Onitsha River Port Provides Huge Economic Benefits To Nigeria – Don Ebubeogu

The President, Onitsha Chamber Of Commerce, Industry, Mines And Agriculture (ONICCIMA), Mr. Don Ebubeogu, during the 12th Edition of the Perspective; an annual lecture series of ONICCIMA, which provides the platform for discussion on issues affecting the socioeconomic development of the business community in Nigeria, said that the Onitsha River Port will provide huge economic benefits when fully operational.

The ONICCIMA President in his speech highlighted the capacities and possibilities of the Onitsha River Port as strategic gateway for trade and commerce in the South East and Nigeria, with workable solutions that are not only implementable but sustainable in the long term.

“Onitsha has played a central role in the trade and distribution of goods all over Nigeria and across the West African region, because of its strategic position between Eastern and Western Nigeria, and between the densely populated Igbo hinterland and the oil-rich creeks of the Niger Delta. For more than 50 years, it has remained the regional hub for trade and logistics in Southern Nigeria.”

“There are over 15 key highly capitalized, independent, open markets spread in this metropolis, the majority of which are classified for particular distinct goods like textiles, electronics, households, foods, beverages, automobiles, building materials, pharmaceuticals, cosmetics and machinery. It also hosts the famous Onitsha Main Market; the largest single market in Africa in terms of geographical size, capitalization and volume of trade. Onitsha has an estimated transaction value in excess of US$120,000,000.00, daily.”

“It is, therefore, pertinent to note that the Onitsha River Port built by President Shehu Shagari in 1983 and rehabilitated by the administration of President Goodluck Jonathan at a cost of N4.6 billion in 2012, was done out of sound economic considerations, for the benefit of the Nigerian economy. Unfortunately, political consideration seems to be the only reason why this port is lying comatose seven years after rehabilitation that boost of  transit sheds/warehouses of 100×55 metres with a storage capacity of 10,000 twenty foot equivalent units (TEUs), port operations building, nine senior staff quarters, 11 junior staff quarters, fuel tank farm, 150mm diameter borehole, etc.”

“In what I will personally term “the politics of the Onitsha River Port”, let me inform this audience that unlike the usual convention after commissioning a facility as important as a river port, there is an official designation and gazette of the facility, which will give it a legal status to operate, no such official proclamation was made on each of the occasions Onitsha River Port was commissioned.”

“Nevertheless, we must not fail to appreciate the role National Inland Waterways Authority (NIWA) has been playing in recent times, under the leadership of Senator Olurunimbe Mamora, which prompted the Honourable Minister of Transport, Rt. Hon. Rotimi Amaechi, to grant the approval for the commencement of the declaration and gazetting process, which if completed is expected to give a legal status to the Port and offer some measure of comfort to shippers.”

“In spite of the directive given by the Honourable Minister, we are still concerned about the concession exercise of Onitsha River Port, which is mired with controversies. NIWA, which is the implementing government agency, informed Nigeria, through the then acting Managing Director, Barrister Danladi Ibrahim, that it has concluded the concession of the River Port as of July 2018, and yet, it has not been able to communicate to the winner of the bid officially till date. The Port concession process which was scheduled for conclusion by the end of March 2018 has been bedeviled by a series of irregularities leading to numerous complaints from bidders which led to pending litigations. While the country loses sufficient revenue from the congestion at the Lagos Ports, it short-changes itself by not exploring the options provided by the Onitsha River Port.”

“It will take both economic and political will to fully concession the Onitsha River Port in order to tap from its huge economic benefits to businesses located in the commercial cities of Onitsha, Nnewi and Aba, and save the economy the burdened cost of transporting goods from Lagos to Eastern Nigeria. This will not also save businesses as much as N750, 000.00 put into cargo clearance per container, as haulage cost of transporting cleared consignment from Lagos ports to the states in the East, but will also help to decongest the already stretched Lagos ports.”

“With a colossal turnaround time for ships at Lagos ports, which is estimated in excess of 30 days, against 2-3 days that is obtainable at efficiently operated ports globally, resulting in a port detention penalty of about $1,200.00 per container coming to Nigeria, the Federal Government should hasten the concession of the Onitsha River Port in order to put into effect the gospel of Ease of Doing Business, championed by the current administration.”

“Today’s event will seek to x-ray the capacities and possibilities of the Onitsha River Port and the multiplier effect that would result in increased revenue both at the Federal and State level, jobs that would be created for the teeming masses unemployed youth and more importantly allay the growing concern of a systematic attempt to marginalize and subjugate the economy of the South East region.”

“The ideas and suggestions expressed in today’s event will further concretise the position of the Organized Private Sector in Onitsha and in a larger context the South East region, which would be presented to the Federal and State Government in the form of a communiqué.”

We have, and should move past the meaningless political parleys that does none of us any good. Now is the time to push for the full utilization of the Onitsha River Port and to ensure that in the coming months the Onitsha Business Community would witness the first ship berthing at the Port” Don Ebubeogu concluded.