Nigeria’s maritime sector is once again at a defining crossroads. The recent defence of tariff adjustments and delayed rollout of the International Cargo Tracking Note (ICTN) by the Nigerian Shippers’ Council (NSC) is more than a regulatory clarification—it is a window into a system attempting to rebalance itself after years of structural inefficiencies, policy inertia, and global economic pressures.
At the centre of this transition is the Executive Secretary of the Council, Akutah Pius Ukeyima, whose position highlights a broader narrative: that Nigeria’s port economy is moving, albeit cautiously, from reactive regulation to deliberate, law-driven reform.
For years, Nigeria’s port system has struggled under the weight of high costs, fragmented regulation, and limited transparency. Reports from the World Bank and port performance indices consistently ranked Nigerian ports among the most expensive in sub-Saharan Africa, largely due to overlapping charges, poor infrastructure, and prolonged cargo dwell time.
Industry data show that cargo dwell time in Nigerian ports has historically ranged between 18 and 24 days, significantly above the global average of under 7 days—driving up demurrage costs and discouraging trade competitiveness.
Tariff structures, meanwhile, remained largely static for years despite rising inflation and operational costs. Shipping companies and terminal operators repeatedly pushed for increases, some proposing hikes as high as 150 to 300 per cent—citing exchange rate volatility, energy costs, and port congestion.
Yet, regulatory hesitation meant that these pressures built up without a structured response, creating what industry experts describe as a “suppressed pricing environment” vulnerable to sudden shocks.
The policy shift: balancing reform with stability
The emergence of the Marine and Blue Economy Ministry signalled a renewed focus on maritime reform. Under the leadership of Adegboyega Oyetola, the government has prioritised efficiency, investor confidence, and regulatory clarity across the port ecosystem.
Central to this is the push for coordinated governance—reducing duplication among agencies and strengthening institutions like the Nigerian Shippers’ Council as an economic regulator.
Within this framework, the NSC’s tariff adjustment must be understood not as an isolated decision, but as part of a broader recalibration effort aimed at aligning port pricing with economic realities while avoiding inflationary shocks.
The current reality: a controlled adjustment, not a free-for-all
Contrary to claims of arbitrary increases, the Council insists that its decision was guided by Sections 5 and 6 of the Port Economic Regulations 2025, its core legal mandate.
After over two and a half years without review, the NSC approved a structured adjustment framework of about 35 per cent, significantly moderating the much higher demands from operators.
Crucially, this was not implemented as a fixed increase. Instead, a flexible band—typically between 10 and 20 per cent was introduced, allowing operators to adjust within limits based on operational realities.
This approach reflects an attempt to strike a delicate balance: Protect service providers from unsustainable cost, shield importers and exporters from excessive charges and maintain national trade competitiveness, given that over 80 per cent of Nigeria’s trade moves by sea
In effect, the Council is positioning itself as a stabiliser in a highly sensitive economic sector.
ICTN: a delayed reform with deep roots
Perhaps more contentious is the delayed implementation of the International Cargo Tracking Note (ICTN)—a system designed to track cargo from origin to destination, improve security, and plug revenue leakages.
The ICTN is not a new concept. Nigeria has attempted its rollout multiple times over the past decade, but each effort has been stalled by legal disputes, stakeholder resistance, and policy inconsistencies.
According to Akutah Pius Ukeyima, the current delay is tied to ongoing litigation and the need to resolve legacy contractual issues in collaboration with the Ministry of Justice. This cautious approach, while slowing implementation, reflects lessons from past failures, where premature rollout led to suspension and policy reversals.
Industry tensions: isolated disputes or systemic cracks?
Recent frictions, particularly involving Mediterranean Shipping Company (MSC), have raised concerns about regulatory stability. However, the NSC maintains that these tensions are not indicative of systemic failure but rather isolated disagreements arising from stakeholder consultations. Most operators, it argues, concluded their engagements without incident.
The intervention by the regulator to de-escalate protests underscores a broader shift towards dialogue-driven regulation rather than enforcement-heavy approaches.
The bigger risk: regulatory capture
One of the more significant concerns raised by the Council is the threat of regulatory capture—the undue influence of powerful industry players on policy decisions.
In a sector where competing interests are deeply entrenched, maintaining neutrality is critical. The NSC’s insistence on due process and legal backing reflects an awareness that losing this balance could distort the entire maritime value chain, ultimately affecting national trade and revenue.
Where Nigeria stands now
Taken together, the tariff adjustments and ICTN delay point to a sector in transition. On one hand, Nigeria is attempting to modernise its port economy—aligning tariffs with market realities, improving coordination, and introducing tracking systems. On the other, it must navigate legacy challenges: legal disputes, stakeholder mistrust, and infrastructural gaps.
The reforms driven under Adegboyega Oyetola suggest a clear policy direction, but execution remains the critical test.
The bottom line
Nigeria’s maritime sector is not in crisis—it is in recalibration. The tariff adjustments reflect long-delayed economic corrections, while the ICTN delay highlights the complexity of reforming a system burdened by history.
If sustained with consistency and transparency, these measures could enhance efficiency, boost investor confidence, and strengthen Nigeria’s position as a maritime hub in West Africa.
But as history has shown, progress in the sector is rarely linear. The true measure of success will be whether these reforms translate into lower trade costs, faster cargo movement, and tangible benefits for businesses and consumers alike.
