Connect with us

Headlines

Houthi’s attacks on vessels in Red Sea spike up shipping costs

The Eyewitness Reporter with agency reports

The continuous attacks by the Iraqi-backed terrorist group, the Houthi, on vessels plying the busy Red Sea, has pushed up prices of shipping as most shipping lines have diverted their vessels to much longer routes.

Container shipping rates for key global routes have soared this week, with U.S. and UK air strikes on Yemen stirring concerns of a prolonged disruption to global trade in the Red Sea, one of the world’s busiest routes, industry officials said on Friday.

U.S. and British warplanes, ships and submarines launched dozens of strikes across Yemen overnight in retaliation against Iran-backed Houthi forces for attacks on Red Sea shipping, widening regional conflict stemming from Israel’s war in Gaza.

Most container ships are avoiding the nearby Suez Canal – a shortcut from Asia to Europe for almost one-third of container ship cargo. The latest escalation fueled worries that oil tankers and bulk carriers that ferry vital commodities like grain could also avoid the shortcut, risking a new round of global inflation.

The benchmark Shanghai Containerized Freight Index was up over 16% week-on-week to 2,206 points on Friday. The index, which measures non-contract “spot” rates for container shipments out of China’s ports, has gained 114% since mid-December.

Rates on the Shanghai-Europe route rose 8.1% to $3,103 per 20-foot container on Friday from a week earlier, while the rate for containers to the unaffected U.S. West Coast soared 43.2% to $3,974 per 40-foot containers week on week, leading ship broker Clarksons said on Friday.

“The longer this crisis goes on, the more disruption it will cause to ocean freight shipping across the globe and costs will continue to rise,” Peter Sand, chief analyst at freight platform Xeneta, said on Friday.

“We are looking at months rather than weeks or days before this crisis reaches any kind of resolution,” he said, referring to the growing conflict.

Major container ship owners such as Maersk and Hapag-Lloyd have switched Suez Canal-bound ships to the longer route around Africa’s Cape of Good Hope. This has disrupted complex vessel schedules, delayed cargo and sent shipping costs sharply higher.

It is likely oil tankers and other types of ships will follow in higher numbers in the near term, Jefferies analyst Omar Nokta said in a note on Friday.

Major importers already are reporting fallout from the Red Sea crisis.

Tesla on Thursday said it would temporarily suspend most car production at its factory near Berlin after Red Sea-related diversions led to a lack of components. Global furniture seller IKEA also warned of potential product delays.

“The price of a vast range of goods threatens to march upwards again,” said Susannah Streeter, head of money and markets, Hargreaves Lansdown.

Rerouting a ship around Africa adds roughly $2 million in fuel costs for each Asia-Northern Europe round-trip. Carriers are recouping that and rolling out other surcharges.

Container ship operators are pulling vessels into the most affected European and Mediterranean trade lanes to compensate for longer sailing times on rerouted ships. That is reducing available vessel space for cargo moving on Transpacific and North-South routes and sending costs on those trade lanes higher, Jefferies analyst Nokta said.

At the same time, customers told Reuters vessel operators are rationing less expensive, contract-rate space and forcing a portion of their shipments into the pricier spot market.

Meanwhile, the China Containerized Freight Index had its biggest jump on record on Friday in both nominal and percentage terms. The CCFI, which measures both spot and liner contracts, jumped 21.7% to reach 1,140 points, Nokta said.

Related Topics:
Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Customs

Miko, new PTML helmsman, assumes duties as Comptroller Anani hands over with N181b revenue. 

Funso OLOJO, Editor 
The newly deployed Acting Controller of Nigeria Customs Service, Ports Terminal Multiservices Command( PTML) DC Nura Ibrahim Miko ,has formally assumed duties with a promise to operate with integrity, follow due process while ensuring seamless trade facilitation
He took over from Controller Joseph Anani, who has been redeployed to the Tin Can Command of the Service, as he declared that he collected over ₦181billion  revenue as at the time of handing over.
Assuring officers and men of PTML Command and stakeholders,  Acting Controller Miko said “I want you to know this: I am here to work with you, not merely to lead you.
“Under my watch, Integrity will be non-negotiable,trade facilitation will remain our priority.
“Due process will be strictly respected.Teamwork will be our greatest strength.
“Results will be achieved through collaboration, not fear.Together, we will take this command to greater heights”
Miko who stated this after taking over from Comptroller Anani, described the area as a well organised Command while promising to build on the achievements of his immediate predecessor.
He also sought continued cooperation and collaboration of all sister agencies and stakeholders operating within the Command while stating further that effective port operations depend on inter-agency synergy, mutual respect, and a shared commitment to trade facilitation, revenue generation, and national security.
According to him, the Command will remains open to constructive engagement while confirming his commitment to transparency, accessibility and a level playing field for all.
He added that together, the Command’s Stakeholders will sustain PTML’s position as a model command for efficiency and integrity.
While thanking the CGC Bashir Adewale Adeniyi for the confidence and trust reposed in him,the Acting Controller said the nation’s number one customs officer’s policy thrust of Innovation, Consolidation, and Collaboration will be upheld as they jointly write the next chapter of the PTML Area Command.
Comptroller Anani who has since assumed duties at the Tin Can Island Command, described his eight months service period at PTML as an extraordinary privilege to serve as the Area Controller
He recalled the success of his predecessor who pioneered the roll out of the Unified Customs Management System (UCMS) also known as B’Odogwu and started the process of addressing it’s initial challenges and how he (Anani) consolidated it to success
“When I first walked into this role, I carried a clear mandate: to steer this command through it’s modernisation transition stage to a more stable state.
“After my predecessor saw to the successful roll out of B’Odogwu and was addressing the teething challenges associated with such an innovative system, I came and with the support of my fellow officers, sister agencies and stakeholders, we took it to the next level.
” This could not have been possible without the support of all of you” Comptroller Anani said
Anani added that “On the enforcement side of our operations, we succeeded in seizing and handing over illicit drugs, arms and ammunition to the relevant government agencies like the National Drug Law Enforcement Agency (NDLEA), National Agency for Food Drug Administration and Control (NAFDAC) and the National Centre for the Control of Small Arms and Light Weapons (NCCSALW)domiciled in the Office of the National Security Adviser (ONSA)
“On my watch,we launched  groundbreaking initiatives by achieving one hour clearance of compliant vehicle imports, and most importantly, built a culture where every one feels valued and encouraged to do more in terms of compliance.
“None of these would have been possible without the dedication, creativity, and resilience of each and every one of you” Comptroller Anani declared.
Continue Reading

Customs

Seme Customs cracks down on smugglers 

— intercepts prohibited items worth 
N501.8m
-rakes in ₦9.8b revenue in three months 
Funso OLOJO, Editor 
The Seme Command of the Nigeria Customs service has renewed its onslaught on smugglers and other traders in illicit trade as its officers have intercepted various smuggled goods and other illicit products.
The Area Controller of the command, Comptroller Abdullahi Kaila, while giving the performance report of the command on Monday, May 25th, 2026, disclosed that the seized goods consist of narcotics, pharmaceutical products, edible items and petroleum products worth N501,845,772.
Giving the breakdown of the seizures made within three months of his assumption of office at the command, Comptroller Kaila said they included 1000 parcels of Cannabis Sativa, substantial quantities of unregistered pharmaceutical products, including codeine-based cough syrups and various sexual enhancement drugs lacking certification from the National Agency for Food and Drug Administration and Control (NAFDAC).
The products seized include one carton containing 55 bottles of Ultimate Plus Maca Syrup (100ml each), 88 packs of 99 Bullets Herbal Medicine (30ml each), 10 cartons of Ultimate Plus Maca Sildenafil Citrate 200mg, 14 cartons of Super Sexy Sildenafil Citrate 200mg, 14 cartons of Machine Man Sildenafil Citrate 200mg, quantities of Bottom Up Sildenafil Citrate 200mg, 100 packs of Tramaking, and 100 packs of Tempendol.
Others seized items include 2,000 bags of foreign parboiled rice, 340 kegs of 25 litres each of foreign vegetable oil, 103 kegs of 30 litres each of Premium Motor Spirit (PMS), 993 cartons of foreign spaghetti, and 250 bales of used clothing and the Duty Paid Value of all the aforementioned intercepted items is 501,845,772 Naira.
The seized narcotics and banned Pharmaceutical items have been handed over to the relevant authorities for further actions.
In a similar vein, the Command within the period under review grossed revenue in excess of N9.796billion which represents an increase of N7.610 billion collected with the corresponding period in 2025.
Comptroller Kaila attributed the achievement to strengthened compliance mechanisms, improved stakeholder cooperation, intensified anti-revenue leakage measures, enhanced operational efficiency, and the strategic deployment of the B’Odogwu Unified Customs Management System.
He also praised the renewed dedication and vigilance demonstrated by officers and men of the Command which resulted to the commendation feat.
” We remain committed to sustaining these gains through institutional reforms, intelligence-driven monitoring, and transparent trade procedures capable of guaranteeing continuous revenue growth without obstructing legitimate trade activities.
“As one of Nigeria’s most strategic and busiest land border formations, the Seme Area Command occupies a critical position in regional and continental trade integration frameworks, particularly under the ECOWAS Trade Liberalisation Scheme (ETLS) and the African Continental Free Trade Area (AfCFTA), the Area controller disclosed.
He however warned illicit traders to steer clear of the command which he said was not the hiding place for economic sabotage.
“Let me use this opportunity to issue a strong warning to smugglers and their collaborators that the Seme Area Command will not serve as a safe haven for illicit trade.
“The Command has significantly strengthened its intelligence network, enhanced surveillance capacity across land and maritime routes, and intensified collaboration with relevant security and regulatory agencies to combat trans-border crimes and economic sabotage.
“To compliant traders and legitimate business operators, I wish to reiterate that compliance remains the safest, fastest, and most cost-effective pathway for conducting international trade”
” At Seme Area Command, we remain resolute in our commitment to facilitating lawful trade while ensuring strict enforcement against illicit activities capable of undermining national economic interests” Comptroller Kaila declared.
Continue Reading

Headlines

Beyond The Communique: Can West Africa’s $27 billion port rhetoric Outrun gridlock?

The Monday Discourse with Nasiru 
The dust has settled on the Port Management Association of West and Central Africa (PMAWCA) conference hosted by the Nigerian Ports Authority (NPA) in Lagos last week.
 For three days, 18th to 20th May 2026, Maritime Executives, Regional Ministers, and Portuguese Administrators traded optimism, signed agreements, and toasted to the future.
The headlines if not hallucinating, were intoxicating: a staggering $27 billion committed to Regional Port Infrastructure, grand declarations of transforming into sustainable “Blue Economy” engines, and lofty goals to replicate the seamless digital models of Rotterdam and Singapore.
Yet, for the average importer, shipping line agent, or haulage driver navigating the chaotic access roads of Apapa, Tin Can, or Luanda, the disconnect between boardroom rhetoric and dockyard reality remains jarring.
While the Lagos conference successfully demonstrated Nigeria’s diplomatic hosting prowess under the leadership of NPA Managing Director, Dr. Abubakar Dantsoho, it also exposed a deeper regional vulnerability.
West and Central African ports are masterful at planning, but historically abysmal at executing.
If this $27 billion infrastructure boom is to be anything more than a monumental paper tiger, regional leadership must pivot immediately from policy curation to aggressive, unforgiving execution.
On paper, the sub-region is undergoing a maritime renaissance. We are told of Guinea’s massive $20 billion Simandou-Morebaya project, Cote d’Ivoire’s $2 billion Port San Pedro expansion, and Nigeria’s own $1.5 billion Lekki Deep Sea Port, alongside fresh pledges to modernize aging brownfield terminals.
But a Port is not merely a collection of deep berths, breakwaters, and expensive gantry cranes. It is an intricate, living logistical ecosystem.
Building a multi-billion-dollar Deep-Sea Port while leaving the surrounding multimodal transport network broken is an exercise in futility.
Lekki Deep Sea Port, despite its state-of-the-art infrastructure, still struggles with optimal evacuation routes.
True regional competitiveness will not be won by the nation that signs the largest infrastructure contract; it will be won by the nation that successfully connects its berths to functioning rail lines, Inland Dry Ports (IDPs), and uncongested highways.
Until cargo can move from a vessel to an inland destination seamlessly, these multi-billion-dollar investments are simply monumentally expensive parking lots for containers.
The conference highly praised the “Rotterdam-Singapore data-exchange model” as the blueprint for eliminating West Africa’s notoriously high cargo dwell times.
 In Nigeria, officials proudly showcased the roll-out of the National Single Window initiative and the Port Community System.
But let us be objective: West African ports do not suffer from a lack of digital concepts; they suffer from a lack of institutional compliance.
For years, “Single Windows” have been launched, rebranded, and relaunched, yet manual interventions persist.
Why? Because automation directly threatens the lucrative, entrenched economies of corruption, extortive  human contact, and bureaucratic bottlenecks.
 Replicating Singapore requires more than buying expensive software; it requires the political will to strip corrupt agencies of their physical inspection monopolies.
If Customs administrations and border agencies can still demand the physical, manual opening of containers despite digital clearances, then the “Paperless Port” remains an expensive mirage.
A commendable takeaway from the Lagos summit was the celebration of Nigeria’s Deep Blue Project, which has successfully suppressed piracy in the Gulf of Guinea for three consecutive years.
This is a massive victory for regional security. However, security is only a facilitator of trade, not trade itself.
While the waters may be safer from pirates, the land corridors remain plagued by a different kind of piracy: systemic extortion at border checkpoints, overlapping regulatory charges, and severe cargo diversion.
It is an open secret that landlocked neighbors like Niger, Chad, and Mali often bypass geographically closer Nigerian ports in favor of Beninese, Togolese, or Ghanaian corridors.
 Why? Because the total cost of cargo clearance, measured in both time and bribes, makes Nigerian routes economically punitive.
Decentralizing operations to Nigeria’s Eastern Ports, as proposed by the Ministry of Marine and Blue Economy, will fail to yield results if the same predatory regulatory culture is simply exported from Lagos to Port Harcourt, Warri, Onne, and Calabar.
If the Port Management Association of West and Central Africa wants to avoid meeting next year to lament the same old problems, the AGENDA must change today.
First, the NPA and its regional peers must tie Port Key Performance indicators (KPIs) strictly to cargo dwell times, not revenue generation.
A Port’s primary job is efficiency, not tax collection. Second, the implementation of the National Single Window must be backed by executive enforcement that legally penalizes any agency insisting on manual intervention outside automated channels.
Finally, regional integration must move past the ECOWAS protocol paperwork. There must be a unified, digitized tracking system that allows a container cleared in Lagos to move to Niamey without facing a dozen predatory checkpoints.
The Lagos communique was a beautiful piece of literature. But literature does not offload vessels, clear containers, or lower the cost of doing business.
 West Africa’s maritime sector does not need more summits, boards, or committees. It needs an execution squad.
Until we match our boardroom eloquence with dockyard discipline, the “Ports of the Future” will remain a luxury we can only read about in conference brochures.
Chief Ibrahim Nasiru , a Public Affairs Analyst, writes from Abuja
Continue Reading

Trending