The Executive Secretary and Chief Executive Officer of the Nigerian Shippers' Council, Dr. Pius Akutah, has warned that Nigeria's maritime sector cannot absorb a standoff at this critical juncture, urging freight forwarders and shipping companies to find common ground over the recently approved tariff review before port activities face disruption.
Speaking at the Council's headquarters in Lagos during a high-level forum that gathered shipping companies, freight forwarders, importers, and exporters, Akutah stressed that as the nation's port economic regulator, the Council is obligated to protect the interests of both consumers and service providers, calling on all parties to prioritise dialogue over discord. He explained that the Council's decision to approve a 30 percent tariff increase was carefully calibrated to strike a balance between sustaining shipping operations and shielding the wider economy from excessive strain.
Moderating Proposals That Reached 150 to 200 Percent
Akutah revealed that shipping companies had originally proposed steep increases ranging from 150 to 200 percent, but the Council intervened to moderate the figure down to 30 percent in view of prevailing economic realities, including rising operational costs and wage adjustments within the sector. He reassured those present that the approved increase represents a ceiling rather than a fixed imposition, clarifying that shipping companies could adopt lower increments of 10 or 20 percent depending on the outcome of their bilateral discussions. The earlier suspension of the tariff implementation in March 2026 was intentional, designed to create space for wider consultations across the maritime value chain, Akutah noted.
Labour Costs and Industry Pressures
Boma Alabi, President of the Shipping Association of Nigeria, attributed the tariff review to harsh economic conditions, noting that the approved rate fell below industry expectations. She pointed out that operators are grappling with mounting costs, including a new minimum wage benchmark of ₦200,000 within the subsector, and called for continued collaboration to build a more competitive and resilient maritime industry.
Akutah further disclosed that initial tensions surrounding the tariff hike were partly fueled by statements from a shipping agency chief executive, which provoked strong reactions from freight forwarders. He noted, however, that such disagreements should not derail the broader objective of maintaining a stable and efficient maritime system. He appealed to all parties to quickly conclude negotiations, warning that prolonged disagreement could disrupt port activities and erode confidence in the sector.