Duplicity of functions among government agencies, absence of cargo infrastructure and lack of synergy with ground handling companies have been identified as some of the challenges confronting cargo business growth in Nigeria.
Capt. Rabiu Yadudu, the Managing Director, Federal Airports Authority of Nigeria (FAAN) stated this at the first Aviation and Cargo Conference (CHINET) held in Lagos.
According to him, the duplicity of functions by government agencies was responsible for increase in cost of cargo, especially export in the country, stressing that lack of cargo infrastructure at the domestic terminals was also responsible for loss of revenue for exporters.
He added that limited number of cargo facilities to handle import, export and transshipment, low patronage by domestic airlines, thereby making the airports underutilised and lack of specialized warehouses as other challenges bedeviling the business in Nigeria.
He said that in order to address the challenges, the concessionaires, Skyway Aviation Handling Company (SAHCO) Plc and Aramex had provided cold rooms, adding that FAAN was also providing conducive environment for the ground handling companies by deploying two cargo scanners to the Nigerian Aviation Handling Company (NAHCO) Plc shed.
He noted that the agency had also embarked on the expansion of some of the nation’s cargo aprons at airports, stressing that a few of this was nearing completion at present.
He added: “The Hon. Minister of Aviation, Sen. Hadi Sirika birthed the current aviation roadmap of the Government of President Muhammadu Buhari. Part of the gains of this roadmap is the designation of our five international airports as Special Economic Zones (SEZs).”
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He mentioned some of the features of special economic zones to included single management or administration, adding that it also offers benefit for investors within the zone.
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Besides, Yadudu said special economic zones has a separate customs area and streamlined procedures, stressing that it also has a special regulatory regime, which would create seamless business atmosphere for investors.
“Zones normally operate under more liberal economic laws regarding issues such as labour, land use and foreign investment,” he added.
The FAAN boss assured that FAAN was committed to ensuring that all impediments to trade at the nation’s airports are abolished through continuous collaboration with stakeholders and in compliance with the relevant Articles of World Trade Standards.
He maintained further that the recently installed upgraded Baggage Reconciliation System (BRS) by FAAN indicated its commitment to adopting modern technologies.
Earlier, Mr. Ikechi Uko, the convener of the event, said that the company organised the conference in order to solve the major challenges of cargo export for Nigeria.
He lamented that foreign aircraft lands in the country with full load of cargo, but leave Nigeria empty.
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