Ship Owner Tasks FG On Cabotage Law

The Managing Director of Mercury Oil and Gas Marketing Company, Mr. Osita Onumonu has bemoaned government neglect of the shipping sector resulting in numerous challenges faced by indigenous ship-owners, a situation that has led to the domination of coastal trade by foreigners.
Onumonu who disclosed this in Lagos recently said the situation has degenerated because government had failed to ensure full implementation of the Cabotage Act which gives the exclusive trading rights in the coastal waters to indigenous ship-owners.
He also complained about the seeming mismanagement of the Cargo Vessel Financing Fund (CVFF) which was meant to support local operators.
The Mercury Oil boss noted that after over a decade, no indigenous operator has benefited from the fund which is a contribution by ship-owners from all jobs embarked upon in the nations coastal waters.
He maintained that, ship-owners have not been able to access the CVFF, which is supposed to assist in vessel acquisition. If the funds were available to the indigenous ship owners it would have helped in job creation.
“My application for some of the fund from the authorities failed because the bank said there was no sufficient fund when I went there” he asserted.
He described the indigenous players in the sector as “endangered species” due to lack of jobs to run and sustain their business.
“We are an endangered species because even when you have a vessel , you are not able to get jobs when you do not have someone to have someone to influence the job”.
He therefore appealed to the government to ensure that the indigenous ship owners get fully engaged in the coastal trade to enable them achieve the goal of shipping development and job creation.

Nkpemenyie Mcdominic, Lagos