… calls for robust Transport Industry for economic growth
Transport and Logistics Expert, Dr. Segun Musa, has called on the federal government to put the Rail Transport system into effective use by redirecting focus on cargo movement rather than passenger service.
Musa who was speaking at a Round Table organised by the Maritime Reporters Association of Nigeria (MARAN) opined that the country’s rail transport system should have been focused on cargo movement rather than passenger services, saying that cargo movement would generate enormous revenue and impact the Gross Domestic Product (GDP) economy.
According to him, most economies of the world thrive on transport and why not Nigeria.
He decried that poor feasibility and long-term projection have remained the bane of the rail transport sector in Nigeria, also lamenting that the proposed investment for the renovation of the rail system to drive the economy during the former President Obasanjo’s government was mismanaged.
The Transport Expert regretted that the huge loans taken from China should have been deployed to cargo movement as this would have generated enough revenue to offset the loans, instead of deploying the money to passengers transportation and purchase of luxurious coaches.
His words: “Had we prioritised cargo transport, the income generated would have repaid the investment by now. Instead, the sector remains financially unsustainable, as passenger services cannot generate the required revenue. Poor feasibility studies and a lack of long-term planning continue to plague the rail sector.
“Countries that do not invest heavily on transportation end up with a slow economy. This is the industry that determines how far a nation can go in terms of prosperity.
“If we are to move this country to a prosperous pedestal, we must equip the transport sector effectively to drive the economy. If we do not have an effective transport system, the economy will not grow.”
“If we had deployed the rail system to move cargo, we would have finished paying the loan by now. Passenger movement does not generate huge income; only cargo can generate income.”
Continuing, Musa, who is the Managing Director of Widescope International Logistics Limited, and Deputy President of the National Association of Government Approved Freight Forwarders (NAGAFF) called for a well coordinated transport sector that would boost the economy of the nation.
According to him, the country remains backward because the government has not injected the spirit of transportation in all the nation’s policies, stressing that there is need for effective transport system and proper coordination of all the sectors; road transportation, rail, courier, water transportation and pipeline, if Nigeria must get it right.
Road transportation instance, he said is the most unorganied, with no regulations, and argued that there is no reason the pipeline should not be effectively organised to make it transport petroleum products across the country instead of relying on tankers that pose daily gridlock on the roads.
Coming to the Aviation Sector, he challenged the government to put round pegs in round holes, people that will add value to the sector.
In the Maritime Sector, he called on the Customs Services to fully digitalise its activities to effectively facilitate trade.