Chairman of the Shipping Association of Nigeria and Senior Partner at Primera Africa, Boma Alabi, SAN, speaks with ANOZIE EGOLE on how congestion surcharges and other charges are undermining Nigeria’s ambition to become a regional maritime hub.
What is the biggest economic factor currently increasing shipping costs in Nigeria, and to what extent does it raise the final prices of imported goods?
The single biggest economic bottleneck is port/terminal congestion driven by procedural and logistics inefficiencies rather than quay capacity itself, especially in Lagos (Apapa/Tincan), where the average cargo dwell time is 18–21 days compared to 5–7 days in Ghana and four days in Cotonou.
This, of course, translates into higher storage, demurrage, trucking and financing costs. Estimates put Nigeria’s logistics and clearance costs at roughly 30 per cent above West African regional peers, meaning that for many imported consignments, congestion and process delays alone can add 20–30 per cent to the final landed cost, depending on the commodity and financing structure.
How much revenue do shipping lines operating in Nigeria generate annually, and what share of this value is retained in the Nigerian economy through taxes, jobs and local services?
