How digitisation can drive efficiency in Nigeria's ports
As more sectors tap into the benefits of the digital transformation, we will find out how Nigeria's ports and maritime sector can benefit from this drive and the potential in Nigeria. Maher Jarmakani, the CEO of NigerDock, joins CNBC Africa for this discussion.
Thu, 02 Jun 2022 11:38:01 GMT
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AI Generated Summary
- Nigeria's ports face challenges due to aging infrastructure and increasing demand for goods and materials.
- The Nigerian Ports Authority is working towards establishing a digital ecosystem to enhance port efficiency.
- Improving road networks, connectivity, and investing in alternative transportation forms are crucial to addressing congestion and inefficiencies at the ports.
Nigeria, a key player in the West Africa region, faces significant challenges in its ports and maritime sector. With 70% of the region's gross domestic product heading towards Nigeria, the ports are under tremendous pressure to efficiently handle the influx of goods and services. Maher Jarmakani, the CEO of NigerDock, discussed the current situation at the ports and highlighted the urgent need for modernization and investment. He emphasized that the aging infrastructure at the ports, some over 30 to 40 years old, is in dire need of upgrades to accommodate the growing demand for goods and materials.
Jarmakani pointed out that the Nigerian Ports Authority (NPA) has been making efforts to establish a digital ecosystem at the ports to enhance efficiency. However, he noted that the digitization process is still in its early stages. The vision for the ports includes a more efficient system that can cater to larger vessels and streamline the turnaround times for cargo ships. By modernizing the ports and investing in new machinery and equipment, Nigeria aims to compete with other ports in the region that have deeper drafts and higher efficiency levels.
One of the key challenges facing Nigeria's ports is the congestion and inefficiencies that lead to cargo being diverted to neighboring African countries with more modern facilities. Jarmakani highlighted the need to improve road networks, enhance connectivity, and invest in alternative forms of transportation such as railways to alleviate the bottlenecks in the system. By addressing these issues, Nigeria can attract more investments and become a competitive hub for maritime activities in the region.
NigerDock, as a key player in the maritime industry, has been instrumental in unlocking capacity and supporting port infrastructure. The company is developing an economic zone spanning 250 hectares to provide investors with access to power, security, and land. By creating an attractive environment for maritime players and aligning with the national interest of the country, NigerDock is contributing to the transformation of Nigeria's ports and maritime sector.
In conclusion, the digitization and modernization efforts underway in Nigeria's ports present a significant opportunity to drive efficiency and competitiveness in the maritime industry. With the right investments and strategic initiatives, Nigeria can position itself as a leading port destination in the West Africa region, attracting more traffic and boosting economic growth.