Categories: Business

Nigerian Maritime Sector Incurs N1 Trillion Annual Loss Due to Infrastructure Challenges, Say Shipowners

Nigeria’s maritime sector is facing a annual loss of approximately N1 trillion ($1 billion) due to inadequate infrastructure, according to shipowners in the country.

This alarming revelation came to light during the “National Discourse with Distinguished Maritime Personalities” organized by Maritime Nigeria Limited in Lagos, where maritime industry experts gathered to discuss the challenges facing the sector.

Greg Ogbeifun, the immediate past president of the Shipowners Association of Nigeria and the CEO of Starz Marine and Engineering Limited, voiced his concerns about the state of the maritime industry.

He cited a significant loss of revenue resulting from a shortage of vessels, inadequate infrastructure, a shortage of skilled manpower, and challenges in cargo transportation.

Ogbeifun emphasized, “This country is losing close to N1 trillion in the entire shipping sector, encompassing infrastructure, human capacity, and cargo carriage.”

These losses underscore the urgent need for comprehensive reforms to revitalize the maritime sector.

He commended the recent decision by President Bola Tinubu to separate the maritime industry from the Ministry of Transportation, seeing it as a positive step in addressing the sector’s unique challenges.

Ogbeifun also urged the private sector within the shipping subsector to establish platforms aimed at facilitating the implementation of policies vital to the sector’s growth.

Sola Adewunmi, President of the Nigerian Indigenous Shipowners Association (NISA), represented by Gbolahan Adu, the NISA Public Relations Officer, echoed the call for reforms.

He stressed the importance of engaging and welcoming the younger generation of Nigerians into the maritime sector to bring fresh perspectives and innovation.

The convener of the Discourse, Kelvin Kagbare, expressed his opposition to the establishment of universities and institutions in maritime and transportation, highlighting the need to address existing challenges and infrastructure deficiencies first.

The discussions in Lagos underscore the pressing need for targeted efforts to address these concerns and restore the maritime sector’s potential for growth and prosperity.

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