Nigeria Seaports Costliest to Operate in Africa–Terminal operator

Terminal operator operating at the Tin-Can Island Port Complex, Apapa has raised alarm over high cost of operating at Nigerian ports.
Speaking recently, the Managing Director of Port and Terminal Multi Services Limited (PTML), Ascanio Russo said Nigeria ports are the costliest of all the ports they operate around the world.
According to him, running cost in Lagos port is seven times higher than operating in Cotonou.
He said, ” Lagos port is the most expensive for us to run. For instance, Lagos operation cost us three times what it costs to operate at Hamburg port, four times what it costs to operate at New York port and seven times what it costs to operate at Cotonou port.”
The operators of Lagos Port -Apapa and Tin-Can Port, have faced the challenge of generating electricity for activities at the terminal.
This is because the Lagos Port is not connected to the National grid therefore, adding up to the cost of running terminals in Nigeria.
Meanwhile, Russo disclosed that because Nigerians can no longer afford to buy new vehicles, they are turned to importation of accident vehicles.
This he said was because of the 35% duty and 35% levy slammed on vehicle imports.
He lamented that most vehicle terminals are filled with accident vehicles that have been ravaged by flood in Europe, while Luxury vehicles are smuggled through Cotonou port.
“If you increase the rate of duty on vehicles overnight by 100 percent, no matter how much you claim to be compliant, there is no way you can afford to pay this amount of duties.
“This is why most of the vehicles are smuggled through neighboring ports”, he said.

Speaking further, he said, “We also have Grimaldi Lines in different countries, we operate in Cotonou and we see what is happening there, we have the figures, so I can tell you that over 50% of vehicles destined for Nigeria and belongs to Nigeria are discharged in Cotonou port, why is that? It is because it is too expensive to clear these vehicles in Nigeria and the bottom line is that people cannot afford to pay this money”
“If we really want Nigerians to have a comfortable means of transportation, it is not even luxury vehicles, we are not talking about the Toyota Prado, the Land cruiser, Range Rover, we are talking about tokunbo vehicles, these are not luxury cars”.
The PTML boss lamented that four years after the automotive policy, Nigerians are yet to be riding the much-expected made-in-Nigeria vehicles as promised by the Federal Government during the introduction of the automotive policy.

According to him, right now there is a huge leakage of revenue for the government because vehicles are going to neighboring countries and it is very frustrating because these vehicles are coming back to Nigeria.

“So the Federal Government loses, Customs lose, we lose, NPA loses, NIMASA loses, Shippers’ Council loses, the whole country loses. Mostly it is the Nigerian people because these vehicles would be very expensive. This is an example of why there is a high level of non-compliance and cargoes are diverted to other ports”, he stressed.