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FG Partners NIPOST On 15% Logistics Discount To MSMEs

by Kingsley Okoh
10 months ago
in Business
NIPOST
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The federal government, through the Small and Medium Enterprises Development Agency (SMEDAN), has introduced a 15 per cent discount on logistics services to assist small businesses in reducing their transportation expenses.

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This partnership reflects a broader commitment by the federal government to improve business conditions for SMEs in Nigeria, helping them expand sales, lower operational costs, and ultimately contribute more robustly to the national economy.

This initiative, which is in collaboration with the Nigerian Postal Service (NIPOST), is set to begin on August 26, 2024.

The director-general of SMEDAN, Charles Odii, announced the discount during the signing of a Memorandum of Understanding with the Postmaster-General of NIPOST, Tola Odeyemi, in Abuja.
Odii emphasised that this collaboration responds directly to feedback from SMEs, who have cited high logistics costs as a major barrier to sales and profitability.

“We are signing today an offer of a 15 per cent discount on logistics for small businesses, and maybe in another three months, the Postmaster can review it better,” Odii stated.

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He highlighted that the discount would be available to SMEs registered with SMEDAN, both for online pickups and walk-in services.

The initiative aims to leverage NIPOST’s extensive national presence and infrastructure to ensure that small businesses can efficiently and affordably move goods across the country, including to remote areas.
Odii noted that the agency’s monitoring and evaluation department would track the savings achieved by SMEs through this partnership, with plans for potential future enhancements to the discount.

The postmaster general and CEO of NIPOST, Tola Odeyemi underscored the importance of this partnership in supporting Nigeria’s MSMEs, which represent over 90 per cent of businesses in the country and contribute significantly to the GDP.

She expressed confidence that this collaboration would spur inclusive economic growth by enabling MSMEs to overcome logistical challenges that have previously limited their market reach.

Odeyemi also mentioned that despite the 15% discount, NIPOST’s prices are already designed to be socially oriented, making this offer even more beneficial for small businesses.

To ensure a seamless experience for SMEs, both SMEDAN and NIPOST will maintain a dedicated customer support unit to address any issues that arise during the logistics process.


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