Monday Discourse with Ibrahim Nasiru

The latest operational data from Nigeria’s maritime sector shows a significant shift in trade capacity that deserves close attention.

In a period where national economic discourse is heavily focused on foreign exchange stability and trade balance, the Nigerian Ports Authority (NPA) recently released its operational performance report for the second quarter of 2026.

The figures indicate clear, measurable progress across our major shipping channels.

Under the current management led by Dr. Abubakar Dantsoho, total cargo throughput at the nation’s seaports grew by 12.3% year-on-year, moving from 31.83 million metric tonnes in the second quarter of 2025 to 35.74 million metric tonnes in Q2 2026.

This growth was closely supported by a 14.4% increase in ocean-going vessel traffic, which recorded 1,201 vessel calls during the three months under review.

These statistics are notable because they reflect actual operational changes rather than mere administrative adjustments.

For decades, Nigerian Ports were held back by slow container clearing times, heavy bureaucratic red tape, and severe traffic congestion around the Lagos Ports.

The current upward trend shows that the ongoing efforts toward Port modernization, including the digital integration of the National Single Window system, are beginning to show results on the ground.

By reducing physical bottlenecks and shortening the time cargo spends at the berths, terminal operations are becoming more reliable for international shipping lines and domestic businesses alike.

A highly encouraging aspect of the Q2 2026 data is the 22% increase recorded in export-related outward cargo.

For an economy that urgently needs to diversify away from absolute reliance on crude oil revenues, this rise in export volumes shows that the policy of establishing dedicated export terminals is functioning as intended.

Local manufacturing concerns, agricultural aggregators, and non-oil exporters are finding it relatively easier to move their goods out to global markets.

Additionally, the emergence of transshipment container traffic—which grew to 29,038 TEUs this quarter from zero in the same period last year—proves that Nigeria is regaining its position as a major logistics transit hub for the West African sub-region.

However, the report also highlights a persistent structural reality that economic planners must continue to address.

Out of the 35.74 million metric tonnes of cargo handled, inward cargo or imports still accounted for the larger share at 56.8%, while outward cargo stood at 41.9%.

While the gap is closing due to the 22% export growth, it reminds us that maritime efficiency must be backed by a strong domestic production base.

The Ports can only serve as efficient gateways; the real value lies in ensuring that what leaves our shores consists of processed, value-added Nigerian goods rather than just raw agricultural products or unrefined solid minerals.

The second-quarter performance numbers show that the maritime sector is currently serving as a stable and productive engine for the nation’s broader economic goals.

It demonstrates that clear policy direction and disciplined institutional management can stabilize critical national infrastructure even during periods of global trade volatility.

As the NPA works to sustain this momentum through the rest of the year, the priority must remain on full automation, eliminating unreceipted costs at the Ports, and strengthening rail connectivity to the hinterland.

By locking in these operational gains, Nigeria is steadily turning its maritime gateways into solid pillars of long-term commercial prosperity.

Chief Ibrahim Nasiru, a public affairs analyst, writes from Abuja 

Says removal will cut shipping costs, improve turnaround time, boost Nigeria-US trade

Funso OLOJO, Editor

The United States Government has congratulated Nigeria on the lifting of the 12-year Condition of Entry (CoE) imposed on vessels calling at American ports from Nigeria, describing the development as a major dividend of the country’s sustained maritime security reforms.

Washington said the removal of the restriction would deliver tangible economic benefits to shipping operators by reducing security-related requirements and associated costs, while improving vessel turnaround times and schedule reliability on the Nigeria-United States trade route.

The commendation was contained in a letter dated August 26, 2026, and addressed to the Minister of Marine and Blue Economy, Adegboyega Oyetola, by the U.S. Assistant Secretary of State for African Affairs, Frank W. Garcia Jr.

The letter represents a fresh endorsement by the United States of Nigeria’s progress in maritime security and anti-terrorism compliance, following the United States Coast Guard’s decision in August to remove the long-standing security restriction.

Garcia described the milestone as evidence of Nigeria’s “sustained strengthening of port security and anti-terrorism compliance”, while expressing Washington’s readiness to deepen maritime and economic cooperation with Nigeria.

He said the lifting of the CoE would eliminate some of the additional security burdens that had been imposed on vessels trading between the two countries.

The U.S. diplomat stated: “Please allow me to join you in welcoming the U.S. Coast Guard’s decision to lift the 12-year security restriction on Nigerian-flagged vessels calling at American ports.

“This achievement reflects Nigeria’s sustained strengthening of port security and anti-terrorism compliance.

“We are pleased that this milestone will reduce security-related requirements and associated costs for vessels operating between our two countries. It will also improve turnaround times and schedule reliability.

“The United States values its maritime and economic partnerships with Nigeria and looks forward to continued collaboration promoting secure, efficient, and mutually beneficial trade between our nations.”

Garcia also acknowledged the years-long collaboration between the Nigerian Maritime Administration and Safety Agency (NIMASA) and the U.S. Coast Guard, particularly Nigeria’s efforts to address security concerns in the maritime domain.

“We appreciate the Nigerian Maritime Administration and Safety Agency’s years-long collaboration with the U.S. Coast Guard and its continued commitment to addressing the current high threat environment.

“Please accept my sincere congratulations on this significant accomplishment,” he added.

Reacting to the development, Oyetola attributed the milestone to the strategic leadership of President Bola Ahmed Tinubu and the administration’s decision to place the marine and blue economy at the centre of its economic transformation agenda.

The Minister described the lifting of the CoE as a major breakthrough for Nigeria’s maritime industry and a clear affirmation of the progress recorded in maritime security, port protection and international compliance.

He said the development also demonstrated the importance of sustained engagement between Nigeria and international maritime partners in addressing security and operational challenges affecting the country’s shipping industry.

NIMASA, according to the Minister, played a pivotal role in the prolonged engagement with the U.S. Coast Guard that ultimately resulted in the removal of the restriction.

Oyetola said the development would strengthen the competitiveness of Nigerian ports and potentially make the Nigeria-U.S. shipping corridor more attractive to international operators.

“With the Condition of Entry now removed, Nigerian ports are better positioned to compete for international shipping business, while shipping lines operating between Nigeria and the United States stand to benefit from lower security-related costs, fewer procedural burdens, improved turnaround times and greater schedule reliability,” he said.

The lifting of the restriction is expected to have implications beyond maritime security, particularly for the cost and efficiency of Nigeria’s international trade.

For shipping operators, the removal of additional security requirements could reduce operational expenses, while improved schedule reliability could enhance the predictability of cargo movement between Nigerian and American ports.

The development also strengthens Nigeria’s standing in the international maritime community, coming after years of efforts by the government and its maritime agencies to address security concerns and meet international port-security standards.

Funso OLOJO with Gloria Odion 

Nigeria’s ambition to emerge as the dominant maritime and trade gateway in West and Central Africa could remain elusive unless the Federal Government modernises the entire port logistics chain—from quayside infrastructure and digital systems to tariffs, regulation, security, roads, rail, barges and hinterland connectivity.

Stakeholders who spoke at the 2026 Annual Maritime Lecture of the Maritime Reporters Association of Nigeria (MARAN) held in Lagos on Thursday September  10th, 2026, warned that pouring billions of naira into port infrastructure without fixing the systems that move cargo out of the ports would only produce limited results.

They said the competitiveness of Nigerian ports must be measured not by the scale of infrastructure spending but by how quickly, cheaply and efficiently cargo moves from ships to factories, markets and export destinations.

The warning came against the backdrop of persistent concerns over high port charges, congestion, cargo evacuation bottlenecks, fragmented regulation and the rising competition from neighbouring West African ports.

Delivering the keynote address, former Managing Director of the Nigerian Ports Authority (NPA) and Special Adviser to President Bola Ahmed Tinubu on Policy Coordination and Head of the Central Delivery Coordination Unit, Hadiza Bala Usman, said port modernisation must ultimately translate into measurable improvements in cargo movement, vessel and truck turnaround times, logistics costs and export capacity.

She identified six critical pillars of modernisation: infrastructure and operational models; modern equipment; digitalisation; institutional reform; human capital development; and commercial modernisation covering tariffs, concessions, investment and service quality.

According to Usman, Nigerian seaports handle more than four-fifths of the country’s physical imports and exports, making their efficiency central to national economic growth.

“When port costs are high, they travel into the price of rice on the trader’s stall, the landed cost of raw materials for the manufacturer and into the exchange rate pressure created when importers pay dollar-denominated charges on top of naira-denominated uncertainties,” she said.

Tin Can, Apapa Improvements Not Enough

Usman acknowledged improvements in Nigerian port performance, citing the World Bank and S&P Global Market Intelligence Container Port Performance Index, which ranked Tin Can Island Port 10th globally and Lagos Port Complex, Apapa, 12th among the world’s most improved container ports between 2020 and 2025.

She also pointed to rising cargo throughput, digitalisation initiatives and rehabilitation of major port infrastructure as evidence that ongoing reforms were beginning to yield results.

But she cautioned that the gains could only be sustained through continuous investment, effective regulation and measurable performance standards.

She said the reconstruction of Apapa and Tin Can Island ports, rehabilitation of Eastern ports and expansion of Lekki Deep Sea Port would not deliver their full economic potential unless backed by efficient road, rail, barge, inland logistics and dry-port connections.

“A port cannot be globally competitive if its hinterland is not competitive,” she said.

High Charges Threaten Port Competitiveness

The former NPA boss also called for a comprehensive review of Nigeria’s port tariff structure, arguing that attention should move away from isolated charges to the total cost of moving cargo through the supply chain.

She expressed concern over reports that clearing a standard 20-foot container through Apapa could cost between N14 million and N15 million, compared with lower costs at some competing West African ports.

Usman, however, noted that the overall cost of cargo movement encompasses statutory port tariffs, terminal handling charges, shipping-line charges, detention, demurrage, haulage, documentation and clearing costs.

She argued that eliminating duplicated and obsolete charges, as well as unnecessary regulatory interventions, could significantly reduce the cost of doing business at Nigerian ports.

“Charges cannot remain frozen indefinitely while infrastructure deteriorates, but neither can users be required to pay any amount demanded. Tariffs must be linked to value and performance,” she said.

She advocated a predictable, transparent and performance-based tariff regime, with tariff adjustments supported by published methodologies, international benchmarks and measurable improvements in service delivery.

Usman also proposed an annual Port Economic Performance Report covering vessel and truck turnaround times, cargo-handling productivity, equipment availability, Customs clearance, total logistics costs, digital transactions, export connectivity, customer satisfaction and dispute-resolution timelines.

FG: Port Renewal Will Be Structural

The Minister of Marine and Blue Economy, Adegboyega Oyetola, said the Federal Government was implementing an ambitious programme to transform Nigeria’s maritime infrastructure and position the country as a major maritime hub for West and Central Africa.

Oyetola, who was represented by the General Manager, Corporate and Strategic Communications, Nigerian Ports Authority, Seyi Iyawe, said government had secured approval for the comprehensive modernisation of Apapa, Tin Can Island and other ports.

He described the programme as structural renewal rather than cosmetic rehabilitation.

According to him, the programme would involve reconstruction of critical infrastructure, deepening of channels to accommodate larger vessels, replacement of obsolete equipment and an overhaul of port operations.

“Our objective is to create ports that can move cargo, accommodate larger vessels, reduce turnaround time and lower the cost per unit of cargo handled,” the Minister said.

He said Nigeria could no longer depend exclusively on traditional ports, stressing that the development of deep-sea ports was essential to decentralise cargo flows, ease pressure on existing facilities and create new economic corridors.

The Minister also cited investments in tugboats, mooring boats and pilot boats as part of efforts to improve vessel movement, safety and operational efficiency.

He said Nigeria’s improved maritime security record was another critical component of the competitiveness strategy, noting that the country had maintained a zero-piracy record in its territorial waters for four consecutive years.

NPERA to Tackle Tariffs, Anti-Competitive Practices

Oyetola identified the establishment of the Nigerian Ports Economic Regulatory Agency(NPERA)  as a major institutional reform designed to strengthen economic regulation in the sector.

He said the agency would enforce service standards, monitor tariffs, promote fair competition, tackle anti-competitive practices and protect port users against arbitrary and unpredictable charges.

“The more competitive our ports become, the greater the volume of legitimate trade they will attract. The more efficient our ports become, the more attractive Nigeria becomes to investors,” he said.

The Minister said government’s objective was to move the maritime sector “from a culture of collecting charges to a culture of creating value.”

‘Modernise the Exit, Not Just the Port’

Executive Director, Operations and Technical, Tantita Security Services Nigeria Limited, Capt. Dr. Warredi Enisuoh, took the argument further, warning that modernising the port itself would achieve little if the cargo evacuation system remained dysfunctional.

“You cannot modernise a port without modernising your exit point,” he noted.

Enisuoh argued that automating operations inside Apapa or Tin Can Island would not eliminate congestion if cargo continued to face delays outside the terminal gates.

He called for an integrated system covering cargo evacuation, roads, rail, inland waterways, truck management and the elimination of multiple checkpoints and collection points.

He cited the Port of Lomé in Togo as an example of how strategic investment in deeper channels and streamlined processes could improve port competitiveness.

According to him, the increasing size of vessels in global shipping makes deeper and more efficient ports indispensable, with some modern container vessels now exceeding 20,000 TEUs in capacity.

He therefore urged Nigeria to deepen and expand its ports urgently to accommodate larger vessels and compete more effectively with neighbouring maritime gateways.

Fragmented Regulation Adds to Cargo Costs

Enisuoh also criticised the multiplicity of agencies and procedures confronting shipping agents and port users.

He said operators often had to interface separately with the NPA, Nigerian Maritime Administration and Safety Agency (NIMASA), Nigeria Customs Service and other agencies, creating delays and additional costs.

He called for a genuine one-stop-shop system through which port users could complete multiple regulatory, documentation and payment requirements on an integrated platform.

Develop Eastern, Alternative Ports

The Tantita executive also urged the Federal Government to look beyond Lagos and develop Nigeria’s ports as part of a coordinated national maritime strategy.

He argued that viable alternative ports along the coastline should be strengthened to distribute cargo, reduce pressure on Lagos and establish more efficient trade corridors into the hinterland.

He warned that poor urban infrastructure around Lagos could undermine even massive investments in port facilities.

“If city infrastructure is poor, spend all the millions of dollars you want to maintain the port. It’s not going to work. You will still get congestion,” he said.

He consequently called for a national plan integrating ports, roads, bridges, rail, inland waterways, logistics hubs and cargo evacuation systems.

From Infrastructure to Value Creation

The stakeholders were united in their assessment that Nigeria’s port competitiveness would not be secured by infrastructure investment alone.

While Usman focused on predictable tariffs, transparency, institutional coordination and performance measurement, Oyetola highlighted infrastructure renewal, maritime security, deep-sea port development, marine assets, digitalisation and economic regulation.

Enisuoh, meanwhile, stressed that the modernisation agenda must extend beyond the port gates and encompass the entire logistics chain, while alternative maritime gateways across the country must be developed.

Usman said the ultimate test of reform should be how much time and money Nigeria could save businesses moving cargo from ships to factories and Nigerian products to international markets.

She also challenged maritime journalists to play a stronger accountability role by monitoring port performance, investigating the actual cost of cargo movement and benchmarking Nigerian ports against competing African gateways.

“Behind every statistic is a business, behind every delay is a cost, and behind every efficiency gain is an opportunity for national growth,” she said.

The stakeholders maintained that only an integrated approach combining infrastructure, technology, regulation, security, tariffs and hinterland connectivity can position Nigerian ports to attract regional and international cargo, support manufacturing and exports, create jobs and strengthen Nigeria’s place in global trade.