Tensions are rising within Nigeria’s maritime sector as licensed freight forwarders clash with the nation’s port economic regulator over the growing controversy surrounding increasing shipping costs at seaports.
Industry stakeholders have expressed concern that the recent adjustments in port-related fees could worsen the cost of doing business and ultimately impact Nigeria’s already fragile trade environment.
The dispute has drawn attention to the role of the Nigerian Shippers’ Council, which serves as the economic regulator of Nigeria’s port sector.
Rising shipping charges spark dispute in maritime sector
The controversy over shipping charges intensified after the Africa Association of Professional Freight Forwarders and Logistics of Nigeria accused the regulator of indirectly encouraging foreign shipping companies to introduce higher port fees.
The association warned that such developments could undermine recent reforms aimed at reducing logistics costs and improving the competitiveness of Nigerian ports.
In a statement issued by its President, Frank Ogunojemite, the group described the situation as deeply troubling and potentially damaging to Nigeria’s economic stability.
According to Ogunojemite, the association had received indications that the leadership of the shipping regulator may have signalled support for an increase in shipping charges by some foreign shipping lines operating within Nigerian ports.
He argued that any move that could embolden shipping companies to impose higher costs would contradict ongoing economic reforms being pursued by the Federal Government.
APFFLON maintained that rising shipping charges would increase operational expenses for importers and exporters and worsen inflationary pressures already affecting businesses and consumers.
Freight forwarders warn of economic consequences
The association warned that unchecked shipping charges could have serious ripple effects across multiple sectors of the Nigerian economy.
Freight forwarders noted that port charges directly influence the cost of goods entering the country. When logistics expenses rise, the additional costs are often transferred to manufacturers, traders, and ultimately consumers.
APFFLON cautioned that higher shipping charges could cripple small and medium-sized enterprises that depend on imported raw materials or finished goods.
The group also warned that Nigeria risks losing its competitive advantage within the West African sub-region if port costs continue to increase.
According to the association, investors and international traders closely monitor port efficiency and operational costs when deciding where to route cargo.
They argued that rising shipping charges could push shipping companies and cargo owners to favour alternative ports in neighbouring countries.
The association therefore called on the Federal Government and relevant authorities to investigate the situation and ensure that regulators align with policies aimed at reducing the cost of doing business.
APFFLON further urged the Federal Ministry of Marine and Blue Economy to intervene in order to restore confidence among maritime stakeholders.
Regulator calls for dialogue among stakeholders
Responding to the concerns, the Executive Secretary of the Nigerian Shippers’ Council, Pius Akutah, appealed to both shipping companies and freight forwarders to engage in dialogue to resolve the dispute.
Speaking with journalists during a management retreat in Abeokuta, Akutah emphasised the need for compromise among stakeholders in the maritime industry.
He explained that disagreements over shipping charges should be addressed through engagement and negotiation rather than confrontation.
According to him, the council had previously rejected requests for an increase in shipping charges for nearly two years before eventually approving certain adjustments.
Akutah clarified that the discussions were not intended to create excessive profit opportunities for shipping companies but rather to address operational realities within the maritime sector.
He stressed that the regulator does not represent either the shipping companies or freight forwarders but instead seeks to ensure balance and stability within the industry.
The NSC chief added that sustained dialogue would allow both parties to reach mutually beneficial agreements that support smooth port operations.
Stakeholders seek stability in Nigeria’s port system
Industry observers say the ongoing disagreement reflects deeper structural challenges facing Nigeria’s port system.
Many stakeholders have long argued that high logistics costs, congestion, and regulatory bottlenecks make Nigerian ports among the most expensive in the region.
As the Federal Government continues efforts to reform the maritime sector and boost trade efficiency, analysts say resolving disputes over shipping charges will be crucial to restoring confidence among businesses and international shipping operators.
Experts note that a transparent regulatory framework and strong collaboration between port regulators, shipping lines, and freight forwarders will be essential to achieving sustainable growth in Nigeria’s maritime industry.
For now, stakeholders are hopeful that dialogue between regulators and freight agents will ease tensions and prevent further disruption to port activities.
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