The Sea Empowerment Research Centre (SEREC) has voiced grave concerns regarding the adverse ramifications that the recent escalation of local shipping levies by CMA CGM Nigeria will have on the nation’s economic framework.
SEREC asserts that this tariff augmentation by CMA CGM is predominantly an outcome of the Nigerian Ports Authority’s (NPA) recent decision to recalibrate its port and marine charges, an adjustment that has raised considerable industry-wide consternation.
The Head of Research at SEREC, Fwdr Eugene Nweke, underscored that this unilateral cost escalation would inevitably cause a significant upsurge in operational expenditures for both importers and exporters. Such a scenario, he warned, could severely compromise Nigeria’s standing in the global trade arena, rendering it less competitive.
Furthermore, the research institution emphasised that these augmented tariffs would precipitate substantial trade dislocations, compelling market participants to explore alternative shipping conduits and logistical frameworks, thereby disrupting existing supply chain modalities.
SEREC also cautioned that this surcharge increment might engender regulatory discord, attributing it to the NPA’s oversight in securing prior endorsement from the Nigerian Shippers’ Council before proceeding with tariff adjustments. The absence of due regulatory consultation, the organisation contended, could set a precarious precedent and incite legal disputes.
Moreover, SEREC asserted that, before effecting a 15% increase in port charges, the NPA should have transparently disclosed an efficiency audit of the concessioned ports post-privatisation, thereby elucidating the necessity and intended impact of such a price augmentation.
The institution further lamented the precarious state of Nigeria’s maritime infrastructure, noting that delays in the execution of the $700 million port rehabilitation budget have exacerbated existing inefficiencies. It called for an unambiguous implementation strategy that prioritises infrastructural revamps while ensuring fiscal transparency.
To substantiate the legitimacy of its tariff hike, SEREC advised the NPA’s administration to expedite the execution of the sanctioned rehabilitation blueprint, tackling pressing concerns such as port congestion, suboptimal berth productivity, and protracted vessel turnaround times.
Additionally, the NPA has been urged to institute a reliable project oversight framework, encompassing:
A Robust Monitoring Mechanism which is a dedicated task force to oversee implementation progress, alongside periodic assessments and stakeholder communiqués.
Infrastructure Prioritisation focus on the identification and refurbishment of critical maritime installations, including quay walls, cranes, and cargo-handling apparatus.
Stakeholder Synergy by engaging with key industry players—port operators, shipping companies, cargo proprietors, and regulatory bodies—to ensure collective discourse and equitable decision-making.
Rectification of Systemic Bottlenecks by addressing endemic inefficiencies such as inadequate facility maintenance, underwhelming capital investments, bureaucratic inertia, and entrenched corruption within port operations.
