The widening gap in cargo clearance costs between Nigeria and its West African neighbours is once again drawing attention to the country’s port competitiveness, with importers warning that rising charges are pushing trade away from Lagos to more cost-efficient ports in the region.
The Importers Association of Nigeria (IMAN) has raised concerns over what it describes as an increasingly unsustainable cost structure at Nigerian ports, particularly Apapa Port in Lagos, where clearing goods has become significantly more expensive than in nearby countries.
According to the association, clearing a 20-foot container in Nigeria now costs between N14 million and N15 million, while the same container in Cotonou, Benin Republic, goes for roughly N7 million to N8 million — nearly half the price.
For larger shipments, the disparity is even more pronounced. IMAN estimates that a 40-foot container costs about N13 million to N14 million in Benin Republic, compared to between N19 million and N20 million at Apapa Port.
“A major reason cargo is leaving Nigeria”
The association says this pricing gap is already reshaping trade flows in the sub-region, as importers increasingly route goods through neighbouring ports in Benin Republic, Ghana and Togo before bringing them into Nigeria through alternative channels.
In an interview in Apapa, Lagos, IMAN South West Chairman, Joseph Ajoku, rejected recent tariff increases imposed by shipping lines and terminal operators, warning that they would deepen inflationary pressures and further strain import-dependent businesses.
He argued that the current structure is making Nigerian ports less attractive and undermining competitiveness in West Africa.
“Our findings reveal that smaller West African countries such as Ghana, Togo, Benin Republic and Burkina Faso are recording significant improvements in operational efficiency and service delivery,” IMAN stated.
The association’s data highlights a consistent pattern: Nigeria remains the most expensive port destination in the region despite handling one of the largest import volumes.
Importers warn of inflation and business collapse
IMAN’s National General Secretary, Aliyu Yar’adua, stressed that importers remain central to Nigeria’s economic stability, especially given their contribution to government revenue outside the oil sector.
“After oil, it is what importers bring into the economy that keeps the country moving. Importers are the lifeline of government revenue,” he said.
He urged the Nigerian Shippers’ Council to suspend further tariff increases and ensure broader consultation before approving any adjustments to shipping and terminal charges.
According to him, many importers are already under pressure from multiple cost drivers, including foreign exchange volatility, high bank lending rates, and overlapping port fees. In some cases, businesses have reportedly abandoned consignments entirely because clearing costs became unmanageable.
Allowing further increases, he warned, could accelerate inflation and push even more trade activity to neighbouring countries where costs are significantly lower.
Why Nigeria is losing ground in regional trade
The concerns raised by IMAN reflect a broader competitiveness challenge facing Nigeria’s maritime logistics sector. While countries like Benin Republic, Ghana and Togo have invested in faster processing and lower-cost port operations, Nigeria’s system continues to be burdened by high charges and operational inefficiencies.
For many importers, the decision is becoming increasingly practical rather than strategic: route cargo through cheaper ports abroad, even if it means longer logistics chains, in order to reduce overall landing costs.
As the cost gap persists, stakeholders warn that Nigeria risks further erosion of its position as a regional trade hub — especially if reforms around port efficiency and pricing structure fail to keep pace with neighbouring economies.
For now, importers say the arithmetic is simple: when clearing a container costs nearly twice as much in Lagos as in Cotonou, cargo will keep moving elsewhere.