Alhaji Abdulrashid Nasidi, Chairman/CEO of Shaaban Poly and Chemical KFTZ, a Kano based company in this interview with Ismail Aniemu, disclosed that his company spent more on moving containers from the ports to Kano
Nasidi a chieftain of the Association of Nigeria Licensed Customs Agents (ANLCA) urged the government to address the issue of rail movement which is cost effective with lesser risk in the logistics of cargo movement. He described the Lagos to Ibadan cargo movement as good but inadequate.
He also commended the Nigeria Customs Service for creating an improved environment for trade at the Kano Free Trade Zone.
Excerpts:
Give us an overview of the changes you have seen in Kano Customs, especially with the deployment of B’Odogwu technology since the assumption of office of the new Controller.
Since the coming of this new controller, immediately he arrived, the team from headquarters inaugurated the B’Odogwu in the command, they also visited the command and started by inviting the stakeholders to come for a sensitization meeting.
During the meeting, explanations were made on the aim of the team and they sought cooperation of all stakeholders so that the aim will be achieved timely and successfully. Details were requested by the ICT team in order to register every licensed agent to the B’Odogwu platform.
Many agents have complied, and a lot of agencies profiles have been created already. I don’t have the data of some that are still on process. That data is still with the Association of Nigerian Licensed Customs Agents (ANLCA). For now, majority of our licenses have been registered.
Talking from a stakeholder perspective, what is your view about customs stakeholder relationship so far?
In an honest perspective, the present controller is a very cooperative person as regards associating with relevant stakeholders. There have been a very fruitful cooperation and engagement.It’s the reason why our successes are coming very fast unlike the past.
From your own perspective as private sector stakeholders, what is your level of compliance with government rules so far? Can you appraise yourself?
Yes, I can appraise myself. On a scale of 1 to 10, I can appraise myself with 8.
To what extent are the bonded terminals serving your interest and how much are you utilizing rail transportation?
Right now, I can say 90% of our consignments come by road. However, some of us are using Lagos-Ibadan rail to at least move out containers from the Lagos ports down to Ibadan, where we now use trucks from Ibadan down to Kano.Actually, that area of rail is an area that needs urgent involvement of government or related authorities to step up to make the rail haulage a possible and successful one because that will really help and improve in terms of cost effectiveness and timeliness of delivery of cargo. The investment in that rail infrastructure will really pay off.
Talking specifically for your company, how much do you think you have lost in the course of using road haulage instead of rail that would have been cheaper for the whole of 2024 and first quarter of 2025?
Actually, for example, for my company, I can estimate N1,000,000 for every container, taking into account that there will be a difference in haulage cost. Checking from last year to this year, I can say there will be a difference of around ₦4b..
Four billion Naira could have been saved if we were using rail. Just in terms of even the difference in the cost, we have to consider the time, the demurrage cost and the associated risk of road. I assume the rail service will be a prompt one.
Please, give us an overview of your operations at the Kano Free Zone. Is it progressing as expected, and what are the gaps you think should be filled?
We operate assembling line of activities of our licensed enterprises, we make application transfer of arrived cargo in the port to the customs through the Free Zone management, down to the Free Trade Zone where the examination team will examine the arrived cargo.
After the cargo is arrived, the cargo is subjected to processing. After processing at the point of export to Nigeria, if the export is going to Nigeria, customs will make examination of what you are exporting to Nigeria, and confirm appropriate duty payments before releasing.That’s just an overview.
The major challenge we face is lack of proper awareness of the zone by various government agencies of which on many occasions has constituted to having delays while transferring your consignment from the port down to the Free Zone.
That awareness about how Free Trade Zone operations really needs to be made for stakeholders and government agencies that are generally involved with import of shipments into Nigeria.
Are you talking about awareness from the part of Nigeria Export Processing Zones Authority?
No, not from them but from from regulating agencies like National Agency for Food and Drug Administration and Control (NAFDAC) , National Drug Law Enforcement Agency (NDLEA) , and some units of the Nigeria Customs Service (NCS). They need to be very much aware of the existence of the Kano Free Zone in general.
Prior to the appointment of the current Controller, there were instances where some enterprises were operating improperly by exploiting procedural gaps and incentives privileges inappropriately. However, under the new leadership, operations have been significantly streamlined and brought into greater legal and administrative order. While there has been some resistance to these reforms, we commend the Controller’s consistency and commitment to upholding integrity and due process within the Zone.
He stopped all wrong things they were doing and he has now reshaped the Free Trade Zone properly in terms of customs operation. They tried to harass him with strike about 15 times because he stopped them. The Controller insisted everybody have to undergo the due process. They even said they will ban Kano because he didn’t allow them to do their bidding,but he stood for the right thing. So, now , whether you like it or not, you have to commend him. He has already done what he has done.
He brought an end to the irregular practices previously taking place and has since restructured the operations within the Free Trade Zone, particularly regarding customs procedures. Despite facing significant resistance—including multiple attempts to undermine his efforts through planned industrial actions, several times —he remained steadfast in enforcing due process. At one point, there were even threats to shut down Kano due to his refusal to compromise on ethical standards. Nonetheless, his commitment to transparency and accountability prevailed. Regardless of differing opinions, his contributions are undeniable and deserve recognition.”
There’s the urgent need for increased public enlightenment, education, and awareness to promote a clearer understanding of the roles and responsibilities involved.
Many people remain unaware of the positive developments within the Free Zone. Several enterprises are operating on a remarkable impressive scales — an enterprise with over 2,000 employees, another ones with more than 500, advanced manufacturing processing taking place — yet their contributions often go unrecognized due to limited public outreach. Unfortunately, it’s the negative narratives gaining more attention, overshadowing the successes.
It’s only the bad ones people know. If they want to talk, they talk about the bad ones, but when he came, he fought the bad ones.
Much of the problem happens from the NAFDAC. But everybody when they say it’s Free Zone, they think it is only customs. So , when somebody wants to abuse, they abuse customs. It’s not their fault. Now, he closes his eyes. Everything that is not genuine is not attended to. He is only attending to things that are genuine.
3nexje