LCCI: NPA is working to fix links for seamless cargo delivery – MD

The Managing Director of Nigerian Ports Authority (NPA), Dr. Abubakar Dantsoho, says the organization has made crucial efforts to fix the links for seamless cargo service delivery in the port.

The NPA Managing Director made this known in his address at the  Freight Forwarders Group Conference, at the Lagos Chamber of Commerce and Industry (LCCI), on Wednesday July 24, 2025.

The theme of the conference was “From Port to Prosperity: Fixing the Link in Nigeria Supply Chain.”

Dantsoho said listed the efforts to include reinforcement of the port infrastructure (revamp the decrepit quays and breakwaters to receive more vessels, port modernisation agenda, deployment of technology for our Revenue Invoicing Management System (RIMS) and Ship Entry Notice (SEN) and reviewing of the electronic truck call up system for greater efficiency and minimal cost.

Others listed were acquisition of more marine crafts for towage, pilotage and mooring services, Port Community System (the National Single Window), establishment of the Export Processing Terminals (EPTs) in conjunction with the Nigeria Customs Service, exploring multimodal system of cargo evacuation to the hinterlands and working with the private sector to develop more deep seaports.

For us in the NPA, excellence itself is always work in progress. We also believe that like the chain, our strength must be in our weakest link. Therefore, we are opened to constructive discussions that will help us improve on our service delivery.

According to him, port is a crucial node in global logistics chain. It is important to note that Port business is a flow business with four (4) distinct features: On-board operations, On-shore Operations, Storage and Delivery.

Dantsoho said “There must necessarily be seamless operations or transition from one stage to another otherwise there will be congestion which is antithetical to efficiency of port operations, and this comes at a cost. This explains why port operations technology must be enabled towards ensuring optimization of Time and Space in the maritime environment – these are the kernel or centrepiece of port operations.

“Linked to the above is the need for synergy between the maritime space and hinterland connectivity for seamless cargo evacuation. Without sync between the port and hinterland, there is the propensity for cargo congestion along the port corridors. This is not without its domino effect on port operations as the port space begins to be constricted culminating in ship congestion.

“It is important to note that port eco-system is a community with many actors. Consequently, there must strategic collaboration with same vision of guaranteed trade facilitation. Otherwise, we will be working at cross-purposes thereby functioning in a way that disrupts trade flow and the attendant benefits.

“The Nigerian Ports Authority is not unaware of this fact and so constantly making efforts to do her part. We know that for the supply chain to be seamless, we have to provide the right channel for the vessels calling our ports, make provision for other marine services, ensure other infrastructure such as the quays and fenders are good, the access roads are good and unencumbered.”

Speaking on Driving West Africa’s Trade Future: Spotlight on Transshipment Milestones at the conference, Mr. Daniel Odibe, Deputy Chief Operating Officer of Lekki Deep Sea Port, highlighted how the port is positioning Nigeria as West Africa’s premier transshipment hub — powered by world-class infrastructure, a 16.5m draft, and strategic collaboration with the Nigerian Ports Authority (NPA), Nigerian Customs Service, and the Nigerian Shippers’ Council.

Odibe said since the launch of transshipment operations in June 2023, over 40,000 TEUs have been moved to ports across the region — with 50% handled in just the first half of 2025.

As the African Continental Free Trade Area (AfCFTA) continues to unlock new trade corridors, Mr. Odibe emphasized the need to strengthen inland connections to landlocked countries through enhanced rail networks and dry port integration.

“We extend our sincere appreciation to the Lagos Chamber of Commerce and Industry for convening such a timely and impactful dialogue on advancing trade in West Africa,” said Odibe.

In his opening remarks, the LCCI President, Mr. Gabriel Idahosa, said the theme of the conference underscores the indispensable role of supply chain systems in shaping our nation’s economic trajectory, thanking  the Freight Forwarders Group for initiating this conversation and for your steadfast commitment to improving Nigeria’s logistics and trade ecosystem.

Idahosa said a nation’s economic vitality is measured by its productive capacity and the efficiency with which goods and services move from point of origin to final consumer.

According to him, “Our supply chain system in Nigeria has historically been a source of promise and peril. The promise lies in our strategic location, vibrant ports, entrepreneurial energy, and domestic market size. The danger lies in persistent inefficiencies, infrastructural deficits, regulatory bottlenecks, and endemic corruption. A broken supply chain is not merely a logistical issue but an economic handicap. It drives inflation, deters investment, stifles productivity, and ultimately hampers national prosperity. If Nigeria is to actualise its potential as Africa’s largest economy, we must urgently fix the broken links in our supply chain from the ports to the hinterlands.

“Let us begin at the heart of the chain, the ports. Nigeria’s ports, particularly those in Lagos, handle over 70% of the nation’s imports and exports. Yet, they are known for congestion, inefficiencies, high charges, and procedural delays. Despite efforts at reform, Apapa and Tin Can ports remain choke points. The road infrastructure servicing these ports is overwhelmed. The electronic call-up system, though an improvement, remains insufficient. Inland container depots (ICDs), which were meant to decentralize port activity, are underutilized.

“Beyond the ports, the situation along the logistics chain is no better. We face inadequate warehousing, fragmented logistics providers, absence of data integration, multiple checkpoints, and security concerns. These challenges cumulatively drive up the cost of doing business, with logistics costs in Nigeria reportedly accounting for up to 30-40% of product prices, one of the highest globally.”