The Nigerian Shippers’ Council recently resolved a dispute involving alleged arbitrary storage charges imposed on export containers of Charcoal at the Lekki Free Trade Terminal (LFTT).
The Mediation Session, held at the Council’s Complaints Unit Meeting Room, 1st Floor, B Wing, NSC Headquarters, Lagos, brought together representatives of Lekki Free Trade Terminal, CMA CGM Shipping Nigeria, and the Forward Ever Maritime Green & Coals Movers Association. The engagement was facilitated under the Council’s Alternative Dispute Resolution (ADR) mechanism in line with its statutory mandate to promote fair trade and regulatory compliance in the Maritime Sector. The meeting was chaired by Dr. Bashir Ambi Mohammed. Head, Complaints Unit.
The Forward Ever Association, representing Charcoal exporters, had petitioned the Council against CMA CGM and LFTT, alleging that the terminal imposed arbitrary storage fees of ₦30,240 per container per day on 35 export containers of Charcoal. According to the Association, this rate was excessively high compared to the previous ₦1,550 daily charge applied at other terminals before the implementation of New Maritime Dangerous Goods (DG) Classification Standards under the IMO Net Zero Framework.
The Shippers further lamented that their export containers valued at over ₦70 million remained at the terminal for between 135 and 140 days, resulting in substantial accumulated charges. They also alleged that delays in invoice issuance by the terminal worsened the situation, while confusion arose because some containers were gated in before April 1, 2025, when the new DG tariff policy came into effect, and others afterward.
Responding, Lekki Free Trade Terminal (LFTT), explained that the ₦30,240 per day storage rate conformed to the NSC-approved tariff for Dangerous Goods storage, applicable after the 10-day free period.
The terminal clarified that the rate was applied in compliance with international safety standards under the International Maritime Dangerous Goods (IMDG) Code, which mandates enhanced handling and storage procedures for hazardous cargoes. LFTT also cited system upgrades and compliance verification delays during the transition to the new regime as contributing factors to late invoice issuance.
CMA CGM, aligning with the terminal’s position, reaffirmed that the reclassification of Charcoal as a Dangerous Good is a global compliance requirement under evolving International Maritime Safety Frameworks, becoming fully mandatory by January 2026.
Following the Council’s mediation and post-meeting review with the Lekki Free Trade Terminal, a 50% concession was granted on the accumulated storage charges.
The NSC clarified that while it encourages voluntary waivers as part of amicable resolution, it does not compel or dictate such concessions except where there is evidence of tariff violation or procedural irregularity.
Reaffirming its role as an Port Economic Regulator, the Council emphasized its commitment to fairness, transparency, and compliance with approved tariff frameworks in all port transactions.
After reviewing all submissions and documentary evidence, the Council made the following findings:
- The ₦30,240 per day rate applied by LFTT falls within the NSC-approved DG storage tariff.
- The dispute primarily arose from the overlap in enforcement dates, as some export containers were gated in before April 1, 2025, while others entered after the new DG tariff implementation.
- Delayed invoice issuance contributed significantly to charge accumulation, highlighting the need for better communication among Exporters, Terminal Operators, and Shipping Lines during tariff transitions. Resolutions
After extensive deliberations, the meeting reached the following resolutions:
- Transaction Confirmation: The NSC confirmed that the complaint involved 35 containers of Charcoal, valued at over ₦70 million, with mixed gate-in dates before and after April 1, 2025.
- Storage Period Review: While acknowledging that the containers exceeded the 10-day free period, NSC urged LFTT and CMA CGM to apply a compassionate review in the spirit of amicable settlement.
- Joint Container Review: CMA CGM and LFTT shall jointly review all affected containers to differentiate pre- and post-April 1 entries, applying the appropriate tariff accordingly.
- Invoice Adjustment: LFTT shall review and adjust invoices to ensure accurate billing in line with NSC-approved tariffs.
- Timely Invoice Issuance: Terminals are advised to issue invoices at least three days to one week before vessel arrival to prevent unnecessary charge build-up.
- Prohibition of Advance Rating: The Council reaffirmed that advance rating of export cargoes is not permissible and must cease immediately.
- Reporting Obligation: LFTT shall submit a compliance report to the NSC on the review outcome.
- Complainant Notification: The Forward Ever Association shall be formally notified of the review’s final outcome.
- Stakeholder Cooperation: All parties are urged to maintain collaborative engagement and uphold international best practices in terminal operations.
- Stakeholder Sensitization: The NSC will conduct a nationwide sensitization campaign to educate exporters on the forthcoming Global Reclassification of Charcoal as a Dangerous Good, effective January 2026.
All parties commended the Nigerian Shippers’ Council for its neutral intervention, professionalism, and regulatory oversight.
