Among its contemporaries in West and Central Africa, Nigeria, with over 220 million population, received the lowest number of containers imported yearly. According to verifiable statistics, Nigeria’s seaports received a paltry 2 million containers every year compared to what other neighbouring countries’ seaports received yearly.
According to maritime experts, these smaller countries with efficient seaports received high numbers of containers yearly because of the sophistication and automation of their ports compared to Nigeria.
They argued that these ports boast of modern infrastructure such as cargo handling equipment, higher draught, and most importantly, automation of their systems which allowed for faster turn around time of vessels.
The automation of these neighbouring countries’ port systems also reduces human contacts that breed corruption, drives efficiency and as well reduces the cost of doing business in these ports.
However, due to the availability of automation and the efficiency in these neighbouring countries, cargo destined for Nigerian markets is smuggled from these smaller and tiny neighbouring countries into Nigeria through the nation’s porous borders.
However, to rescind the trend and take over the sub-regional trade, the Nigerian government is prioritizing the creation of the National Single Window (NSW), a trade facilitation tool, at the nation’s seaports.
Nigeria’s economy and the port also tend to benefit maximally from the creation and implementation of a NSW in the sub-region.
According to maritime experts, implementing the NSW would drive efficiency at Nigerian seaports as trade facilitation emerges as an important subject in the world trading system.
Nigeria ports will also become more efficient and competitive, which will lead to a reduction in the cost of doing business.
Speaking on the implementation of NSW recently, the federal government said it will reduce the cost of doing business at the nation’s seaports by at least 25 per cent.
The minister of Marine and Blue Economy, Adegboyega Oyetola, disclosed that the implementation of the Single Window System will, in the long run, enhance efficiency and will potentially reduce Port Cost by at least 25 per cent.
Oyetola said the NSW will also enhance efficiency, and greater transparency and ultimately contribute to the overall ease of doing business at the seaports
“By streamlining operations, improving transparency, and minimising delays, the system not only drives cost savings but also strengthens overall trade facilitation.
The cumulative impact across all areas includes reduced costs, enhanced efficiency, and greater transparency, and these ultimately contribute to the overall ease of doing business in the country,” he said.
Furthermore, Marítime experts have bemoaned the absence of NSW, saying out of all the countries in West Africa, Nigeria remained the only country that lacks necessary trade facilitation tools for ease of clearance of goods at the seaports.
They argued that while Ghana, Togo, and the Benin Republic all have a functional National Trade Platform that enhanced Trade facilitation in their respective ports, Nigeria, a supposed hub for Maritime activities, is yet to have a functional Trade platform.
According to the experts, a seaport with a single-window has a reduced dwell time for cargoes, vessel waiting time, easy clearance of cargoes and less corrupt tendencies because the human interface would be cut off.
“The non-availability of a single window at the Nigerian seaports affected the efficiency of Nigerian seaports, trade facilitation and make cargo clearance cumbersome,” maritime expert Chinedu Nwachukwu stated.
However, speaking on the importance of a National Single Window to the nation’s seaports and the nation’s economy, the former executive secretary of Nigeria Shippers’ Council, Hassan Bello, said the lack of a single window already affects the efficiency of the seaports.
Bello said a single window will eliminate inefficiencies, lead to simplification of documents shorter dwell time of cargoes and faster turn around time for vessels at the seaports.
Bello, in an exclusive chat with LEADERSHIP, said, “single window is a trade facilitation tool, that will have three effects or impacts on the nation’s economy or sector. Firstly, it will increase efficiency because it is a one-stop shop where all the actors and all the stakeholders will come and do transactions, increase efficiency, everybody seeing what the other one is doing and the transactions, save time and will also be transparent.
The implementation of a single window will reduce corruption, and the port will be efficient because, without a single window or even a Port Community System, we will be groping in the dark. I think it should have been done a long time ago, but it’s not and I believe it’s not too late as its realisation can still be pursued very emphatically,” he stated.
Bello further explained that aside from the implementation of a Single Window, to make Nigerian Ports competitive, the government and relevant stakeholders should embrace other automation or digitalisation, such as examination of cargo and ensuring multi-modal connectivity.
He said there must be 24-hour Port operations and cargo clearance as well as embrace export to make the economy boom.
“You know, it’s about efficiency. You know, this government should concentrate on deliberate action to make the Port efficient.
What you do to make the Port efficient is to digitalise the Ports, infuse technology in port operations, and stop primitive and archaic methods such as Physical examination of cargo. Physical examination is primitive and there should also be 24-hour Port operations.
“Ports cannot say, for instance, that we open at 8am and close at 7pm. That is also primitive. It will not give you a rank. Then, there should also be a multi-modal approach to access to the Port. All Ports should not be licensed until they are linked with the rail, the road and inland waterways. These are the three most important modes of transportation because if you have competition among the three modes, you will see the cost of transport coming down, and that will increase efficiency.
“We cannot be competitive until we are efficient, and one of the best ways of making efficiency is to have multi-modal access to the Port. Finally, the government should set up or concentrate on exports. We cannot be import-dependent.”
“We need to export. It’s the export that will bring stabilization to the economy, it will bring diversification to the economy. It will also earn us profit. It will unlock all that has been trapped in the hinterland. Nigeria has the potential for exports; we have to perfect our logistics and internal logistics so that we’ll have efficiency. Farmers or producers should have access to the Ports; now, farmers’ access to the seaports is not good, and that’s why you see the degradation of ourexportsts before they reach their destination.
Also, our export should have access to markets, and then, we should add value to all that we do in export so that we’ll have a competitive edge,” he stated.
However, speaking at the stakeholders’ forum on the establishment of the NSW recently, the Minister of Industry, Trade and Investment, Dr Jumoke Oduwole, stressed that the establishment of a National Single Window system for trade is not merely a policy objective but a transformative reform that will fundamentally redefine the way trade is conducted across our borders.
Dr Oduwole said the platform will significantly enhance the ease of doing business in Nigeria and eliminate corruption through improved technology and transparency.
“Our single window project will provide a centralised digital platform for traders to submit, process, and access trade-related documentation- eliminating corruption through improved transparency, reducing administrative burdens, and significantly enhancing the ease of doing business in Nigeria.
“Many of you will recall that in my previous capacities in the Presidency, I have been part and parcel of the NSW project since 2016. The time for delivery is now. Under President Tinubu’s eight-point agenda, economic growth and job creation are key priorities. The NSW will play a significant role in achieving these goals,” she said.
Also speaking at the same conference, Minister of State for Finance, Dr Uzoka-Anite, stressed that the initiative would not only enhance the ease of doing business in the country but also attract foreign direct investment.
“In Indonesia, their NSW programme was launched in 2007 to simplify trade, and since then, they have achieved significantly reduced clearance time. The average time for cargo clearance at ports dropped from seven days to just three days, traders saved millions of dollars annually through reduced administrative costs and delays.
“In 2014 Vietnam introduced its NSW as a part of broader trade facilitation reforms. The program enhanced trade efficiency by streamlining interaction with over 20 government agencies, reducing paperwork and manual processes.
“This, in turn, led to improved compliance and led to increased customs revenue. This ease of trading facilitated by their NSW helped Vietnam increase exports, particularly in manufacturing and agriculture. Such a similar impact would be significant for Nigeria as we continue to build our foreign reserves and strengthen the Naira.
“Here in Africa, Rwanda established its NSW in 2012 to promote regional and international trade, which has since resulted in speedier border crossing times, which decreased by 50 per cent,nt, thus boosting the movement of goods in Rwanda.
“The NSW reforms contributed to Rwanda becoming one of the fastest-growing economies in Africa and improved Rwanda’s trade within the East African Community (EAC),” the minister said.
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