Port Tariffs Surge 15% as FG Implements First Increase in Three Decades

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The Federal Government has implemented a 15% increase in port tariffs through the Nigerian Ports Authority (NPA), marking the first such adjustment in 32 years. The announcement was made by NPA Managing Director Dr. Abubakar Dantsoho during a crucial maritime stakeholders’ meeting in Lagos.

The tariff review aims to modernize port infrastructure, enhance operational efficiency, and boost Nigeria’s competitive position in international maritime trade. According to Dr. Dantsoho, the increased revenue will fund critical improvements, including the acquisition of modern equipment and the enhancement of ICT systems.

“This adjustment is a necessary step toward reclaiming Nigeria’s position in cargo handling business and creating new job opportunities,” Dr. Dantsoho stated. He emphasized that the review would support the implementation of the Port Community System (PCS) and facilitate the development of the National Single Window (NSW).

The increase is expected to impact various aspects of port operations, including the rehabilitation of eastern ports and the reconstruction of the Escravos breakwaters. However, industry stakeholders have expressed mixed reactions to the development.

Mr. Ukochukwu Nnadi, Head of the Department of Shipping and Terminals at the National Association of Government Approved Freight Forwarders, warned of inevitable cost increases for businesses and consumers. “Every additional cost, regardless of size, will ultimately be passed on to the end users,” he explained.

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Similarly, Mr. Riwane Amuni of the Association of Nigerian Licensed Customs Agents noted that while the increase was long overdue, it would add to the financial burden on consumers. However, some stakeholders, including Joshua Asanga, supported the increase, citing the effects of inflation on existing tariffs.

The NPA maintains that this adjustment is crucial for addressing infrastructure deficits and aligning with global port management standards. The authority plans to utilize the additional revenue for comprehensive port modernization and efficiency improvements.

-Stay tuned to Newspot Nigeria for updates on this developing news.

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