By Correspondent in Lagos.
Pic: From L-R The President l, Shipping Shipping Agency, Clearing and Forwarding Employers Association (SSACFEA) SQN, Mrs Boma Alabi, and the Deputy Managing Director, CMA CGM , a shipping line, Mr Ramesh Saraf, during a news conference in Lagos on Friday.
The Shipping Agencies, Clearing, and Forwarding Employers Association (SSACFEA) has called on the Federal Government to postpone the recently implemented 15% increase in port charges, urging for further dialogue with industry operators.
Speaking at a news conference in Lagos on Friday, SSACFEA President, Mrs. Boma Alabi, a Senior Advocate of Nigeria (SAN), stressed that the government’s decision to implement the hike without prior consultation with industry stakeholders was concerning.
She also advocated for a reduction in port charges to improve the competitiveness and attractiveness of Nigerian ports.
“The government should work towards making our ports more competitive. By reducing port charges, we can increase cargo throughput, which would generate higher government revenue and create job opportunities for our youths,”Alabi said.
Alabi pointed out that high port charges were causing Nigeria to lose significant business to neighboring countries.
She provided alarming figures, revealing that the cost for vessels to call at Nigerian ports is substantially higher, compared to other major ports worldwide.
For instance, while it costs around $15,000 for a ship to berth at ports in Abidjan, Singapore, and China, Nigerian ports charge up to $150,000, she further revealed.
According to her,before the 15% hike, it cost an additional N100,000 for a 40ft container and N55,000 for a 20ft container to dock at Nigerian ports, adding that with post-hike, these charges had surged to N290,000 and N145,000 respectively.
“Such high fees are pushing cargoes to other ports, and we’re seeing increasing cases of smuggling, which is harmful to Nigeria’s economy,” Alabi warned.
The SSACFEA President emphasized the need for port expansion, stating that the current infrastructure could not support competitiveness if operational costs remained so high.
She also called for the re-dollarization of port charges to make Nigerian ports more attractive.
The association’s concerns were also echoed by Mr. Ramesh Saraf, Deputy Managing Director of CMA CGM, who noted that a reduction in port charges could drive higher volumes of cargo to Nigerian ports.
He cited that Meridian Ports Service in Tema, Ghana, handled 1.9 million TEUs in 2024, compared to just 1.2 million TEUs at Nigerian ports.
Saraf also pointed to the high operating costs at Lekki Deep Sea Port, which he said has been struggling to operate at full capacity due to excessive costs.
The Nigerian Ports Authority (NPA) announced the 15% port tariff increase, the first adjustment in 32 years, on the grounds of needing funds to modernize port infrastructure and equipment. The new rates are set to take effect on March.
Edited by Dada Ahmed.
