World’s largest container shipping company secures 45-year Lagos port concession as part of $1 billion Nigeria investment

The world’s largest container shipping company, MSC, has signed a 45-year concession agreement with ​the Nigerian maritime company Nigerdock to develop, operate ‌, and maintain a new container terminal at Snake Island Port in Lagos, the Swiss-based company said.

The dedicated MSC terminal would be part of the company’s announced $1 billion investment in infrastructure and logistics in Nigeria, according to Reuters.

Global shipping companies ​are pushing to secure long-term footholds in emerging ​markets as supply chains are reconfigured worldwide. Nigeria, Africa’s largest economy, is grappling with chronic congestion at Lagos’ ​ports.

MSC said the terminal, to be built ​by ITB Nigeria and DEME Group, is expected to be ‌ready ⁠by 2028.

It will occupy 30 hectares (74 acres) and feature a 910-metre (3,000 ft) quay capable of handling ship‑to‑shore cranes and mobile harbour ​cranes, serving both ​deep-sea vessels ⁠and barges.

Snake Island Port is an 85-hectare facility operated ⁠by ​Nigerdock, a maritime and ​logistics company, and comprises three terminals serving the Lagos port ​complex.

Meanwhile, MSC recently announced it will introduce a “War Risk Surcharge” (WAR) for cargo shipments from the Indian subcontinent and Gulf countries to African destinations and Indian Ocean islands.

The surcharge will apply to all cargo moving from Bahrain, Iraq, Kuwait, Oman, Qatar, Saudi Arabia, and the UAE to West Africa, East Africa, South Africa, Mozambique, and the Indian Ocean islands.

(Business Insider)