A technical committee set up by the Nigerian Ports Authority (NPA) recently submitted its report and resolved the controversy surrounding the introduction of the Cargo Tracking Note (CTN) as a critical instrument for conducting international trade.

The committee which membership was drawn from stakeholders in the industry evolved compromise positions that basically addressed the concerns of the local shipping community. By the recommendations of the committee, the implementation of the CTN took effect on March 1, 2010. An important concern of the ship owners and users of shipping services in Nigeria is what was seen as the potential of the CTN not only to increase the overall cost of shipping goods but adding further bureaucratic hurdles to a system already bogged down by excessive documentation.

By the compromise position adopted by the committee, cost to be incurred on goods being shipped into Nigeria ranged from 50 Euros for cargoes emanating from Africa to a maximum of 150 Euros for goods coming from Asia and the Pacific. Given the all encompassing nature of the composition of the technical committee, its unanimous position on the contending issues has set the stage for the take off of the CTN project.

As part of efforts to improve the tracking of the movement of cargoes in an increasingly global village, the International Maritime Organisation (IMO), an agency of the United Nations, adopted new codes and protocols to encourage the full disclosure of information on maritime cargo and vessel traffic by member countries as a way of improving security of port infrastructures and the safety of life at sea.

The CTN initiative is part of the post-September 11, 2003 terror attacks strategies aimed at effectively accounting for the movement of every cargo in every part of the world.

As a member of the global shipping community, Nigeria had sought to implement the CTN from January 2010 but wary shipping operators in the country had been alarmed at what they saw as another avenue to increase the cost of doing business in Nigerian ports. That all the stakeholders have endorsed the implementation of the CTN is a testimony to the power of consultation.

As it turned out, the initial apprehension of shipping operators over the CTN was due largely to the limited consultation and public enlightenment that preceded the initial date set for its implementation.

Herein lies the lesson for policy makers as they seek to enforce change. Adequate consultation with core industry operators and public enlightenment are important ground works that should precede any policy change.

We commend freight forwarders, ship owners, the Manufacturers Association of Nigeria (MAN), the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA), private terminal operators and the managing agents of CTN for resolving the contending issues in record time.

In a world challenged by extremism in all shades and persuasions, Nigeria has to be part of the global effort to evolve a safe and stable environment for the conduct of international trade.

Source: businessdayonline.com