SOAN decry N2 Trillion annual loss to capital flight in Maritime sector

Shipowners Association of Nigeria,(SOAN) had raised concerns  over N2 Trillion annual loss to  capital flight mainly through crude carriage and other auxiliary services  in the maritime sector in the country,while expressing confidence that the association is prepared support the initiatives of the  new government to drive the needed growth in the sector.

Greg Ogbeifun,the President of SOAN  during  investiture of the Chairman and Board of Trustees  and Gala night Dinner organised  in Abuja maintained that the organisation has the capacity to turn around the fortunes in the maritime sector while working  closely with the government to drive the needed economic growth and boost job creating with the dwindling fortunes of the oil sector.

According to him,: “The demise of the NNLS-a national carrier  meant the total disappearance of this fleet of vessels that provided the Sea time training opportunities and cadets’ training in Nigeria,which happens to be a critical requirement for Maritime Human Capacity Development.

He,however assured that SOAN in its contribution to the maritime sector are collectively providing one hundred training berths the nation’s ship to support the Nigerian Seafarers  Development Program of the Nigerian Maritime Administration and Safety Agency(NIMASA).

He suggested further to the Federal government to re-consider the experience entrenched in the association in the management and operation of vessels and tankers which they are committed to exercise working closely with the Nigerian National Petroleum Corporation,NNPC and the Ministry of Transportation in working out a framework for the establishment,management and operation of such a shipping company.

According to him,”the benefits arising from that include: Creating a training platform for the Nigerian Mariners,reversing the loss in revenue to Nigeria resulting from the current FOB instead of CIF in the carriage of the nation’s crude which would lessen the constant tension often witnessed in importation of crude into the country”

Speaking along the same vein,Chibudom Nwuche,the Chairman of the Board of Trustees of SOAN said the maritime sector has the potential to contribute to the tune of $15 billion to the Federal government ,in addition to creating 5 million jobs if the enabling environment is created.

While decrying the paltry 7.7 percent contrib ution to the GDP,he said that the association is prepared to work more closely with the Ministry of Transport to ensure that the maritime sector appreciates the revenue of the Federal Government,and drives job creation especially now the Federal Government is yearning to diversify its revenue earnings.

“The association registers its disapproval to the paltry contribution of the sector to the GDP 60 years of our crude oil exploration has left us with the Crude carriage still capital flight with third party still carrying our crude which does not speak well of our economy especially as the Federal government looks to diversify its revenue base” he added.