Consignees should not pay for cargo transfer to off-dock terminal they did not approve- Shippers’ Council

The Nigerian Shippers’ Council has declared that consignees must not pay for  cargo transfer  to any off-dock terminal, if such action was not initiated or approved by them.

“It should be noted that based on international standard and recognised practice, freight paid at origin covers movement of cargo to final port of delivery at destination.

“It follows therefore that cargoes earmarked for transfer to off-dock terminals, at the request of the shipping company, seaport terminal operator or off-dock terminal, without the consent of the consignees or their authorized representatives, should not attract charge(s) against the consignees,” the Shippers’ Council said.

Disclosing this in a statement on Tuesday, the Council said it had received series of complaints from shippers on the development it described as being against as “unethical.”

It said: “Nigerian Shippers’ Council has been inundated with complaints against shipping companies/agencies, seaport terminal operators and off-dock terminals on the arbitrary levy of container demurrage, storage and transfer charges on innocent consignees, for transportation of cargoes to off-dock terminals unilaterally initiated by terminals without the consignees’ consent.

Nigerian Shippers’ Council considers this act as unethical and unwholesome.”

The Shippers’ Council, therefore, resolved that all service providers must be guided as follows:

1. Import cargoes should be delivered to the nominated port of destination as stated in the Bill of Lading;
2. Where the operational convenience of the seaport terminals or some other prevailing circumstances necessitate the transfer of cargoes from the seaport terminals to off-dock terminals, the concerned consignees or their authorized agents must be notified in good time, and must not be charged the cost associated with such transfer, including barging cost;
3. Storage and demurrage charges on cargoes earmarked for transfer from seaport terminals to off-dock terminals, without the consent of the consignee, should take effect only after arriving at the designated off-dock terminals.

It also added that “Consequently, all transfer charges collected from consignees of cargoes transferred from seaport terminals to off-dock terminals, from 1st June 2020 to date, at the instance of the shipping companies/agencies, seaport terminal operators or off-dock terminal operators, without the consignees requesting for such transfer, must be refunded to the consignees immediately.

 “Failure to refund such charges will lead to the Council invoking its regulatory powers to enforce compliance.”