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Shippers Council Pushes for Enhanced Policies to Boost Vessel Acquisition Investment

The Nigerian Shippers’ Council has emphasized the need for robust national policies and increased private sector investments to address the critical challenges of vessel financing and its significance to the maritime sector’s growth.

This call was made by the Executive Secretary of the Nigerian Shippers’ Council, Pius Akutah, at a recent forum in Lagos organized by the Association of Maritime Journalists of Nigeria (AMJON) in collaboration with NLNG Shipping and Marine Services Limited (NSML).

Akutah, represented by the Principal Officer, Regulatory Services, Cadson Temitope, highlighted the importance of exploring financing options for vessel acquisition to fully harness the potential of Nigeria’s Blue Economy.

He noted that the Blue Economy plays a crucial role in global trade, with 90% of international trade conducted by sea, contributing to 70% of global trade revenue.

Nigeria is endowed with vast maritime resources, including inland and archipelagic waters, a territorial sea of 12 nautical miles, and an Exclusive Economic Zone extending up to 200 nautical miles.

To maximize these resources, Akutah emphasized the need to focus on ship repairs, vessel building, acquisition, and financing, which hold the potential to create significant job opportunities and drive socio-economic development.

Akutah commended the Federal Government for its commitment to global best practices by establishing the Federal Ministry of Marine and Blue Economy, which is expected to spearhead policy initiatives aimed at unlocking the sector’s full potential.

The Nigerian Shippers’ Council is committed to advising the government on crucial matters such as freight rate structures, shipping space availability, and the quality of vessels, among others.

He expressed optimism that the conference would address these critical issues and explore the feasibility of establishing a national carrier to ensure Nigerian-flagged vessels play a significant role in global maritime trade.

To achieve these goals, Akutah urged all stakeholders to prioritize research and development (R&D) and to foster public-private partnerships that would support the Shipping Sector Support Fund, including the Cabotage Vessel Financing Fund (CVFF) and the Nigerian Content Development and Monitoring Board (NCDMB) Maritime Fund.

Akutah lauded AMJON for organizing the conference and expressed hope that it would generate actionable recommendations to tackle the challenges of ship finance, ultimately advancing Nigeria’s maritime sector and the Blue Economy.

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