Trade growth: Nigeria’s maritime sector shows early gains from reforms
Nigeria’s maritime industry is beginning to show clear signs of recovery and expansion, with new data from Q1 2026 pointing to stronger trade performance. The improvement follows ongoing federal reforms, port infrastructure upgrades, and rising export activity aimed at repositioning the country as a major logistics hub under the African Continental Free Trade Area (AfCFTA).
Since the creation of the Federal Ministry of Marine and Blue Economy in 2023, the government has pushed to unlock Nigeria’s estimated $296 billion maritime potential. The move was designed to reduce dependence on crude oil and fix long-standing inefficiencies that have slowed port operations for decades.
For years, Nigerian ports struggled with congestion, poor infrastructure, slow cargo clearance, and bureaucratic delays. These challenges made the country less competitive and caused significant economic losses estimated at nearly N7.97 trillion annually, according to industry figures.
However, recent reforms appear to be shifting the story. The Nigerian Ports Authority (NPA) reported increased cargo throughput, higher vessel tonnage, and stronger export activity in Q1 2026, even though vessel arrivals slightly declined. Gross Registered Tonnage rose sharply by 19.5%, signaling that larger and more efficient vessels are now using Nigerian ports.
A major driver of this shift is the country’s focus on modernization and infrastructure upgrades, including the Lekki Deep Sea Port, improved cargo handling systems, and digital transformation initiatives. Export activity also surged by 23.7%, reflecting growing industrial and agricultural output and improved trade facilitation across the system.
Despite fewer vessel calls compared to the previous year, Nigeria’s ports handled significantly larger ships. This change is important because global maritime trade now prioritizes efficiency and capacity over frequency of arrivals. Larger vessels mean more cargo moved at lower cost per unit, improving competitiveness.
NPA Managing Director, Dr. Abubakar Dantsoho, warned that Nigeria risks losing regional trade opportunities if it fails to improve efficiency and speed. He emphasized that AfCFTA will intensify competition across Africa, making operational performance a key factor in trade dominance rather than geography alone.
Nigeria currently handles about 25% of West Africa’s cargo despite accounting for over 60% of the region’s GDP. Experts say this gap highlights underutilisation of the country’s maritime advantage, especially as regional trade barriers continue to fall.
Cargo performance data also reflects steady improvement. Total cargo throughput rose by 11.6%, driven by increased import and export activity. Imports grew modestly, but exports recorded the most significant jump, reinforcing Nigeria’s gradual shift toward non-oil trade expansion.
Containerised exports saw explosive growth, rising by 67.6%, while empty container movement dropped sharply, indicating better logistics efficiency. Vehicle imports also surged by 67%, suggesting stronger economic activity across transport and retail sectors.
Transshipment activity increased by over 83%, pointing to Nigeria’s growing role as a potential regional cargo redistribution hub in West Africa. Analysts say this trend could strengthen Nigeria’s influence in intra-African trade if infrastructure and efficiency continue to improve.
The federal government is backing reforms with major infrastructure investments, including a $1 billion loan for the rehabilitation of Lagos Port Complex and Tin Can Island Port. Similar upgrades are planned across Warri, Port Harcourt, Onne, and Calabar ports, alongside new deep seaport developments in coastal states.
Digital transformation is also at the center of the reform agenda, with the rollout of the Port Community System and National Single Window aimed at reducing delays and improving transparency. These systems are expected to cut cargo clearance times and lower the cost of doing business.
Maritime security has further strengthened investor confidence, with Nigeria recording over four years without piracy incidents due to the Deep Blue security programme. Combined with increasing private sector participation, the sector is gradually attracting more investment and operational efficiency.
While challenges such as infrastructure gaps and bureaucratic delays remain, Nigeria’s maritime sector is showing clear signs of transition. The Q1 2026 results suggest a shift toward higher-value operations, improved exports, and more efficient port systems.
As AfCFTA deepens regional integration, competition among African ports is expected to intensify. For Nigeria, success will depend not just on location advantage, but on speed, innovation, and reliability.
Early indicators suggest the country may finally be moving toward a more competitive and modern maritime economy capable of playing a leading role in West Africa’s trade future.
