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Nigeria to adjust foreign trade policy

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…Switches from FOB to CIF

HOUSTON,TEXAS – The Nigerian government has decided to change its foreign trade policy from the present Free on Board, FOB, to Cost, Insurance and Freight, CIF, which most countries across the world uses because of its economic benefits, before the end of the year.

The FOB makes it mandatory for the buyer to determine who ships and who insures the goods to his port of destination, while the CIF ensures that the seller determines who ships and who insures the goods bought from him.

FoBPresently, goods bought from Nigeria are on FOB basis while Nigerian trade with other nations is done on CIF basis.

Speaking on the position of the Nigerian government, at the ongoing Offshore Technology Conference, OTC, Special Adviser to President Goodluck Jonathan, Leke Oyewole, said work has been completed on the document for the change in policy so as to help indigenous operators.

Oyewole explained that a document to that effect has been completed and inputs from the Ministries of Finance, Trade and Investment, Petroleum and others has been made after it first went to the President.

According to him, all that is left now is for the Economic Management Team, EMT to take a final look at it before it returns to the President for his endorsement and the change in policy to take effect.

“The EMT always have a long list of issues to attend to, they were to have that meeting last month but it was not possible, but I can tell you that within this month, most likely it will be discussed and when it is discussed and agreed upon at that level, then it will be left to the President to sign off on it. Once he signs, it becomes an order.”

Asked whether the policy would be reversed before the end of the year, the Special Adviser said, “Am hopeful, am very very hopeful but you also know that if today the President gives the go ahead for the policy to be reversed, Nigerians would not begin to carry it out tomorrow. We need to give sufficient time, enough for Nigerians to acquire vessels to begin to carry.”

He noted that country presently “operates on FOB, in which case, as soon as we put cargo onboard the ship, the fund, the money is released to Nigeria. When we go on CIF, it will mean that until the cargo is delivered before the money will come to Nigeria, there will be a gap, that gap must not be too wide, otherwise it will hamper the national funding because we get most of our revenue from these products (petroleum products).

“We have stayed back for too long, we cannot lunch suddenly into the mainstream, otherwise we will not be able to cope with the dynamics of international politics that will be involved. We need to find a way to move in gradually and all these has been taken care of in the document I told you has been moving from table to table, so that we have a sustainable re-entering into the international market and trade.”

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Maritime

Okpebholo Hits Ground Running, Flags Off Edo’s 1st Flyover Bridge

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Edo State Governor, Senator Monday Okpebholo appears eager to deliver the dividends of democracy to his constituents.

This is discernible from the frenzy of activities being witnessed in his first few days on the job, including dissolution of boards, constitution of investigative panels, flagging off of infrastructure projects, among others.

In the bid to address the perennial road traffic congestion negatively impacting economic and social activities in Benin City, the state capital, Gov Okpebholo on Wednesday flagged off the construction of a flyover bridge.

Biztellers reports that the flyover bridge around the popular Ramat Park in the city centre is the first of such in the history of Edo State.

ALSO READ: Tinubu Seeks ₦1.767tn Loan to Tackle 2024 Budget Deficit

The Edo State Government made the disclosure in its verified handle on micro-blogging site, X, on Wednesday.

It wrote, “Traffic decongestion: Gov Okpebholo flags off first flyover in Edo.
“Edo State Governor, Sen. Monday Okpebholo has flagged off the construction of a flyover bridge at Ramat Park, Benin City, the State Capital, as part of immediate efforts to reduce traffic congestion in the city.”

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Maritime

IMO Category C Election: Oyetola Inaugurates Inter-Ministerial Committee

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The Minister of Marine and Blue Economy, Adegboyega Oyetola, has called for a comprehensive action in Nigeria’s bid to be elected into Category C of the International Maritime Organisation (IMO) Council, as he inaugurated an Inter-Ministerial Committee to promote the campaign.

Speaking at the inauguration held at the Boardroom of the Federal Ministry of Marine and Blue Economy (FMMBE) in Abuja on Tuesday, Oyetola said the campaign must be all-inclusive, taking into consideration diplomatic and operational strategies in soliciting votes to yield good dividends.

He explained that, having lost out three times between 2011 and 2019 after its successful stints in 1975, 2001, and 2005, Nigeria is due to return to the Council to cement its relevance as a strategic Maritime domain and a strong voice in West Africa.

On his part, the Director-General of the Nigerian Maritime Administration and Safety Agency (NIMASA), said, “The need for Nigeria’s return to Council is imperative given our strategic location and significance as a hub of Maritime activities and as a voice for the sub-region on the IMO Council, where crucial decisions regarding international maritime shipping and trade are made.”

ALSO READ: Tinubu Endorses Six IMO Instruments Of Accession

He added that membership in the Council comes with such benefits as “technical assistance, manpower and institutional development, as well as political influence in the maritime sector of the global economy.”

The inter-ministerial committee for Nigeria’s election to the IMO Executive Council at the 34th Regular Session in 2025 comprises high-level officials led by the Permanent Secretary of the FMMBE, Olufemi Oloruntola.

The committee is tasked with identifying activities and actions that will promote Nigeria’s standing in the IMO community by articulating and showcasing the country’s maritime achievements.

Members of the committee include the Director of Maritime Security and Safety from the FMMBE and the Director-General of the NIMASA, who will serve as alternate chairpersons.

Other members are; the Directors of Legal Services and Maritime Services from the FMMBE, the Director of International Organisations Division at the Ministry of Foreign Affairs, the Managing Director of the Nigerian Ports Authority (NPA), the Executive Secretary of the Nigerian Shippers Council (NSC), the Managing Director of the Nigerian Inland Waterways Authority, and the Rector of the Maritime Academy of Nigeria (MAN), Oron.

Others include the former Director-General of NIMASA, Dr. Ade Dosunmu (stakeholder); the representative of the Office of the Honourable Minister of the FMMBE, Dr. Charles Akinola; and the Assistant Director, Maritime Pollution Control at the FMMBE, Mr. Paschal Ogah, who will serve as Secretary to the Committee.

Meanwhile, the Direvtor-General of the Nigerian Maritime Administration and Safety Agency (NIMASA), Dr. Dayo Mobereola, has officially presented the six IMO instruments assented to by the President of the Federal Republic of Nigeria, Bola Tinubu, GCFR, to the Minister of Marine and Blue Economy.

He thanked the Minister for facilitating the signing of the IMO Conventions, noting that, ‘these six conventions have been pending within the Ministry and government for the last 6 to 8 years. With the efforts of the Honourable Minister, they have now been assented to by Mr. President and will be delivered and showcased with the IMO.’

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Tinubu Endorses Six IMO Instruments Of Accession

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Nigeria’s President, Bola Ahmed Tinubu has signed the instruments of accession for six Conventions of the International Maritime Organization (IMO).

This action paves the way for Nigeria to officially deposit these instruments of accession at the IMO headquarters, which serves as the repository for such conventions. This move is expected to enhance Nigeria’s maritime governance and align its practices with international standards, promoting maritime safety, security, and environmental protection.

It was gathered that the six instruments signed by President Tinubu are the Instrument of Accession of the Protocol of 2005 to the 1988 Protocol for the Suppression of Unlawful Acts against the Safety of Fixed Platforms on the Continental Shelf, the Instrument of Accession of the International Convention of Standards of Training, Certification, and Watch-keeping for Fishing Vessel Personnel 1995; and the Instrument of Accession of the Protocol Relating to Intervention on the High Seas in cases of Pollution by Substances other than Oil, 1973 as Amended (INTERVENTION PROTOCOL).

ALSO READ: MAN Counts On Govt’s Support For Dangote Refinery To Boost More Downstream Investments

Others are the Instrument of Accession to the Protocol of 1996 to Amend the Convention on Limitation of Liability for Maritime Claims (LLMC) 1976; the Instrument of Accession to the Protocol to the 1974 Athens Convention Relating to the Carriage of Passengers and Their Luggage by Sea, 2002; and the Instrument of Accession to the Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships, 2009.

Presenting the instruments to the Hon Minister of Marine and Blue Economy, Dr. Dayo Mobereola, the Director-General of NIMASA, expressed his gratitude to the Minister for facilitating the signing of the IMO conventions by the President after several years of being pending in the Ministry.

In his words, “These six instruments have been lying within the Ministry for the last 6 to 8 years, and thanks to the efforts of the Honorable Minister, they have now been assented to by the President. This is a landmark achievement for Nigeria, as the IMO will soon update our records to recognize these instruments.

On his part, the Honorable Minister reassured stakeholders of the President’s commitment to developing the Nigerian maritime industry in line with global best practices.

By signing these instruments of accession, the President has reaffirmed this administration’s determination to take its rightful position among the comity of maritime nations. This development will undoubtedly further reassure member states and stakeholders of Nigeria’s resolve and determination to be a leading member of the decision-making body of the IMO.

The deposit of these six instruments of ratification will be carried out by the supervising Ministry, and NIMASA.

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