• Payment processing, cargo exit, trade documentation stalled
• Onne Port records zero activities, turns into ghost town
• Stakeholders demand demurrage waiver, accuse terminal operators of rip-off
• Complaints ‘largely’ addressed, Customs insists
Goods clearing activities at Nigeria’s seaports have been halted or scaled down significantly in the past two weeks, leaving over 5,000 cargoes trapped. Port users claim to have lost an estimated N2 trillion in demurrage.
The disruption of port activities is caused by the persistent network glitches on the Nigeria Customs Service (NCS) B’Odogwu digital platform, which has left manufacturers and other merchants incurring a huge loss.
Coupled with the reintroduction of the four per cent free on board (FOB), the effective cost of clearing, manufacturers have lamented, has risen by about 200 per cent. They are also worried that much of the stuck raw materials might not be useful when they are eventually released.
A 40-foot container attracts a daily demurrage of between N120,000 and N140,000, while a 20-foot container costs about N80,000 daily.
Also, demurrage for a car is N10,000, while a truck attracts N35,000. A caterpillar is charged N45,000 as demurrage. These increase after the initial grace period.
Findings suggested that an estimated 5,000 import containers are trapped at Apapa, Tin Can and PTML, all in Lagos, following the network glitches. Onne Port, Rivers state, according to findings, has turned into a ghost town with almost zero activity recorded in the past two weeks.
Stakeholders told The Guardian that the network breakdown, which started about three weeks ago, has disrupted payment processing, cargo exits and trade documentation, triggering a surge in demurrage costs for importers and manufacturers whose raw materials and finished goods are stuck at terminals.
Key clearing processes affected include logging into the platform, registration of Form M, Pre-Arrival Assessment Reports (PAAR) generating, duty payments and final exit clearance. Ordinarily, these should take about 24 hours in normal working conditions. But with banks unable to connect with the portal for payment, clearing has been at a snail’s pace.
The disruption has paralysed cargo movement at Onne, Tin Can Island, Apapa, and the bonded terminals, with both imports and exports grinding to a halt.
The situation is putting intense pressure on manufacturers, who rely on the timely delivery of raw materials to produce finished goods. Some of the operators complained that the cost of clearing has increased by over 180 per cent in recent days.
They warned that the continuous disruption could force factories to scale down production or shut down entirely if the situation persists.
The Comptroller General of Customs, Bashir Adeniyi, recently admitted that part of the downtime was caused by attempts by hackers to infiltrate the Customs digital system.
Adeniyi, however, said part of the problem had been resolved through joint efforts.
But users said the situation has not improved. The Chief Executive Officer of Globjoy Investment Limited and Public Relations Officer of the Tin Can Chapter of the African Association of Professional Freight Forwarders and Logistics of Nigeria (APFFLON), Clinton Okoro, lamented that about 5,000 containers have remained trapped at Apapa, Tin Can and PTML ports due to the poor network.
He warned of crippling financial losses from the mounting demurrage. He noted that the demurrage charges have soared, with a 40-foot container attracting between N120,000 and N140,000 per day, while a 20-foot container costs about N80,000 daily.
“It is very pathetic, for almost three weeks, nothing has been moving. You try to log in to the platform, but it does not go through. Even to register Form M or process a PAAR takes more than a week instead of 24 hours. The whole system is messed up. For importers holding multiple containers, the demurrage costs run into millions of naira within a few days,” he lamented.
Okoro told The Guardian at the weekend that he is currently handling 10 containers, which have all been trapped across Apapa, Tin Can ports and PTML in the past three weeks, with a cumulative daily demurrage bill of N1.2 million.
The National Public Relations Officer, Association of Registered Freight Forwarders of Nigeria (AREFFN), Taiwo Fatomilola, said for over two weeks, port users have struggled with network failures that have left imported cargoes stranded in the seaports, leading to mounting demurrage charges on importers.
Fatomilola explained that the disruptions have crippled trade facilitation as banks are unable to access Customs’ payment portals, while clearing agents find themselves unable to push entries through the approved data capture system, leaving goods unpaid for and un-cleared.
He stated that the network glitches have stalled payment processing, cargo exits, and trade documentation, which forced importers and manufacturers to accumulate heavy demurrage, with their raw materials and finished goods stuck at terminals.
The AREFFN spokesman said demurrage charges per day are estimated at N10,000 for cars, N35,000 for trucks and N45,000 for caterpillars, with additional increases imposed after the initial grace period.
Narrating his ordeal, Fatomilola explained: “For the past two weeks, we have been struggling with the network. No network. There is a job I did that was alerted by the Customs headquarters Trade and Tariff (T&T) in Abuja. But the Customs release officer did not know because the network did not come up on time. So, he released it in error.
“By the time we got to the gate to exit, he now realised that there was a T&T alert again at the gate. That was on Thursday. By the time we got there, they said we had to go back. They issued the Debit Note (DN) and agreed on it. You have to write a letter of acceptance of the DN because the job is still not exciting.
“The post-clearance audit told us we have to go to the terminal to exit it so that they can now issue the DN and then we can pay. I am telling you that up till now, no network exists on their system. A job you submitted at the exit gate for one week, since Monday, you are still struggling there; it is not going well.”
Former President of the Shippers Association Lagos State (SALS), Jonathan Nicol, said the system failure has left cargoes stranded at the ports, with importers unable to pay duties, conduct examinations, or take delivery of their goods.
“When there is a malfunction in customs equipment, it affects the entire supply chain. You cannot pay duty, you cannot perform examinations, and you cannot even access shipping lines. The whole system is at a standstill.
“If you bring in goods that must be used within a week and you cannot deliver for one month, contracts will be canceled. Manufacturers will be forced to run their plants below capacity or even close them if raw materials run out. This is a direct threat to the economy,” Nicol told The Guardian.
Nicol further noted that the disruption could lead to significant revenue losses for the Federal Government, as Apapa Port alone generates over N1 billion a day in a month, much of which will be delayed or lost until the network is restored.
“The economy is bleeding. Customs is not collecting duties, terminals are not moving containers, truckers are not engaged, and shipping lines are also affected. The losses are massive, possibly running into N2 trillion for the period already experienced and more if this continues,” Nicol warned.
Apapa Port generates a daily revenue collection of over N15 billion, while the Tincan Island Port Command collects a daily revenue of over N10 billion.
With containers unable to move out of terminals, many businesses face escalating costs that threaten profitability and supply chain stability.
Stakeholders have also criticised terminal operators and shipping companies for capitalising on the network downtime to exploit importers via high demurrage charges.
They argue that in other countries, such as South Africa, demurrage clocks are suspended during system failures until operations resume.
“Nigeria is losing big money every day. If you calculate the 5,000 containers lying idle in Lagos ports alone, we are talking about losses running into billions of naira,” Okoro stated.
Beyond costs, stakeholders have warned of the ripple effects across the economy. Okoro stated that whatever is spent on clearing, the importers will add to the price of goods, while the masses will eventually bear the brunt.
He added that inflationary pressure on consumer goods is inevitable if the situation persists.
Importers, manufacturers and clearing agents are urging the Federal Government to intervene, insisting that the B’Odogwu platform should either be fixed urgently or run side-by-side with the previous system until its glitches are resolved.
“The Comptroller-General is trying, but he must see the plight of Nigerians. We welcomed B’Odogwu because it is indigenous, but this disruption is crippling trade. Ease of doing business cannot survive under this kind of environment,” Okoro stated.
They, however, called on the Federal Government, Nigerian Shippers’ Council and Nigerian Ports Authority (NPA) to address the situation, especially in the demurrage paid to shipping companies and terminal operators, who repatriate this money they generate back to their countries.
On his part, Nicol called on the Federal Government, the NPA, shipping lines, and terminal operators to grant incentives, demurrage waivers and concessions during the downtime, stressing that the delays were not the fault of shippers, importers, or manufacturers.
“There should also be a backup system in place to prevent this kind of collapse. In situations like this, shipping lines and terminal operators should understand that it is not the problem of the importers. It’s a national issue, so they should give concessions.
“In that situation, we expect customs to approach the terminal and tell them that there’s a major breakdown and once that is done, they will request a demurrage waiver. The federal government will also give them a concession for that period.
“If the government gives NPA concessions, NPA gives the shipping line and terminal concessions, I don’t think the shipping lines will insist on charging shippers for services not rendered. It’s something everybody will come together and concede to. It is a win-win thing for everybody,” Nicol explained.
Amidst the complaint, the leadership of NSC has met with the Nigerian Shippers’ Council to discuss practical solutions to mitigate the inconveniences experienced by port users.
Adeniyi emphasised the need for urgent responses to minimise the financial losses from demurrage and prevent disruptions in the cargo clearance chain.
Against the odds, the Apapa Customs command said it generated N161.2 billion from the platform within three weeks.
The Customs Area Controller of the Command, Babatunde Olomu, stated this on Monday after a series of intense stakeholders’ engagement championed by the Comptroller General of Customs, Bashir Adeniyi.
Olomu noted that there are prospects of improvement in the B’Odogwu system.
While commending stakeholders for their patience and understanding, the Area Controller said between August 1 and 22, 2025, the command collected N161.2 billion through B’Odogwu.
The National Public Relations Officer of the NCS, Abdullahi Maiwada, also claimed the platform is now operating effectively after the technical glitches.
Speaking to The Guardian on the complaints of manufacturers and importers yesterday, Maiwada said the service had taken pragmatic steps to resolve the technical glitches.
He noted that complaints related to network speed and functionality have largely been addressed.
“Those are teething issues that do occur when it comes to the deployment of a massive technology like B’Odogwu. We have done everything possible to make sure the network is more effective, and we hope that these complaints will no longer exist this week,” Maiwada said. (Guardian)
