Nigeria’s Maritime Sector Bleeding Trillions Amid Policy Gaps- Says SEREC

BY GBOGBOWA GBOWA

The Sea Empowerment and Research Center (SEREC) has sounded the alarm over Nigeria’s maritime industry, warning that inefficiencies and policy failures are costing the nation trillions of naira annually. In a high-impact advisory released yesterday, the think tank quantified staggering losses and outlined reforms that could unlock a ₦3–₦5 trillion blue economy opportunity within the next decade.

SEREC estimates that Nigeria  is suffering from mountains of losses which includes:

₦1.2–₦1.8 trillion in annual revenue leakage; 20–30% trade value lost to logistics inefficiencies; $7–$10 billion drained yearly from port delays;  and ₦500 billion–₦1 trillion untapped inland waterway potential.

“These figures show Nigeria is not just underperforming but is incurring avoidable economic losses at large scale,” the report stated.

The collapse of the Nigerian National Shipping Line, once lamented by former President Goodluck Jonathan, was highlighted as a cautionary tale. Adjusted for today’s values, fleet investment losses are pegged at $500 million–$1 billion, while the opportunity cost of lost national carrier capacity over three decades is estimated at $10–$15 billion.

On structural failures, SEREC’s noted the following:

Port inefficiency: Cargo dwell time averages 18–25 days, compared to the global benchmark of 3–7 days, costing $3–$5 billion annually.

Infrastructure concentration: With over 70% of trade funnelled through Lagos ports, congestion alone drains ₦250 billion in truck delays and ₦500 billion in supply chain disruptions.

Manual processes: Human interface in cargo clearance inflates costs by 15–25%, with leakages of ₦300–₦600 billion yearly.

The Barge Economy: A Missed ₦1 Trillion Opportunity

The research group further noted that despite its potential to ease congestion and reduce road maintenance costs, Nigeria’s barge sector operates at only 30% capacity. This is even as SEREC said optimisation could cut port congestion by up to 40%, reduce cargo evacuation costs by 35%, and save ₦200 billion annually in road repairs.

The group also observed that the establishment of the Federal Ministry of Marine and Blue Economy which establishment was designed as a step forward, must translate into measurable outcomes.

According to its latest analysis, the reforms are enacted so far should be able to power:

*₦3–₦5 trillion annual revenue within 5–7 years

*2–3 million jobs created

*15–20% contribution to non-oil GDP

Accordingly, SEREC recommended the following steps:

-Maritime Economic Intelligence Framework — tracking GDP contributions and trade costs.

-₦500 Billion National Barge Development Fund — targeting 50% cargo evacuation via waterways in five years.

-Rolling Investment Plan — linking policy to annual budgets with KPIs.

-Port Decentralisation — reducing Lagos dependency to 40% within a decade.

-Full Automation — eliminating 80% of human interface in cargo clearance.

-National Maritime Coordination Council — unifying agency execution.

Speaking on the cost of inaction, the group said, “Nigeria is currently paying a multi-trillion-naira annual penalty for inefficiencies, policy gaps, and delayed reforms.”

SEREC’s Head of Research, Fwdr. Eugene Nweke who signed the statement warned “The future of Nigeria’s maritime sector must be measured in numbers, not narratives.”