Stakeholders reveal that Nigeria is losing approximately N200bn monthly due to inadequate bunkering activities in the country.
The President of Nigeria’s Licensed Ship Chandlers Association, Dr Martin Enebeli, emphasizes the distinction between oil theft and bunkering, asserting that bunkering is a legitimate practice.
The fluctuating exchange rate poses challenges for crew members, leading them to stock their vessels before entering the country, potentially resulting in a loss of around N1tn if forex scarcity persists.
Foreigners now dominate about 70% of the ship chandelling sector in Nigeria, further exacerbating the economic impact.
Lack of capital and challenging business conditions contribute to the scarcity of chandlers in the country, leading many to leave the profession.
Opinion: The issue of inadequate bunkering activities and its associated economic losses raises concerns about the need for stronger regulations and capacity-building in the sector. The distinction between oil theft and legitimate bunkering activities should be properly understood and enforced by relevant authorities to address the inefficiencies and potential revenue losses. Additionally, efforts to stabilize the exchange rate and promote local participation in ship chandelling are crucial to fostering economic growth and competitiveness in the maritime industry.