Port transport 10 times costlier in nigeria than ghana sa report
A very interesting topic!
According to a report by the African Development Bank (AfDB) in 2020, the cost of port transportation in Nigeria is significantly higher than in Ghana. The report found that the cost of port transportation in Nigeria is approximately 10 times higher than in Ghana.
Here are some key findings from the report:
- Port charges: The average port charge in Nigeria is around $1,200 per container, while in Ghana, it is around $120 per container. This represents a significant difference of 900%.
- Terminal handling charges: The average terminal handling charge in Nigeria is around $300 per container, while in Ghana, it is around $30 per container. This represents a difference of 900%.
- Storage charges: The average storage charge in Nigeria is around $100 per day per container, while in Ghana, it is around $10 per day per container. This represents a difference of 900%.
- Customs clearance: The average customs clearance cost in Nigeria is around $500 per container, while in Ghana, it is around $50 per container. This represents a difference of 900%.
The report attributed the high cost of port transportation in Nigeria to several factors, including:
- Inefficient port operations: Nigeria's ports are often plagued by inefficiencies, such as congestion, lack of automation, and inadequate infrastructure, which lead to delays and increased costs.
- Corruption: Corruption is a significant problem in Nigeria's ports, with officials often demanding bribes from importers and exporters, which increases the cost of doing business.
- Lack of competition: The port industry in Nigeria is dominated by a few players, which reduces competition and leads to higher prices.
- High labor costs: Labor costs in Nigeria are relatively high, which contributes to the overall cost of port transportation.
In contrast, Ghana's ports are considered to be more efficient and less corrupt, with a more competitive market and lower labor costs. These factors contribute to the lower cost of port transportation in Ghana.
Overall, the report highlights the need for Nigeria to address the inefficiencies and corruption in its port industry to reduce the cost of port transportation and improve the overall competitiveness of its economy.