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FG, Shipping Firms Deadlocked Over Proposed Tariff Hike

Victoria Emeto by Victoria Emeto
April 21, 2026
in Economy, Maritime
0
FG, Shipping Firms Deadlocked Over Proposed Tariff Hike

Fresh negotiations between the Federal Government and shipping companies over a proposed increase in shipping tariffs have ended in a deadlock after operators demanded higher adjustments beyond the 30 per cent increase proposed by the regulator.

According to a document obtained by our correspondent, the discussions were convened in Lagos on Monday by the House of Representatives Committee on Shipping Services to address lingering disputes over the proposed tariff hike.

The meeting followed the earlier decision of the Nigerian Shippers’ Council (NSC) to suspend its plan to implement the 30 per cent increase and instead initiate broader stakeholder consultations.

However, the talks reportedly stalled as shipping companies rejected the proposed 30 per cent adjustment, arguing that the figure does not reflect the rising cost of operations.

Operators cited increasing inflation, foreign exchange volatility, and mounting operational expenses, as well as global shipping pressures, as reasons the current tariff regime is no longer sustainable.

Speaking after a closed-door session, the Chairman of the House Committee on Shipping Services, Abdusamad Dasuki, confirmed that the meeting did not produce a final agreement.

Dasuki disclosed that the committee had scheduled another round of stakeholder engagement within the next two weeks to address unresolved issues.

He explained that the committee had directed the NSC, shipping firms, and other industry stakeholders to identify grey areas in the negotiations and work towards a mutually acceptable framework.

“We expect that at the next meeting, there will be a clear framework, including timelines and participation of regulatory representatives, to guide the process towards implementation,” Dasuki said.

He added that a new implementation date for any tariff adjustment would only be announced after consultations are concluded.

Earlier, the Executive Secretary of the Nigerian Shippers’ Council, Pius Akutah, said that although the Council had approved a 30 per cent increase, its implementation was suspended following resistance from stakeholders.

Akutah maintained that the tariff review remains necessary, noting that the sector has not witnessed any adjustment in shipping tariffs for more than two years.

According to him, the Council had proposed a phased implementation approach, with the 30 per cent adjustment serving as the upper limit for the initial review.

“Most stakeholders agreed on the need for a tariff review but differed on the scale, with shipping companies arguing that the proposed rate falls below prevailing inflation levels,” Akutah explained.

Also speaking after the meeting, the Chairman of the Shipping Association of Nigeria, Boma Alabi, a Senior Advocate of Nigeria, expressed dissatisfaction with the outcome of the negotiations.

Alabi said the talks failed to produce meaningful progress and called for the creation of a transparent and consistent mechanism for tariff reviews in the maritime sector.

She suggested that such a system should be similar to frameworks used in other regulated industries such as telecommunications and energy.

Alabi also criticised what she described as mixed signals from the Nigerian Shippers’ Council, particularly regarding individual tariff approvals granted to certain operators.

According to her, these developments have complicated the negotiation process.

Industry operators warned that without a significant review of tariffs, service delivery and operational efficiency in the sector could deteriorate.

Some stakeholders reportedly pushed for increases well above the threshold earlier considered by the regulator.

The deadlock reflects ongoing tensions within Nigeria’s maritime industry as regulators and operators attempt to balance economic realities with the need to maintain efficient and competitive port services.

In March, freight forwarders across Lagos ports vowed to resist any increase in shipping charges imposed by shipping companies.

The aggrieved agents staged coordinated protests at the offices of major shipping lines in Apapa, Lagos, rejecting what they described as arbitrary increments in charges.

The protest began at MSC Shipping’s office along Commercial Road in Apapa and later spread to the offices of Lagos and Niger Shipping Company and Pacific International Lines, forcing a temporary shutdown of business operations at the affected firms.

Meanwhile, earlier in April, the Nigerian Shippers’ Council held consultations with maritime stakeholders, including shipping companies, freight forwarders, importers, and exporters.

The Council insisted that comprehensive stakeholder engagement would be carried out before any final decision is made on the proposed tariff increase.

Tags: #MaritimeIndustry#NigeriaPorts#ShippingTariffs#TradeAndLogistics
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