Business
MAN Opposes Proposed 15% Increase in Port Charges by Nigerian Ports Authority
The Manufacturers Association of Nigeria (MAN) has expressed deep concern over the proposed 15% increase in port-related charges by the Nigerian Ports Authority (NPA).
Amid rising operational costs, high foreign exchange rates, and economic uncertainties, this increase would further burden manufacturers and exacerbate the challenges faced by the real sector.
Port Operations and Their Impact on ManufacturingPorts are vital for international trade and business efficiency.
According to the United Nations Conference on Trade and Development (UNCTAD), 80% of Nigeria’s traded goods are transported by sea, with 70% of imports and exports in West and Central Africa destined for Nigeria.
Increased port charges would significantly raise production costs, inflation, and reduce the competitiveness of locally manufactured goods.
For manufacturers, port-related charges constitute significant indirect costs, as most raw materials and industrial machinery are imported through these ports.
Any increase in charges will have a ripple effect, leading to higher production costs, increased inflationary pressures, and reduced competitiveness of locally manufactured goods.
Many manufacturers who operate as tenants in NPA facilities will also face escalated costs, which could significantly disrupt the slight moderation in the mounting challenges that has bedeviled the manufacturing sector in recent times.
The Economic Realities and Global Competitiveness:
Nigeria’s current economic climate is characterized by rising inflation, foreign exchange challenges, and declining industrial capacity utilization.
Many businesses are experiencing worrying downturn due to unsustainable operating costs.
Increasing port tariffs is therefore ill-timed and could signal a departure from government’s avowed efforts and commitment to the ease of doing business.
It is inevitable that this additional strain on industrial activities will ultimately lead to reduce capacity utilization and possibly job losses.
Furthermore, Nigeria must remain competitive in regional trade.
Neighboring countries with more efficient and cost-effective ports will become far more attractive alternatives, leading to increased cargo diversion.
This will not only reduce revenue for the Nigerian government but will encourage smuggling and other untoward trade practices that weaken our economy.
Alternative Approaches to Revenue Generation:
While we acknowledge the need for revenue generation, increasing port tariffs could be counterproductive in the long run.
The real issues affecting port revenue include:
Port congestion and inefficiency:
Reducing turnaround time for vessels and improving cargo clearing processes can significantly boost revenue.
High demurrage charges: Addressing bureaucratic bottlenecks that delay cargo clearance will ensure faster throughput and more efficient revenue collection.
Infrastructure investment: Improving port infrastructure will enhance operational efficiency and attract more business, leading to natural revenue growth.
Competitive pricing strategies: Instead of raising tariffs, aligning Nigerian port charges with global best practices will encourage more trade volume and increase overall earnings.
Our Appeal to the Nigerian Ports Authority
The Manufacturers Association of Nigeria’s implores the NPA to shelve the proposed 15% tariff increase and instead, collaborate with stakeholders to explore sustainable alternatives for revenue generation.
Increasing tariffs in the current economic climate will have dire consequences, including:
1. Increased cost of production, leading to higher prices of goods and fanning inflation.
2. Reduced competitiveness of Nigerian manufacturers in local and international markets.
3. Increased smuggling due to high costs at Nigerian ports compared to neighboring countries.
4. Decline in government revenue due to lower cargo turn out and manufacturing downturn.
Rather than imposing additional financial burdens on businesses, we propose a stakeholder dialogue to explore strategies for enhancing port efficiency, reducing operational bottlenecks, and creating a more business-friendly environment that will ultimately lead to increased revenue without undermining industrial growth and competitiveness.
We earnestly advocate for caution and deep reflection on the part of the NPA, as a key stakeholder in Nigeria’s economic development.
NPA’s consultation with key economic actors after it has decided on the increase is tantamount to putting the cart before the horse and does not demonstrate goodwill.
We call on NPA to rescind the planned increase in order to avert a monumental downturn in the fortunes of businesses in Nigeria.
The manufacturing sector can ill-afford such an increase at this time; it runs against the present administration’s efforts at making Nigeria a trading hub in the West African sub-region, and would definitely constitute a drag in the efforts of government to stabilize the economy in the year 2025.
Business
Nigeria’s GDP grew 4.43% in Q2 2026, says NBS
The bureau announced this in its latest GDP report for Q2 2026 , emphasising that the latest growth rate is higher than the 4.23 percent recorded in Q2 2025. That represents a 0.2 percentage-point increase year-on-year.
• President Bola Tinubu
The National Bureau of Statistics (NBS) said on Monday Nigeria’s economy grew by 4.43 percent in real terms in the second quarter of 2026.
The bureau announced this in its latest GDP report for Q2 2026 , emphasising that the latest growth rate is higher than the 4.23 percent recorded in Q2 2025. That represents a 0.2 percentage-point increase year-on-year.
The NBS GDP report tracks the performance of Nigeria’s economy across sectors. It is a key indicator for policymakers, businesses, and investors monitoring the country’s economic direction.
Business
Emzor Pharma raises N26.7bn bond to boost local drug manufacturing
The bond, issued through Emzor’s special purpose vehicle, Emzor Pharma Funding SPV Plc, carries a 19 percent coupon over a five-year tenor.
Image: Drugs manufacturing
Emzor Pharmaceutical Industries has raised a $19.8 million (N26.7 billion) Series 1 Fixed Rate Bond on the FMDQ Group Exchange.
The company is aiming to strengthen local pharmaceutical manufacturing and complete West Africa’s first full-scale anti-malarial Active Pharmaceutical Ingredient (API) manufacturing facility.
The bond, issued through Emzor’s special purpose vehicle, Emzor Pharma Funding SPV Plc, carries a 19 percent coupon over a five-year tenor.
It forms part of the company’s broader N40 billion ($29.6 million) bond issuance programme and represents Emzor’s second domestic bond, following strong investor demand that resulted in the issue being oversubscribed.
The funds are expected to support working capital, expand manufacturing capacity and accelerate the completion of the API facility.
Business
Naira Exchange Rates Today, Monday August 31
Today, the Naira Black Market exchange rate for 1 Euro (EUR) is 1590 Naira.
BLACK MARKET
US Dollar: 1 US Dollar is 1390 Naira
Great British Pound: 1 Great British Pound (GBP) is 1895 Naira
EURO:1 Euro (EUR) is 1590 Naira.
Canadian Dollar: 1 Canadian Dollar (CAD) is 1020 Naira.
Chinese Yuan: 1 Chinese Yuan is 190 Naira.
Ghana Cedi: 1 Ghanaian Cedi is 95 Naira.
South African Rand (ZAR): 1 South African Currency, Rand (ZAR) is 75 Naira.
UAE Dirham (AED): 1 UAE Dirham is 350 Naira.
West African CFA franc: 1 CFA Franc (XOF) is 2300 Naira.
Central African CFA franc (XAF) : 1 CFA Franc (XAF) is 2150 Naira.
Australian Dollar (AUD) : 1 Australian Dollar (AUD) is 800 Naira.
CBN EXCHANGE RATES
DOLLAR (USD) ₦1337.29
POUND (GBP) ₦1816.04
EURO (EUR) ₦1556.87
SWISS FRANC (CHF) ₦1662.05
JAPANESE YEN (JPN) ₦8.38
CFA FRANC (XOF) ₦2.38
WEST AFRICAN UNIT OF ACCOUNT (WAUA) ₦1834.42
CHINESE YUAN (CNY) ₦198.97
SAUDI RIYAL (SAR) ₦356.17
SOUTH AFRICAN RAND (ZAR) ₦83.43
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