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Manufacturers Warn Against Proposed Port Tariff Hike

The NPA recently announced it had secured approvals to raise port tariffs, citing the need to upgrade infrastructure and improve operational efficiency

Promise Eze by Promise Eze
February 10, 2025
in National
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  • MAN’s Director General, Segun Ajayi-Kadir, expressed “grave concern” over the move

The Manufacturers Association of Nigeria (MAN) has urged the Nigerian Ports Authority (NPA) to reconsider its proposed 15% tariff increase, warning that it could harm businesses and the wider economy.

The NPA recently announced it had secured approvals to raise port tariffs, citing the need to upgrade infrastructure and improve operational efficiency.

At a maritime stakeholders’ meeting in Lagos, NPA Managing Director Abubakar Dantsoho defended the adjustment—the first since 1993—saying it was essential to enhancing the competitiveness of Nigerian ports.

“The 15% upward increase, which applies to all NPA rates and dues, is necessary to address ageing infrastructure, outdated equipment, and slow port expansion, which have negatively impacted port performance,” Dantsoho said.

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However, in a statement over the weekend, MAN’s Director General, Segun Ajayi-Kadir, expressed “grave concern” over the move, arguing that businesses were already struggling with high operational costs, forex volatility, rising energy prices, and economic uncertainty.

Ajayi-Kadir warned that additional financial burdens on manufacturers would “exacerbate the challenges faced by the real sector.”

While acknowledging the NPA’s need for revenue, he stressed that the real issues affecting port efficiency included congestion, high demurrage charges, and outdated pricing strategies.

Rather than increasing tariffs, MAN called for stakeholder engagement to improve efficiency, streamline operations, and create a business-friendly environment.

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