Experts have warned that food security may be threatened after inefficiencies have been recorded at Nigeria's seaports.

The World Trade Organization (WTO)’s Trade Policy Review disclosed that these inefficiencies, with longstanding import prohibitions on agricultural products and high tariffs, could increase the prices of food and discourage private sector investment in agriculture.

The country's port operations have long been plagued by congestion, erratic customs regulations, and delays in clearing cargo.

According to the International Trade Administration, operations at Nigerian ports are among the most expensive globally, citing corruption, high berthing costs, and a lack of space that forces ships to queue for weeks.

The Lagos Chamber of Commerce and Industry (LCCI) has previously estimated that inefficiencies at the ports cost the business community over N2.5 trillion annually, with significant implications for tax revenue, job creation, and economic growth.

Non-oil exports reached $2.7 billion in the first half of 2024, marking a 6.26 percent increase from the same period in 2023. The National Bureau of Statistics (NBS) said that exports accounted for 60.9 percent of Nigeria’s total merchandise trade in the second quarter (Q2) of 2024, with crude oil contributing 74.98 percent and non-oil exports comprising 25.02 percent.

Experts warn that the current bottlenecks at Nigerian ports could undermine the country’s potential to maximise benefits from the African Continental Free Trade Area (AfCFTA) and other trade agreements.

They called on the government to streamline export and import processes to foster a more efficient trade environment.

Muda Yusuf, CEO of the Centre for the Promotion of Private Enterprise (CPPE), said that the multiplicity of regulatory agencies increases costs and delays at the ports, negatively impacting the competitiveness of Nigerian exports, especially perishable agricultural products.

“Many of our exports are time-sensitive and perish quickly. The delays caused by multiple inspections and excessive documentation discourage participation in the export business and reduce our foreign exchange earnings from non-oil sectors,” he said.

“But if we look at the hazards and all these frustrations, we’ll not be able to attract more investors into the export business. So, the fewer the number of these agencies, the more efficient the whole process will be,” Yusuf explained.

Odewumi Samuel, former dean of the Faculty of Transportation and Logistics at Lagos State University (LASU), said the corruption and obstructionist practices within Nigeria’s trade and logistics sector hinder the trade sector.

“Many of these agencies are obstructionist in nature. They are not only slowing down trade but also harming investors, importers, and businesses. This issue is not new.

"Nigeria has tried to address it several times, but these agencies somehow find their way back.”