeria, under Godwin Emefiele, maintained a more stable exchange rate, providing a conducive operating environment for the maritime sector.
Lucky Amiwero, founder of the National Council of Managing Directors of Licensed Customs Agents, acknowledges the challenges during Emefiele’s tenure but asserts that the current administration presents an even more arduous climate. He notes a significant exodus of licensed agents, attributing it to the volatile exchange rate, compelling them to seek alternative livelihoods.
Nnadi Ugochukwu, Deputy President of the National Association of Government Approved Freight Forwarders, echoes these sentiments, highlighting the detrimental impact of excessive taxation and an extensive import prohibition list. Ugochukwu advocates for a shift towards promoting local production and export, urging a focus on areas of comparative advantage to stimulate economic growth.
Amid the adversity, licensed customs agents are exploring various avenues to sustain their livelihoods. One such pursuit is ship chandelling, a lucrative yet overlooked sector in Nigeria, involving the supply of provisions and equipment to ships and seafarers. Additionally, there is a growing interest in export activities as an alternative to importation, offering the prospect of foreign exchange earnings and addressing forex scarcity.
Furthermore, licensed agents are venturing into trucking consultancy, facilitating truck services for cargo transportation without the need for ownership. This diversification presents a viable means of income generation, alongside endeavors such as car delivery services and assisting in car purchases, leveraging their expertise in customs clearance to benefit clients.
Amid these transitions, licensed agents face challenges in adapting to new roles, with some expressing concerns about reduced earnings. However, these alternative ventures not only offer a lifeline to displaced agents but also hold the potential to invigorate neglected sectors and bolster government revenue streams.
The resilience and adaptability exhibited by licensed customs agents exemplify the imperative for nimble economic strategies in navigating turbulent times, ultimately contributing to the revitalization of Nigeria’s maritime and trade landscape.
