Port inefficiencies cost Nigeria billions, smart systems offer solution — Nweke

By Ezurike Ugochukwu 

“A smart port is not merely aspirational; it is urgent, inevitable, and foundational to Nigeria’s economic competitiveness,” he said.

Drawing comparisons with global leaders such as the Port of Rotterdam and the Port of Singapore, Nweke noted that advanced ports have significantly improved efficiency through automation, artificial intelligence and real-time data integration.

“Leading smart ports have reduced vessel turnaround time by up to 30 to 50 per cent,” he stated.

He referenced the World Bank Logistics Performance Index, which consistently ranks countries with advanced port digitalisation higher in trade efficiency and cost competitiveness.

Despite Nigeria’s strategic position, handling between 70 and 80 per cent of cargo throughput in West and Central Africa—Nweke lamented that inefficiencies persist, undermining performance.

He noted that cargo dwell time in Nigerian ports still ranges between 18 and 24 days, compared to three to eight days in fully digitised ports, while logistics costs account for as much as 30 to 40 per cent of total trade costs, far above the global average.

“These inefficiencies translate into lost opportunities, reduced competitiveness and revenue leakages,” he said, attributing the situation to manual processes, fragmented systems and weak inter-agency coordination.

Nweke’s call for reform echoes longstanding concerns within the maritime sector. Over the years, stakeholders have repeatedly raised alarms over port congestion, delays and high transaction costs—issues that led to previous reform efforts such as port concessioning and ongoing automation drives by government agencies.

According to him, achieving a smart port ecosystem requires three key pillars: digital infrastructure and integration, automation and intelligence, and human capital development.

Nweke

“Platforms such as the Port Community System and the National Single Window are not optional—they are the backbone of modern port operations,” he emphasised.

He highlighted emerging technologies including Internet of Things sensors, blockchain for cargo tracking, artificial intelligence for predictive analytics and automated cargo handling systems as tools already transforming global port operations.

On workforce readiness, Nweke warned that technology alone would not deliver results without skilled personnel.

“Smart ports require smart people. Without a digitally skilled workforce, the infrastructure will remain underutilised,” he said.

He, however, noted that Nigeria is not starting from scratch, citing its strategic geographic location, large market size, expanding port infrastructure and growing private sector participation as key advantages.

Nweke identified the implementation of the National Single Window as a critical reform that could enhance efficiency, transparency and revenue generation, noting that countries that have adopted the system have recorded up to 50 per cent reduction in cargo clearance time.

“For Nigeria, the National Single Window is not just a reform, it is a national economic necessity,” he added.

He called on government to provide clear policies and invest in infrastructure, while urging private sector operators to embrace innovation. Regulators, he said, must prioritise transparency and data-driven oversight, while industry players commit to continuous capacity development.

“The journey towards smart ports is not a one-agency project; it is a whole-of-industry transformation,” he stated.

Nweke concluded that port modernisation remains central to unlocking Nigeria’s blue economy potential.

“A smart port is not just about technology—it is about efficiency, transparency, competitiveness and national prosperity. For Nigeria to fully harness its blue economy, port modernisation is non-negotiable,” he said.