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Tuesday, November 19, 2024

Barge operators handled four million containers – Official

Barge operators handled four million containers – Official

The President of the Barge Operators Association of Nigeria, Mr Olubunmi Olumekun, has stated that between 2019 to date, the group has employed 26,000 persons and handled over four million twenty-foot equivalent containers across Nigeria’s waterways.

Olumekun disclosed that the containers handled within the period under review include imports, exports, and other cargo entries adding that the move has positioned barge operations as a critical component of the nation’s maritime logistics.

In a chat with journalists in Lagos on Monday, he also called for urgent policy reforms to address industry challenges.

He explained that BOAN comprises 82 member companies, collectively operating over 2,000 barges and tugboats in Nigeria.

Olumekun mentioned that each barge employs a minimum of 13 crew members, contributing significantly to job creation in the maritime sector.

“In the last five years talking about between 2019 till date, BOAN has facilitated the movement of over four million TEUs. In the area of employment, we have 2,000 barges employing a minimum of 13 crew members. So if you calculate that you will see that we have employed at least 26, 000 persons in the last five years,” Olumekun explained.

He said the feat is a testament to the immense potential of barge operations to generate employment and support economic growth.

The BOAN president, however, identified restrictive government policies as the most pressing issue stifling the industry’s growth.

He said a key concern is the N50m annual cash bond required by the Nigerian Ports Authority for licensing barge operators.

“The cash bond remains idle in a bank account for a year, unlike insurance bonds used globally, which are cheaper and more efficient. Adopting insurance bonds would reduce costs and attract more operators into the sector,” he said.

Olumekun stressed that BOAN was established to regulate its members, enforce safety standards, and combat the prevalence of substandard operators.

“Each barge is assigned an identity number to ensure traceability and accountability in case of incidents,” he stated.

He noted that many accidents are caused by unregulated operators who lack the necessary knowledge and expertise, further emphasizing the need for stronger regulatory frameworks.

Comparing costs, Olumekun acknowledged that transporting cargo via barges currently appears more expensive than road transport, largely due to high charges from terminal operators and government agencies.

He emphasised that if financial impediments were removed, barge transportation would be at least 50 per cent cheaper, given the ability to move large volumes efficiently.

Highlighting the benefits of waterways transportation, Olumekun pointed out that barges ensure timely and safe delivery of cargo, eliminating risks like road delays or short shipments.

Olumekun explained that with a barge, all containers arrive simultaneously, “even if a tugboat develops a fault, it can be replaced without disrupting the operation, a level of reliability unattainable with trucks.”

According to him, the government must revisit and improve these practices rather than focusing solely on road transport.

Barges are flat-bottom raft-like boats propelled by their engine or towed by another, built primarily for conveying cargo on canals and rivers. Barge operation in the context essentially involves the use of barges for conveyance of cargo on inland waters, from one point to another.

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