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Over 5,000 Cargoes Stuck at Ports as Demurrage Losses Hit ₦2 Trillion

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Thursday, August 28th, 2025
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Cargo clearing activities across Nigeria’s major seaports have ground to a halt in recent weeks, leaving over 5,000 containers stranded and importers counting losses estimated at ₦2 trillion in demurrage charges.

The disruption has been linked to persistent network failures on the Nigeria Customs Service’s new digital platform, B’Odogwu, which has stalled payment processing, cargo exits, and trade documentation for nearly three weeks.

At ports in Lagos-Apapa, Tin Can, and PTML as well as Onne Port in Rivers State, activities have slowed to a crawl. Stakeholders describe Onne as a “ghost town,” with virtually no cargo movement recorded.

Rising Demurrage and Soaring Costs

Importers and manufacturers say they are under immense financial strain as daily demurrage charges pile up:

  • ₦120,000 – ₦140,000 for a 40-foot container
  • ₦80,000 for a 20-foot container
  • ₦10,000 for cars
  • ₦35,000 for trucks
  • ₦45,000 for caterpillars

These costs rise further after the initial grace period, leaving importers with bills running into millions of naira within days.

Manufacturers warn that many raw materials trapped at the ports may expire or lose value, while clearing costs have already jumped by nearly 200% due to added charges, including the reintroduction of a 4% Free on Board (FOB) levy.

Economic Ripple Effects

Stakeholders fear the impact on the wider economy. With cargoes stuck at terminals, manufacturers may be forced to scale down operations or shut down factories. Inflationary pressures are also expected to worsen as importers pass down the extra costs to consumers.

Jonathan Nicol, former president of the Shippers Association of Lagos State, warned:

“If goods that should be delivered in a week are delayed for a month, contracts collapse and factories may close. This is a direct threat to the economy.”

He also noted that the Federal Government risks revenue losses, as ports like Apapa alone typically generate over ₦15 billion daily.

Calls for Intervention

Clearing agents, freight forwarders, and manufacturers are urging the Federal Government, Nigerian Ports Authority, and Shippers’ Council to:

  • Fix the B’Odogwu platform urgently or run it alongside the old system until issues are resolved
  • Suspend or waive demurrage charges during the downtime, as is done in other countries
  • Put a backup system in place to prevent future breakdowns

Industry players accuse shipping companies and terminal operators of taking advantage of the system failure to impose excessive demurrage charges, further burdening port users.

Customs Responds

Comptroller General of Customs, Bashir Adeniyi, acknowledged that part of the downtime was caused by attempted cyberattacks but assured that joint efforts were addressing the problem.

Despite complaints, the Apapa Customs Command reported collecting ₦161.2 billion through the platform between August 1 and 22, 2025. Customs spokesperson Abdullahi Maiwada added that most technical issues had “largely been resolved,” describing them as “teething problems” of a new technology.

For now, however, businesses remain stuck between mounting costs and stalled operations, as thousands of containers remain idle at Nigeria’s ports.

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