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Russia-Ukraine conflict may lead to seafarers shortage, hike in wages—Experts

 

Shipping experts have expressed concerns over the ongoing hostilities in Ukraine which they said may lead to a crisis in the supply chain of seafarers.
Their worries were predicated on the large numbers of both the Russian and Ukrainian seafarers which make up a large chunk of seafarers worldwide and which the conflict may affect.

According to analysts, nearly 1.9 million seafarers are currently operating over 74,000 vessels in the global merchant fleet.

They said with the Russia Ukraine conflict showing no signs of easing and all focus on humanitarian logistics and aid, one key component of the supply chain – as usual – is being ignored and they are the seafarers.

Nearly 1.9 million seafarers are currently operating over 74,000 vessels in the global merchant fleet, according to the Seafarer Workforce Report published in 2021 by BIMCO and the International Chamber of Shipping (ICS).

“Of this total workforce, 198,123 (10.5 percent) of seafarers are Russian of which 71,652 are officers and 126,471 are ratings.

 Ukraine accounts for 76,442 (4 percent) of seafarers of which 47,058 are officers and 29,383 are ratings.

 Combined they represent 14.5 percent of the global workforce.

“Shipping is currently responsible for the movement of nearly 90 percent of global trade.

“Seafarers have been at the forefront of the response to the Covid Pandemic, ensuring essential supplies of food, fuel and medicine continue to reach their destinations,” ICS said in a statement.

Guy Platten, Secretary-General, ICS, added: “To maintain this unfettered trade, seafarers must be able to join and disembark ships (crew change) freely across the world.

 “With flights canceled in the region, this will become increasingly difficult.
“The ability to pay seafarers also needs to be maintained via international banking systems.
“The safety of our seafarers is our absolute priority. We call on all parties to ensure that seafarers do not become collateral damage in any actions that governments or others may take.

“Seafarers have been at the forefront of keeping trade flowing through the pandemic and we hope that all parties will continue to facilitate free passage of goods and these key workers at this time.”

Research by ICS shows that an average ship has a mix of at least three nationalities on board, and sometimes as many as 30.

“Three languages were the minimum spoken on the average ship.”

ICS has also called on governments around the world to ensure access to medical care for seafarers after it emerged that crews continue to be refused urgent treatment at ports during the pandemic.

Given this background, the International Maritime Organization held an Extraordinary Council Session on Mach 10 and 11, and the agenda was on addressing the impacts on shipping and seafarers of the situation in the Black Sea and the Sea of Azov.

“We anticipate we will receive specific submissions from Member-States as well as from NGOs in consultative status but mostly it will allow for States to make statements as to their views,” an official told The STAT Media Group.

The IMO Council consists of 40 Member States, elected by the IMO Assembly.

The International Group of P&I Clubs (marine insurance providers) personnel sub-committee has issued a contract addendum to assist owners and crew, especially Ukrainian crew, who would like to alter their contracts.

The last container ship in Ukraine – Joseph Schulte, capable of carrying 9,400 20-foot containers – arrived on the eve of Russia’s invasion and has not moved in 12 days, its crew and cargo safe but caught in a war zone, Bloomberg reported.

Seafarers and the ship are “safe and well,” according to a statement from a crisis PR agency that responded to an email request sent to Germany-based Bernhard Schulte that is listed as the ship’s owner, the report added.

Russian/Ukrainian seafarers more on tankers

“Russian and Ukrainian officers are employed in high numbers on tanker vessels, both oil and gas, which already have the tightest supply of qualified and experienced officers.

” Hence it is on these trades that the main effects will be felt,” Drewry said in an update.

“A reasonable proportion of Russian and Ukrainian seafarers will already have foreign homes, and will therefore be less restricted in their travel to or from vessels during crew changes.

“But Drewry estimates these to represent less than 20 percent of the available pool and visa implications could arise if the free movement of Russian citizens is limited by the international community.

“Hence, a large number will therefore be directly affected now.”

Ukrainian seafarers currently at sea will find repatriation very difficult with a best case that they travel to a nearby country by air and then onward home via whatever means is available, Drewry added.

“This obviously carries considerable danger but with family possibly still in situation and a desire to defend their country some may return.
For Ukrainian seafarers off duty at home when the conflict started, the situation will be even more difficult.

 For a range of reasons, it is thought that they will find it very difficult or impossible to travel to join a vessel for their next scheduled tour.”

Given the fast-changing situation, employers may think twice about employing Russian seafarers if they cannot reliably get them to vessels as planned.

 “Banking restrictions imposed on Russia may also make payment of seafarers problematic, adding to reasons companies may look to other nationalities to crew their vessels.
Indian seafarers are likely to be the prime option, although there are also other alternative nationalities.
 Indian wage rates are similar to Russian and Ukrainian and supply numbers are high.

However, as mentioned earlier, given pre-existing tight officer availability, there will only be limited skilled labour available to fill any gaps.”

Drewry is expecting the conflict’s impacts on seafarer availability to lead to wage inflation, particularly for officers where supply conditions were already tight.

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Customs

How NPA’ s ETO call- up system hampers seamless export processes at Lilypond Terminal — Customs

Funso OLOJO 
The Customs Area Controller of the Lilypond Export Command, Comptroller Ajibola Odusanya, has attributed the persistent delay in export cargo movement at the command to logistics issues associated with the Nigerian Port Authority’s Eto call-up system, rather than any bottlenecks from the Nigeria Customs Service (NCS).
Eto call- up system is a structured movement of container- laden trucks into the terminals meant to decongest Port access road and facilitate quick goods clearance at the port.
It was developed by the NPA and driven by a private company.
However, Comptroller Odusanya, speaking at a Roundtable with members of Maritime Reporters Association of Nigeria (MARAN),emphasized that while the command has streamlined the export process,  lack of available slots for trucks to enter the ports remains a major challenge.
 He noted that despite the command’s efforts, numerous containers remain stranded at Lilypond due to the inability of trucks to secure clearance under the Eto system.
He explained that prior to the implementation of a centralized export processing system, multiple customs units across Apapa, Tin Can, PTML, and Lekki ports handled export documentation.
However, in July 2024, the government directed the full centralization of all export processes under the Lilypond Export Command.
This move, driven by the Presidential Enabling Business Environment Council (PEBEC) and backed by agencies such as the Nigerian Export Promotion Council (NEPC) and the Nigerian Ports Authority (NPA), was aimed at streamlining operations and reducing multiple checkpoints.
Odusanya revealed that between January and December 2024, the command processed exports valued at approximately $1.9 billion, a figure that could have been higher if the consolidation had occurred earlier in the year.
He added that in February 2025 alone, the command facilitated exports worth $225.1 million.
He attributed these successes to inter-agency collaboration, with Customs working alongside the Department of State Services (DSS), the National Drug Law Enforcement Agency (NDLEA), and quarantine services, among others.
Despite the improved export facilitation, Odusanya acknowledged that challenges persist, particularly with the Eto call-up system, which has created logistical constraints.
 He explained that export containers often get delayed at Lilypond not due to customs processes but because of congestion at the ports, caused by import containers awaiting clearance.
He pointed out that while Apapa remains the busiest port for exports, the congestion problem is less severe at Tin Can due to the presence of an export processing terminal.
On the issue of the Nigerian Export Proceeds (NXP) form, Odusanya stated that the command has ensured compliance with all regulatory requirements.
 He, however, acknowledged exporters’ concerns about the process and assured that Customs is working to facilitate seamless trade while ensuring adherence to financial regulations.
He urged maritime stakeholders, including the media, to continue sensitizing exporters on the ease of processing export goods through Lilypond, emphasizing that the command operates transparently and does not condone extortion.
He reiterated that officers at the entry points are strictly there to verify processed cargo and not to serve as an additional checkpoint.
Odusanya concluded by reaffirming the commitment of the Lilypond Export Command to supporting Nigeria’s growing export sector, ensuring efficiency in cargo movement, and addressing any emerging challenges in collaboration with relevant stakeholders.
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Economy

Dangote group remits N402.3 billion tax to government coffers in 2024

Gloria Odion 
The Pan African Conglomerate, Dangote Industries Limited and its subsidiaries, have disclosed that it paid over N402 billion in taxes in 2024, making it the highest taxpayer in the country.
Dangote’s Chief Branding and Communication Officer, Anthony Chiejina, declared during a meeting with some senior media executives who visited him in his Lagos Office.
He said Dangote Industries Limited (DIL) and its subsidiaries, namely, Dangote Cement, NASCON, Dangote Packaging Limited among others, remitted a total of N402.319billion for the out-gone year as taxes as responsible business enterprises.
Recall that Federal Inland Revenue Service (FIRS) had in late 2024 recognised  Dangote group and its subsidiary, Bluestar Shipping as the most tax compliant organizations in the country during its Special Day at the 2024 Lagos International Trade Fair organised by the Lagos Chamber of Commerce and Industry (LCCI).
The Federal Inland Revenue Service is Nigeria’s agency responsible for assessing, collecting and accounting for tax and other revenues accruing to the Federal Government of Nigeria.
Chiejina told his visitors that as a responsible business organisation, DIL and its subsidiaries have never shieded away from its obligations either to the government in the form of tax payment at all levels or to host communities in the form of Corporate Social Responsibility (CSR).
According to him, the Group’s corporate strategy has evolved just as its businesses have grown, matured and diversified into new sectors and regions over the last four decades.
He noted that Dangote Group has almost single-handedly taken Nigeria to self-sufficiency in cement and refined petroleum products and is expanding rapidly across Africa.
Dangote Group and its subsidiaries were recognised as number one most compliant in tax payment in the country, just as its subsidiary Dangote Cement, the country’s leading cement manufacturer, at another occasion won three awards at the FMDQ Gold Awards in Lagos as the most active business in the Foreign Exchange market.
Dangote Cement Plc was adjudged as the Largest Commercial Paper Quotation on FMDQ and Single Largest Corporate Debt Issue on FMDQ.
 Also, Dangote Industries Ltd also emerged as the “Most active corporate in the foreign exchange market”.
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Headlines

NIWA Chairman charges Oyebamiji to phase out wooden boats from Nigeria’s waterways

Funso OLOJO 
The newly appointed Chairman of the National Inland Waterways Authority (NIWA), Hon.Musa Sarkin-Adar, has charged the management team of the Authority led by its Managing Director, Bola Oyebamiji, to phase out wooden boats from Nigeria’s waterways.
Musa Sarkin-Adar, who paid a
 familiarization visit to the management team of NIWA in its Abuja liaison office, in a bid to minimize boat mishaps on the waterways.
He believed it would be a lasting legacy for the present leadership of NIWA if accidents could be minimized on the Waterways.
The Chairman’s advice is however in alignment with the NIWA’ s resolve to stamp out wooden and rickety boats on waterways.
However, Musa Sarkin-Adar further encouraged the NIWA team to do more in connecting other states in the water transportation.
He emphasized on the need for the involvement of the private sector in the development of water transportation, as government cannot do it alone.
In his response, Oyebamiji expressed appreciation for the visit and encouraging words of the chairman and pledged the commitment of of NIWA management to make the nation’s waterways safe and secure.
Oyebamiji also commended the efforts of his management team in the development of the Inland Waterways
Transportation sub-sector.
According to him, he is blessed with an experienced and dedicated team which he cannot take the glory alone.
The Chairman’s visit was attended by all the management staff of the Authority.
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