THE IMPORTANT OF MODERN PORT FACILITIES IN NIGERIA SHIPPING INDUSTRY
CHAPTER ONE
1.0 Introduction
1.1 Background of Study
Shipping has for a long time been recognized as one of the strong catalysts for socio-economic development. Back in 1776, Adams Smith noted that ’’A business working in a country town without links to the outside world can never achieve high levels of efficiency because its small market will limit the degree of specialization”. Because distances, it has since the ancient times been at the fore front of opening up of the world and thus a major driver in of the process of globalization. Shipping, especially container shipping has been both a cause and effect of globalization. Container shipping could lay claim to being the world’s first truly global industry. In fact container shipping could claim to be the industry which, more than any other, makes it possible for truly global economy to work, it connects countries, markets, business and people, allowing them to buy and sell on a scale not previously possible. It is now impossible to imagine world’s trade, and ultimately our lives as consumers, without container shipping. Shipping has led to a phenomenal growth in world merchandise trade, which has consistently grown faster than output. In 2006, goods loaded at ports worldwide are estimated at 7.42billion tonnes, up from 5.98 billion tonnes 2000. The value of total world export increased from US$6,454 billion in 2002 to US$40,393 billion in 2005 representing an increase of 64 per cent.
1.2 Statement of the Problem
Investigation revealed the following problems of the important of modern port facilities in Nigeria shipping industry;
- Security: The problem of insecurity on our maritime routes constitutes a serious impediment to the development of maritime transportation in Nigeria. This is so because notwithstanding the crucial role maritime transport plays in our daily lives, insecurity carries with it significant risk factors which can jeopardize the economies of countries if unchecked. Such risk factors include, among others, maritime terrorism and its potential negative effects on global transport chain.
- Inadequate capital and infrastructure: Marine transportation is a capital intensive enterprise with huge return on investment as well as huge business risks. Vessel acquisition cost a lot of money, maintenance of such vessels and insurance policy covering the risks entails that there must be adequate capital.
- Low Incentives for Indigenous Investors: Indigenous investors in the maritime transportation business decry low incentive from government.
- Poor Integrated Maritime Transport Systems: The maritime transport system in Nigeria is quite challenging.
- Inadequate Manpower Development: The maritime sector is challenged by the lack of skilled manpower needed for the industry.
1.3 Objectives of the Study
The general Objective of this study is to analyze the important of modern port facilities in Nigeria shipping industry. The specific Objectives are to find out the following:
- To investigate the causes of insecurity on our maritime routes constitutes a serious impediment to the development of maritime transportation in Nigeria.
- To examine the working capital and infrastructure placed for modern facilities in Nigeria
- To investigate the cause of low Incentives for Indigenous Investors
- To investigate the cause poor Integrated Maritime Transport Systems
1.4 Research Questions
The following research questions were formulated to guide this study:
- What is the effect of transportation on modern port facilities in Nigeria shipping industry?
- Is there any relationship between water transportation and economic growths in Nigeria?
- Is there any relationship between Inland Waterways and water transportation in Nigeria shipping industry?
1.5 Research Hypotheses
The following research hypotheses were formulated to guide this study:
Hypothesis 1
- H0: There is no significance relationship between the effect of transportation and modern port facilities in Nigeria shipping industry.
- H1: There is a significance relationship between the effect of transportation and modern port facilities in Nigeria shipping industry.
Hypothesis 2
- H0: There is no significant relationship between water transportation and economic growths in Nigeria.
- H1: There is a significant relationship between water transportation and economic growths in Nigeria.
Hypothesis 3
- H0: There is no relationship between Inland Waterways and water transportation in Nigeria shipping industry.
- H1: There is a relationship between Inland Waterways and water transportation in Nigeria shipping industry.
1.6 Significance of the Study
In this study, the researchers have set out to evaluate the important of modern port facilities in Nigeria shipping industry. The study will assist in the following ways;
- Investigation of the causes of insecurity on our maritime routes in Nigeria.
- Assessment of the working capital and infrastructure placed for modern facilities in Nigeria
This study when completed, it will be beneficial to Marine engineers and Nigeria Port Authority (NPA). This study will also help to serve as literature (reference source) to students, individuals or corporate bodies into what to carry out on further research on the similar topic.
1.7 Scope of the Study
This study is limited to Lagos State Waterways Authority and upon the research topic which is the important of modern port facilities in nigeria shipping industry.
1.8 Limitation of the Study
During the course of this study, many things militated against its completion, some of which are:
- Time Constraint: The time frame given to accomplish this project was very short due to school academic calendar and it was carried out under pressure which made the researcher not to implement some necessary features.
- Establishment Policies: Establishment policies posed a serious limitation as most staffs are not ready to release information needed forth is project work. There were lots of information needed from the staffs of this institute on to enhance the study which took them time to release or they did not release at all for security purposes, hence the scope was reduced.
1.9 Definition of Terms
- Transportation: It is an act, process, or instance of transporting or being transported. Any device used to move an item from one location to another. Common forms of transportation include planes, trains, automobiles, and other two-wheel devices such as bikes or motorcycles.
- Accessibility: accessibility refers to ease of reaching destinations. People in places that are highly accessible would reach many other activities or destinations quickly and people in inaccessible places can reach many fewer places in the same amount of time, so that nearer or less expensive places are weighted more than farther or more expensive places.
- Logistics: Logistics is generally the detailed organization and implementation of a complex operation. In a general business sense, logistics is the management of the flow of things between the point of origin and the point of consumption in order to meet requirements of customers or corporations.
- Logistics Management: Logistics management is the part of supply chain management that plans, implements, and controls the efficient, effective forward, and reverses flow and storage of goods, services, and related information between the point of origin and the point of consumption in order to meet customer's requirements. The complexity of logistics can be modeled, analyzed, visualized, and optimized by dedicated simulation software. The minimization of the use of resources is a common motivation in all logistics fields. A professional working in the field of logistics management is called a logistician.
CHAPTER TWO
2.0 Literature Review
2.1 Introduction
The review of relevant literature is the main topic of this chapter. A literature review covers theoretical and methodological contributions to a certain issue in addition to the state of knowledge at the time of writing. It provides information about the state of the art in relation to the subject you are writing about. It examines the body of work on the chosen subject. The literature evaluation in this study comprises the …
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