FG Stops CRFFN From Collecting Transaction Fees

Federal Government has stopped the Council for the Regulation of Freight Forwarding in Nigeria (CRFFN) from further collection of the approved transaction fees, as a result of the petition written to the Minister of Transport, Senator Idris Umar by the Association of Nigeria Licensed Customs Agents (ANLCA).

The National President of ANLCA, Prince Olayiwola Shittu recently petitioned the Minister of Transport for the suspension of the collection of transaction fees by the CRFFN over the refusal of the council to discuss sharing formula of revenue with the accredited Freight Forwarding Association.

Shitttu’s resignation and petition to the Transport Minister, Malam Umar led to the suspension of the collection of the transaction fees, a move which has cost CRFFN over N200 million in two months and compounded its financial condition.

In a joint press conference, Prince Olayiwola Shittu, national President ANLCA and Dr. Boniface Aniebonam, founder NAGAFF in Lagos recently said the two associations appreciated the good gestures of the government over the approval of the transaction fees but expressed their reservation.

“We do hope that the leadership of our council and the honourable Minister do realise that the council does not have the mandate to regulate and control the Nigerian importers, we see it as an error to make such an approval and we guess that it is the reason the honourable Minister decided to reverse himself.

“In the future the CRFFN council can work out with the registered members who are the agents to the principals the best and legal manner such levy can be imposed”, the association advised.

They further claimed that “those who went to seek approval for collection of transaction fees, do not know what they were doing because the Minister does not have the power for approval of collection of money due to us. Section 6 of the council act is quite clear on the opportunity the council has to collect money from registered Freight forwarders and even the associations that they accredited. So you could see that they are making mistake”, they posited.

The duo of ANLCA and NAGAFF noted that elected members of CRFFN have a four-year tenure which expired on August, 14th, 2012, and declared that any action taken after the 14th of August, 2012 is an illegality on the part of the leadership of the council and as such the registration of the Association of Registered Freight Forwarders of Nigeria (AREFFN), National Council of Managing Directors of Licensed Customs Agents (NCMDLCA) and the National Association of Air Freight Consolidators (NAFAC) is null and void.

Meanwhile, counter claims has trailed the suspension of the CRFFN Transaction fees. The management of the Nigeria Customs Services (NCS) in a letter dated 5th September, 2012, with reference number NCS/ADM/MGT/018/S.12/C/V. III, addressed to the Minister of Transport on the subject matter signed by Assistant Comptroller – General of Customs, Mr. Musa Tahir on behalf of the Controller-General stated that the approval granted to the CRFFN to collect sundry fees on import will increase the cost of doing business at Nigerian ports, adding that charges will no doubt cause delays in the clearance of goods thereby leading to port congestions,” the letter read in part.

The letter further reads that “Its implementation will further increase the cost of doing business in Nigeria with its attendant implication on the cost of goods and services in the country”.

Mr. Biodun Abolaji, member ARFFN, described opposing moves against the transaction fees as mischievous and parochial.

“Collection of transaction fees at the ports will not perpetuate corruption, will not increase cost of doing business at the ports but rather bring it down,” he added.