Nigeria Loses $4bn Annually to Port Congestion, Inefficiencies

Nigeria is losing an estimated $4 billion annually to congestion and inefficiencies at its seaports, maritime experts have warned.

The losses, according to industry stakeholders, are driven by prolonged cargo dwell times, poor road and rail connectivity to port terminals, bottlenecks in customs clearance, and weak coordination among regulatory agencies. These challenges, they said, have eroded investor confidence, pushed up logistics costs, and forced many importers to divert cargo to ports in neighbouring countries.

Speaking at recent maritime and trade forums, experts stressed that inadequate automation and outdated infrastructure at key gateways such as Apapa and Tin Can Island remain major obstacles to Nigeria’s competitiveness in global trade.

“The cumulative effect is billions of dollars in lost revenue for the government and higher costs for businesses and consumers,” one logistics consultant noted, urging urgent reforms to address the gaps.

Stakeholders called for immediate implementation of the National Single Window platform to streamline cargo clearance, expanded investment in modern terminal facilities, and stronger enforcement of operational standards. They also emphasized the need for enhanced collaboration between the Nigerian Ports Authority (NPA), Customs, and other port users to reduce inefficiencies.

They argued that with Nigeria positioning itself as a hub for the African Continental Free Trade Area (AfCFTA), improving port efficiency is critical to unlocking trade potential, creating jobs, and recovering revenue lost to inefficiencies.

 Oshuniran Sheriff Ola