Nigeria is reportedly losing a staggering $7 billion annually due to inefficiencies and poor management in the country’s ports, according to two members of the House of Representatives, Hon. Julius Ihonvbare and Hon. Ibrahim A. Isiaka. During the resumption of plenary on Tuesday, the lawmakers highlighted that Nigeria’s seaports only receive about 10% of West African imports, with 60% intended for Nigeria lost to neighboring countries.
In response to this trend, the House of Representatives has decided to investigate the gaps and missed opportunities contributing to the annual economic losses. The House has mandated its Committees on Port and Harbours, National Planning and Economic Development, Maritime Safety Education and Administration, and Nigerian Shippers’ Council to conduct the investigation.
Hon. Ihonvbare, presenting the motion, emphasized the critical role of the maritime sector in Nigeria’s economic survival. He lamented the underutilization of seaports, which, if optimized, could significantly increase the nation’s revenue and Gross Domestic Product (GDP).
He noted, “Nigeria’s seaports receive barely 10% of West African imports out of 60% destined for Nigeria, a significant economic loss due to poor management and inefficiencies, estimated to cost $7 billion annually.” He further expressed concern about the preference of most ships to use ports in other countries, such as Cotonou in the Benin Republic, resulting in substantial economic losses.
Hon. Ihonvbare highlighted the need for better shipping connectivity and deeper drafts in port channels to prevent trade cargo losses. He also questioned why infrastructure development has yet to be extended to ports in Calabar, Port Harcourt, Warri, and Koko to ease pressure on the Lagos ports and provide alternatives for regional importers.
In conclusion, the lack of adequate infrastructure and capacity in the cargo and maritime business was identified as a significant issue that requires urgent attention.
