APFFLON appeals to Tinubu to reduce 7% surcharge on cargo clearance

The Africa Association of Professional Freight Forwarders and Logistics of Nigeria (APFFLON) has passionately appealed to President Bola Ahmed Tinubu for an urgent reduction of the 7% surcharge on cargo clearance at Nigerian ports.

APFFLON said this surcharge is unsustainable burden on business and the Nigerian people at a time the nation is confronted with severe economic distress, characterized by escalating inflation, volatile exchange rates, and a weakening Naira.

The APFFLON’s appeal was contained in a letter addressed to President Bola Ahmed Tinubu by the association’s National President, Otunba Frank Ogunojemite. The letter is titled Re: Appeal for Reduction of the 7% Surcharge on Cargo Clearance Amidst Economic Hardship.

The association maintained that since the ports had since been concessioned the justification for retaining this surcharge has become questionable, especially as port users receive no direct value or improved service from this charge.

Rather, APFFLON said, the surcharge continues to inflate the cost of imports, disrupt supply chains, and push many legitimate businesses into financial distress.

APFFLON respectfully requested President Tinubu to immediate downward review of the 7% surcharge to ease the financial pressure on importers, exporter and the trading community.

The body also demanded for an audit and clarification of the usage of funds generated from the surcharge, to promote transparency and accountability.

Calling for a stakeholder consultation involving associations like APFFLON, ANALCA, NAGAFF to co-create a fair, inclusive, and sustainable port revenue model, APFFLON urges Tinubu to implement a harmonized and transparent port pricing system, eliminating overlapping levies and reducing bottlenecks in cargo clearance.

The letter reads in part thus:

The Africa Association of Professional Freight Forwarders and Logistics of Nigeria (APFFLON), a recognized stakeholder in Nigeria’s maritime and logistics sector, writes to you with a deep sense of duty and concern to appeal for an urgent reduction of the 7% surcharge on cargo clearance at Nigerian ports.

At a time when the nation is confronted with severe economic distress, characterized by escalating inflation, volatile exchange rates, and a weakening Naira, this surcharge has become an unsustainable burden on businesses and the Nigerian people. The cost of clearing cargo is at an all-time high, with freight forwarders, importers, and manufacturers facing unprecedented operational pressure.

It is important to note that most port terminals have already been concessioned, and the bulk of port infrastructure and operational responsibilities are now in private hands. The justification for retaining this surcharge under such conditions has become questionable, especially as port users receive no direct value or improved service from this charge. Rather, the surcharge continues to inflate the cost of imports, disrupt supply chains, and push many legitimate businesses into financial distress.

Your Excellency, while we acknowledge and commend the Federal Government’s efforts at revenue generation and infrastructure development, we believe that burdening trade stakeholders at such a fragile economic moment risks stifling productivity, discouraging formal trade, and fueling inflation.

Your Excellency, we believe that reducing this surcharge at a time when the economy is “bleeding” will send a strong signal of your commitment to inclusive economic recovery, ease of doing business, and stakeholder engagement.

As professionals dedicated to the growth and integrity of Nigeria’s Marine and Blues economy sector, we stand ready to support all reform efforts that prioritize national interest and economic revival.