President Bola Tinubu has landed a $600 million investment deal with Danish shipping and logistics company, A.P Moller-Maersk, to expand existing port infrastructure to make room for more container shipping services in Nigerian ports.
This is contained in a statement by the Special Adviser to the President, Ajuri Ngelale On Sunday via his official X handle.
According to Ngelale, the Chairman of A.P Moller-Maersk, Mr. Robert Maersk Uggla, disclosed the decision during a meeting with President Tinubu on the sidelines of the World Economic Forum Special Meeting on Global Collaboration, Growth and Energy for Development in Riyadh, Saudi Arabia, on Sunday.
In the statement, President Tinubu noted that this investment will complement the administration’s ongoing $1 billion investment in seaport reconstruction across the eastern and western seaports of Nigeria.
The President said that the implementation of a National Single Window Project aimed at improving trade facilitation, facilitating import and export flows, curtailing corruption in port operations as well as improving their efficiency and transparency would also contribute to supporting Nigeria’s Port Modernization Efforts and Maritime Process Automation.
He said “We appreciate your business and the contribution you have made and continue to make to our country’s economy over time. We do not take our partners for granted. A bet on Nigeria is a winning bet. It is also a bet that rewards beyond what is obtainable elsewhere.
“More investment opportunities are available, and my government has worked on various reforms to encourage investments. We need to encourage more opportunities for revenue expansion and minimize trans-shipments from larger ships to smaller ships.”
The President affirmed his administration’s determination to cooperate and create a conducive environment for the growth of businesses in this country, reassuring Maersk.
He cited Maersk’s previous partnership in the development of the Ogun State container terminal as a testament to fruitful partnerships with the reputable logistics company.
The chairman of A.P Moller Maersk, Mr. Robert Maersk Uggla, said his company had invested more than $2 billion in Nigerian ports and other activities, highlighting its longstanding involvement in Africa’s most populous country and its belief in the future of Nigeria.
He emphasized the potential for Nigerian ports to accommodate larger container ships and stressed the need for expanding port infrastructure to meet this demand while reducing the cost of logistics.
“We have seen a significant opportunity for Nigeria to cater for larger container ships. Historically, most of the West African coasts are already served by smaller ships. Currently, we see an opportunity to deploy larger ships to Nigeria. To achieve this, we need to expand the port infrastructure, especially in Lagos, where we need a bigger hub for logistics services. The growth potential is hard to quantify.
“We believe in Nigeria, and we will invest $600 million in existing facilities and make the ports accommodating for bigger ships.
“In my humble view, given that Nigeria is the most populous country in Africa, Nigeria should have the best and biggest port and we are very eager to invest, and we will continue that dialogue with the relevant Nigerian authorities to explore further investment opportunities,” the Maersk Chairman said.
