The Nigerian Shippers’ Council (NSC) is pushing for the Nigerian Port Economic Regulatory Agency Bill to be passed as soon as possible in order to strengthen Nigeria’s Economy and increase its involvement in the African Continental Free Trade Area (AfCFTA). Barr. Pius Akutah, the Executive Secretary of the NSC, stressed the importance of strategically placing Nigeria in the $4 trillion AfCFTA market during a media event in Lagos. He emphasised that Nigeria must work with trade organisations and stakeholders to safeguard its economic interests. In order to revitalise the marine sector, President Bola Tinubu has included the Nigerian Port Economic Regulatory Agency Bill, which has already been approved by the House of Representatives and is awaiting Senate approval.
This measure seeks to increase port efficiency, strengthen border controls, and simplify rules in Nigeria. Furthermore, it will facilitate improved data collection on trade operations and promote collaboration between government departments, ultimately increasing Nigeria’s competitiveness and trade volumes. Akutah outlined obstacles that could prevent the AfCFTA from succeeding, including poor multimodal transportation and restricted maritime logistics. To guarantee the seamless flow of products across borders, he urged for enhanced infrastructure, especially in the areas of roads and railroads.
A number of elements in the Bill will boost the country’s trading climate.
In order to establish Nigeria as an African Logistics hub, he further stated that investments in shipping services must keep pace with port development in Nigeria. He disclosed that the NSC is actively seeking alliances with international shipping firms. When Akutah reflected on his first year in office, he cited a trade dispute that was successfully resolved, sparing the nation from a possible loss of $70 million. He reiterated that the NSC will work to improve trade efficiency in the upcoming year. Globally, the African Continental Free Trade Area (AFCFTA) is the largest free trade agreement in terms of the number of participant nations.
By establishing a unified market for products and services, it hopes to facilitate unrestricted travel and Investment among African nations. By removing non-tariff trade barriers and lowering Tariffs on 90% of items, the AfCFTA seeks to increase intra-African commerce. Nigeria can get access to a $4 trillion market with more than 1.5 billion people thanks to the AfCFTA. The deal might encourage job creation and increase Nigeria’s non-oil exports, especially in the Manufacturing and Agriculture sectors. A number of elements in the Nigerian Port Economic Regulatory Agency Bill are intended to improve the country’s trading climate.
It will improve data gathering on trade volumes.
First of all, it will streamline the regulatory structure that controls port operations, which helps companies better understand trade regulations. The bill will improve data gathering on trade volumes by giving the Nigerian Shippers’ Council (NSC) more authority to monitor Border Trade more efficiently. For well-informed economic planning and policymaking, this information is essential. Furthermore, the measure improves collaboration between the NSC and other organisations, which helps to expedite port operations, cut down on delays, and boost customs procedure efficiency. These enhancements are anticipated to strengthen the business climate internationally and increase Nigeria’s competitiveness in regional commerce.
Support for the bill has come from stakeholders in a number of industries. For instance, the Nigerian Ports Authority (NPA) has stressed that the bill will modernise port operations, bringing in investment and enabling more seamless trade flows. Leaders in the logistics industry, like Tolu Adebayo, CEO of a logistics company in Nigeria, have also emphasised how the law might ease bottlenecks and save expenses related to port inefficiencies. It is regarded by government authorities as an essential step in bringing Nigeria’s maritime industry into compliance with global norms.
Related Article: Adebayo Warms Nigeria Against Trade Failures
However, Nigeria may encounter difficulties putting the bill into effect. One major obstacle is the nation’s inadequate transportation infrastructure, especially the absence of dependable multimodal transportation systems. It is challenging to transport commodities from ports to inland locations efficiently due to poor road conditions and sparse rail networks. Another difficulty is the possibility of opposition from interested parties who might be impacted by increased regulatory monitoring or more stringent trade law enforcement. Significant investments in transport Infrastructure and ongoing collaboration with the Private Sector are necessary to address these issues and guarantee a seamless transition.