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Lack of Regulation Hobbling Courier Business-Uba

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Okey Uba is the managing director, Ebony Express, a fast growing courier outfit in Nigeria and secretary general of the Association of Nigeria Courier Operators (ANCO).
Uba who holds Bachelor of Science in Political Science from the University of Nigeria Nsukka (UNN); possesses simple and gentle personality.
He has attended several courses in courier management and has worked at the Nigerian Postal Service (NIPOST) from where he resigned to establish Ebony Express.
He spoke to peter ugwu highlighting factors that have inhibited the development of the sector in Nigeria and other sundry issues.     *

 
Courier Sector 2013

The whole events centered on how to make the industry grow. There are certain challenges we have in the industry, viz-a-viz the issue of regulation.

Courier is a very wide industry; unfortunately, it is yet to be fully harnessed in Nigeria. And like I would always say: you really need an enabling environment that will guarantee return on investment (ROI), proper operations and the likes, before you can tap into the industry.

The operators cannot make headway in an incoherent environment. For the indigenous (courier) companies, licencing and renewal fees pose very big challenge, because they are on the high side in comparism to other sectors.

Expectations from the Regulatory Bill

I think it boils down to the general view of the Government. It is not as if the operators do not crave for a Regulator or, as if the industry operates without a regulatory department (as in the CRD capacity), but the truth is that you cannot give someone some pieces of meat and deny him the teeth to chew them or the necessary “weapons” to fight the war against irregularities in the sector.

When you do that it appears like the person does not know what he is doing. Meanwhile, the officials at the Courier Regulatory Department (CRD) of NIPOST are worth their onus, but they lack the equipment to work, which starts with the provision of enabling laws.

As a matter of fact, it is portraying them as toothless bulldogs. It also affects courier operators, particularly the indigenous companies.

They are the most affected, because the international operators can source their inbounds from abroad, while the domestic operators are left with nothing.

Most times, when you want to play the game according to the rules, you are shortchanged. When you are in an environment where some operators do not give a damn over what the rules say, definitely, you will be shortchanged.

Having gone to school, garnered reputations and experience, there are some practices you wouldn’t ordinarily get involved in order to survive in a business. It makes the sincere ones to suffer unnecessarily.

However, whenever the Government is ready to legislate on this, they should not just start comparing the courier with the telecoms. In logistics or courier industry, the most important ingredients are integrity and honesty. Is not the matter of capital capacity; it plays a secondary role in that part. In logistics, you are carrying valuables on behalf of the customers or consignees from a place to the destination and that is on trust.

It behooves on the Regulatory body to determine who is or should be in this business; those who will not view it as a ground to engage in fraudulent activities.

To make the job easier for the Government, probably, when the Commission is finally established, they tend to turn it to a political piece-cake, the technocrats who would have been relegated to the background. Those currently at CRD should be made to manage the affairs of the Commission; with full regulatory backing. Then, they can bit and mediate between the operators and the Government. As it is now, there is a limit to which they can operate.

 
How to Reinvigorate the Bill

Actually, you cannot shave a man in his absence. Meanwhile, I haven’t joined the industry as a player when the Bill was articulated.

So, I wouldn’t know how far they have gone. But, there are indications that the contents are not bad.

However, there are things that must be put into consideration before the passage of the Bill. For instance, classification of courier companies in Nigeria. We do not expect all firms to posses the same operational strength.

Therefore, you cannot put a flat-rate licencing and renewal fees for them. Like I said earlier, integrity and truth are paramount in the industry, thus, capital base should not be the benchmark.

In fact, I do not see what is holding the Bill from its passage, if not that in Nigeria you must path-away with something before someone does the necessary thing; if it implies bringing it back for us to cross the T’s and dot the I’s, then let them revert it back; it wouldn’t take us time to do.

Nevertheless, there must be the willingness on the part of the Ministry to assist the industry.

Today, everybody is into logistics and courier. If you are moving along the road trucks are tumbled with the goods in them; nobody is talking about goods damage insurance, compensation for the consignees or the consignor; so, many people who are into this business do not even understand what Goods In Transit Courier (GIT) Insurance means.

Most of them do not understand what time frame means. To me, that is not right. Things have to be done right; if you are interested in courier business you have to abide by the principles.

ANCO’s Contribution in Tacking the Challenges

Yes, the Association of Nigeria Courier Operators (ANCO) has been trying on its part to champion the course for the development of the industry.

We have our monthly forum where we try to educate and inundate our members on new grounds in courier; we educate them on international partnership; how to employ genuine and sincere staff; on courier management in general.

But, no matter how you try, without government support you will not have so significant achievements.

For instance, when someone has done something wrong, he is caught and charged to court, and there is no enabling law to prosecute the culprit, all you have done is in vein. We have been trying so hard to build up and educate our members; that has led to increase in our membership over the years.

But we need an unbiased umpire to move the sector forward. This will enable the smaller companies to survive. If they reach out to us in ANCO, we are willing to add our inputs to the whole matters. In fact, courier and telecom are not supposed to be in the same Ministry. That is what we are advocating for; proper regulations.

Call for Mergers

First, we have heard comments like the internet revolution is a threat to the courier sector. But if you put that into perspectives, you will discover that these are mere sayings. Nigeria, for example became internet compliance just about a decade ago.

The developed world, Germany, UK, US and others have been internet compliant all along.

Till today logistics and courier are moving forward, gaining more grounds and recognitions in those countries.

So, it is a fallacy to say that internet will strangulate the courier sector. Our problem is the lack of regulation.

Secondly, when people are shouting for mergers and acquisitions, you don’t just talk about that.

The reasons are that you do not force people to merge. They do that when they perceive the benefits of the partnership and can work cordially.

There have been cases of friends coming together to set up a courier firm, but in a short while it led to several companies, because the motives are different

Banks are not like the courier. People are obliged to do businesses with the bank, but in courier, even companies now set up their in-house dispatch department.

When you put the laws in place, naturally, there will be mergers and acquisitions. Then, there will be an arbitrator to mediate on your matter when you are shortchanged.


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Dufil Takes Donation of Indomie Noodles Cartons to Vulnerable Communities in Abuja and Environ

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In line with its commitment to provide critical support to indigent members of communities around the country in the face of the ongoing economic challenges, Dufil Prima Foods Limited, makers of Indomie Instant Noodles, in partnership with Golan Helps Abuja Food Bank Initiative (GHAFBI) and Meluibe Foundation on Wednesday, April 17 distributed Indomie noodles cartons to vulnerable communities in Kuje and Kubwa Local Government Areas in Abuja.

With the goal of alleviating hunger and supporting communities across Nigeria, Indomie Instant Noodles has committed to donating a substantial quantity of noodle packs to various NGOs working tirelessly to address food insecurity.

These organizations play a crucial role in reaching remote and underserved areas, ensuring that nutritious meals reach those who need them most.

“We are deeply committed to making a positive impact in the communities where we operate,” said Olusola Olayinka Idowu OON, former Permanent Secretary, Budget and National Planning, and the CEO/Founder of GHAFBI.

“At GHAFBI, we believe that everyone deserves access to wholesome and nourishing food. Our partnership with Dufil Prima Foods to donate Indomie Noodles packs is a big step towards addressing food insecurity and supporting vulnerable communities in Abuja”, said Idowu who was also the former National Conveyor, UN Food System Dialogues in Nigeria.

Speaking in the same vein, Obialunanma Nnaobi-Ayodele, Executive Director, The Meluibe Empowerment Foundation, expressed her gratitude to Indomie Noodles for the partnership. “Our vision as an NGO is to change the world one step at a time, by providing relief and support to vulnerable communities.

This is achieved through collaborations and partnerships, one of which is what we have done with Indomie Noodles. We remain grateful for their support through this food relief initiative”, she said.

By partnering with NGOs, Indomie Instant Noodles works closely with local leaders and community heads in directly engaging with rural communities to distribute noodle packs and provide immediate relief to families facing hunger and ensuring that food assistance reaches those who are most in need, especially in hard-to-reach areas.

“We are grateful for the opportunity to collaborate with NGOs and community leaders to make a meaningful difference in the lives of people facing food insecurity”, said Temitope Ashiwaju, Group Corporate Communications and Events Manager, Dufil Prima Foods Limited. “Together, we bring hope, love and relief for all”.

The community leaders and some of the beneficiaries also expressed their immense gratitude to Indomie for the support, stressing the impact the products donated will have in alleviating hunger in their communities.

Speaking at the outreach centre, His Royal Highness, Muhammed D. Jibril, Community Leader of Gbazango Community in Kubwa Local Government Area said: “I am very grateful to Indomie Noodles for coming to our aid in these challenging times. I pray for more expansion and growth for the business and may God bless Indomie Noodles”.

Other communities who benefited from the product donations include Wunmi, Tondo, Godoji and Shazhi communities in Kuje Area Council of Abuja.

Dufil Prima Food’s donation of Indomie Noodle packs underscores its commitment to corporate social responsibility and its dedication to supporting communities in need. By providing essential food relief, Dufil Prima Foods is contributing to the well-being and resilience of vulnerable populations in Nigeria.

Indomie Instant Noodles remains dedicated to bringing joy to mealtimes and making a positive impact in communities around the world.


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Verra Certifies d.light’s Clean Cookstove Projects in Sub-Saharan Africa

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A series of pioneering projects by d.light, the global provider of transformational household products and affordable finance for low-income households, to distribute 600,000 energy-efficient clean cookstoves in Kenya, Nigeria, and Uganda have been officially certified by global verification body Verra.

This certification confirms the d.light projects as trusted, verified sources of high-quality carbon credits in the voluntary carbon markets (VCMs).

The d.light projects aim to simultaneously reduce carbon emissions, tackle indoor air pollution, and reduce deforestation through the sale of highly efficient biomass cookstoves subsidized by the revenues from the sale of carbon credits.

Since their launch in late 2022, the projects have positively impacted more than one million lives and are projected to transform more than three million lives by 2025.

Commenting on the news, Karl Skare, d.light’s Chief Product and Strategy Officer, emphasized the projects’ positive impact, “With these projects, we’re not just addressing environmental concerns but also enhancing quality of life for millions.

“Each project underscores d.light’s commitment to practical, innovative solutions that address both environmental and social challenges, as part of our mission to transform the lives of one billion people by 2030.”

Each year, domestic cooking emissions contribute more than two percent of total global GHG emissions and up to 25 percent of anthropogenic black carbon emissions.

Highly energy-efficient cookstoves solve this problem by reducing biomass use by up to 70 percent compared to traditional cooking methods, cutting emissions of both carbon dioxide and black carbon.

The d.light projects are expected to reduce emissions by up to 12 million tons, contributing to climate change mitigation. These emissions reductions will be registered as carbon credits in the voluntary carbon market.

As well as reducing emissions, clean cookstoves are also a benefit to public health. According to the World Health Organisation, exposure to smoke from cooking fires causes an estimated 3.2 million premature deaths worldwide each year and is still one of the predominant causes of pollution-related illness and death in Africa.

In Uganda, for example, less than one percent of the population has access to clean cooking, household air pollution is the one of the largest risk factors for death and disability.

In addition, switching from traditional three-stone open fires to cleaner, energy-efficient cookstoves significantly reduces deforestation and reduces threats to wildlife and biodiversity caused by habitat loss.

Skare explained, “By subsidizing energy-efficient cookstove costs through carbon financing, d.light makes clean cooking accessible to more households, which in turn leads to healthier living conditions and conserves natural resources as well.

“Our projects in Kenya, Nigeria and Uganda are models of how sustainable investments can yield multiple co-benefits, aligning with global efforts to combat climate change and also promoting socio-economic development.

Skare added, “d.light now has projects certified by both Gold Standard and Verra, the world’s two leading certifiers of carbon credits. Organizations looking for ways to offset their own emissions can be confident that when they purchase carbon credits in d.light’s clean cooking projects in sub-Saharan Africa, they are investing in transformative initiatives that reduce harmful emissions, improve people’s health and quality of life, and help conserve the environment as well.”

 


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Remedial Health Unveils New App with Digital POS to power operations for Africa’s Neighbourhood Pharmacies

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Remedial Health, a health tech startup that develops solutions to make Africa’s pharmaceutical value chain more efficient has unveiled an updated version of its customer-facing app, designed to function as an operating system for neighbourhood pharmacies and Proprietary Patent Medicine Vendors (PPMVs) across the continent.

The new app comes with a digital POS terminal to support payment collection, virtual business accounts to receive payments, an in-built barcode scanner feature for recording product sales and store-switch functionality to enable the seamless management of multiple stores, as well as inventory management solutions for restocking and easily identifying short-dated products.

The app also offers comprehensive financial reporting to manage profit and loss, and data analytics to inform decision making.

Despite accounting for 85 per cent of retail medicines sold in Africa’s pharmaceutical industry (projected to reach $70 billion market size by 2030), the absence of bespoke digital tools to manage their unique sales and inventory management needs means neighbourhood pharmacies and Proprietary patent Medicine Vendors (PPMVs) are unable to run their operations as effectively and profitably as possible.

At the same time, the reliance on paper-based inventory and sales management processes means manufacturers have limited empirical insights into customer behaviour to inform their decisions on production and distribution.

The new Remedial Health app has been designed specifically for healthcare businesses in Africa, with tailored features that have been designed to support effective decision making to drive business growth and profitability.

Starting in Nigeria, healthcare businesses can access vetted medicines, and manage their sales and inventory on one easy-to-use platform, freeing up time and capacity to effectively serve their customers and communities.

The app also enables Remedial Health to provide consolidated, real-time data on market behaviour to manufacturers for increased profitability and better decision-making across the value chain.

According to Samuel Okwuada, CEO, and co-founder of Remedial Health, “Neighbourhood pharmacies and PPMVs represent the frontline of healthcare delivery in Africa but they have historically been left to their own devices to figure out how to be efficient and profitable.

“Our mission is to empower these essential service providers with the tools they need to manage day-to-day operations and seamlessly run their practices effectively. We spent a lot of time interacting with our customers in the process of delivering this product and the feedback has been great.

“We are excited by the opportunity to get the app into the hands of pharmacies and PPMVs across the country to support their ongoing success, as well as the health and wellbeing of the nation”.

In 2023, Remedial Health sold more than 300 million individual packs of medicines to 7,500 hospitals, neighbourhood pharmacies and PPMVs across all 36 states of Nigeria.

Its customers also improved their profits by 30 per cent on average, with access to more than 8,000 vetted products at the same, or better than, open-air medicine market prices.

They can also access same-day delivery and leverage inventory financing to minimise cash-flow friction for routine orders and maximise sales opportunities.


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