Bayo Akomolafe 
Regardless of the remarkable progress in the last three months in the maritime industry, unstable global shipping, foreign exchange crisis, inflation among other challenges dragged down Nigerian Ports, BAYO AKOMOLAFE reports
Despite a ceasefire agreement between Israel and Hamas in mid-January 2025, security risks in the Red Sea shipping route are still forcing shippers to incur huge surcharges on cargoes, leading to low imports, harsh economy, extended transit times, increased operational costs and high freight rates in the ports.
For instance, between January and March 2025, approximately 1.9 million Twenty Equivalent Unit (TEUs) of containers in 2025 were routed through the shipping lane, making freight rates remained higher in 2025.
Notwithstanding the huge revenue generated by the Nigeria Customs Service (NCS) in the first quarter, the challenges in the industry have restricted the port sector from flourishing as expected.
For instance, importers operating in the ports were faced with imposition of various surcharges by liners, shipping companies and government agencies.
Specifically, CMA CGM imposed $700 Peak Season Surcharge (PSS) and $100 as Emergency Operational Recovery (EOR) per container on shippers lifting cargoes from North Europe, West Mediterranean, East Mediterranean, Black Sea & North Africa (including Morocco) and Mauritania to Nigeria.
Govt efforts
Despite these obstacles, early in the year, the Federal Government emphasised on infrastructure development, noting that the sector was a critical link to global trade networks and fostering pathways for commerce that drive the nation’s development.
In line with the National Policy on Marine and Blue Economy, the Minister of Federal Ministry of Marine and Blue Economy, Adegboyega Oyetola, tasked the Nigerian Ports Authority (NPA), the Nigerian Shippers’ Council (NSC), the Nigerian Maritime Administration and Safety Agency (NIMASA), and other agencies under the ministry to create a significant impact on the marine industry in the country.
Moreover, he said that government’s fiscal strategy must reflect the ambitions outlined in its policy framework.
NPA
For these reasons, the Nigerian Ports Authority (NPA) secured necessary approvals for an upward review in its tariffs, which was last reviewed in 1993 to ensure efficient service delivery.
The 15 per cent upward increase, which cuts across all NPA rates and dues, was premised on the urgent need to address the undesirable reality of aged and weak Infrastructure, obsolete equipment and slow port capacity expansion which has continued to diminish the performance and indeed competitiveness of Nigerian ports.
Globally, the authority explained that the port authorities depend on revenue from operations to stay alive to their responsibilities which includes construction and maintenance of port infrastructure, dredging of channels, provision of aids for safe navigation, provision of modern marine crafts for efficient harbour services, automation and digitisation of port transactions, port security, energy efficiency and training and retraining of its employees.
Furthermore, the authority created a one-stop-shop for cargo consolidation, stuffing, documentation, packaging, certification and onward shipment through electronic call-up to the ports for quick turnaround time for export processing.
It noted that this had eliminated the duplications and bureaucratic overlaps that previously rendered Nigerian exports uncompetitive in the international marketplace.
NIMASA
Also, Nigerian Maritime Administration and Safety Agency (NIMASA) stressed the need for the adoption of the Public Private Partnership (PPP) model, noting that it was necessary for infrastructural development in the Nigeria’s maritime sector.
The Director General of the agency, Dr. Dayo Mobereola, stressed the need to streamline processes through the use of technology in the sector.
During the period under review, the United States Coast Guard (USCG) visited to commend Nigeria’s compliance with the International Ships and Ports Facility Security (ISPS) Code, ranking its implantation by Nigerian Maritime Administration and Safety Agency (NIMASA) among the best globally.
The leader of the team from the International Port Security Programme, Joe Prince Larson gave the commendation after a working tour of some port terminals in Nigeria.
Also, the agency said it was reviewing 16 proposals for amendments to the Maritime Labour Convention (MLC), 2006 referred to as the Seafarers’ Bill of Rights (SBR) to align Nigeria’s maritime regulatory framework with best international practices, ensuring fairness, inclusivity, and sustainability.
CRFFN
In January, the Federal Government approved a five-month salary arrears bailout fund for the staff of the Council for the Regulation of Freight Forwarding in Nigeria (CRFFN), covering the period from August to December 2024.
Also, the council planned to organise training for truck owners and drivers operating in Nigerian
The Federal Government should support the growth of the industry with capacity building and fund
ports in line with international best practices. It was learnt that the training programme would enable them to operate even outside the shores of Nigeria.
Its Registrar, Mr Kingsley Igwe explained that the council was working to ensure that foreigners do not take over haulage jobs in the country.
Shippers’ Council
Moreover, the Nigerian Shippers’ Council (NSC) stressed the need for a collective effort to sanitise Nigeria’s maritime sector, acknowledging the significant contributions of investors to the nation’s economy.
The Executive Secretary of the council, Dr. Pius Akutah, assured that NSC would exercise its regulatory mandate to ensure the sector’s growth.
Also, NSC declared that it was planning to establish more dry ports nationwide to provide an alternative to traditional seaports.
Its Director of the Kaduna Port Office, Buba Danjuma, noted that dry ports were crucial infrastructure for transporting goods and supporting alternative routes for trade, stressing that the council had set up Border Information Centres (BICs) at various locations, including Idi Roko, Jibia and Illela.
NIWA
In the quarter, the National Inland Waterways Authority (NIWA) frowned at negative attitude towards financial accountability and underperformance, saying that it would no longer be tolerated.
The Managing Director of the authority, Mr Bola Oyebamiji, stressed the need for improved performance across all NIWA offices, particularly in revenue generation, expressing concern over the underperformance of some area offices, citing cases where annual revenue figures were as low as one or two million naira.
Oyebamiji said: “This situation is simply unacceptable. Despite management’s provision of resources, incentives and training opportunities, the expected results were not achieved. Moving forward, stricter measures will be enforced to ensure accountability and drive performance.”
Also in the period, a Special Committee on the Prevention of Boat Mishaps in Nigeria (SCPBMN) was inaugurated by Oyetola to evaluate the root causes of boat accidents, recommend lasting solutions and operational standards.
The committee, chaired by the Managing Director of the National Inland Waterways Authority (NIWA), Mr. Bola Oyebamiji, was given six weeks to complete its assignment and submit its recommendations.
The committee comprised key stakeholders, including state government representatives, the Association of Boat Operators in Nigeria, marine safety experts and academics.
The minister, who emphasised the urgent need to stem the tide of tragic boat mishaps, which had resulted in significant loss of lives and property, described the country’s waterways as vital to commerce, transportation, and livelihoods, stressing that their safety and efficiency were paramount to the development of Nigeria’s blue economy.
Customs
Last month, the Nigeria Customs Service (NCS) also established a Corporate Social Responsibility (CSR) Unit to drive its commitment to national development.
The newly established CSR Unit will spearhead programmes under the “Customs -Cares” initiative, designed to support national development priorities and the Sustainable Development Goals (SDGs).
According to its National Public Relations Officer of NCS, Abdullahi Maiwada, the initiative underscores the service’s recognition of its broader responsibility beyond trade facilitation, revenue generation and border security, adding that these initiatives would include school renovations, mobile clinic activations, food and medical aid, agricultural support, skills acquisition programmes and youth empowerment.
Also, the service destroyed 88 containers laden with expired and fake pharmaceutical drugs imported into the country. The expired pharmaceutical drugs were intercepted at the various seaports and land borders by the service.
Furthermore, the Federal Government awarded a fresh concession to Trade Modernisation Project (TMP) Limited to develop a new platform, B’Odogwu Unified Customs Management System (BUCMS), following the frustrations associated with previous customs management platforms.
The Comptroller General of NCS, Adewale Adeniyi, explained during the pre-launch of the “B’Odogwu” trade facilitation tool at the Apapa and Tin Can Island Ports in Lagos, following its pilot phase at the PTML Command earlier this year.
Last line
The Federal Government should support the growth of the industry with capacity building and fund.
