The Executive Secretary and Chief Executive Officer (CEO), Nigerian Shippers’ Council (NSC), Barrister Pius Ukeyima Akutah has given reasons for NSC recent tariff decisions, regulatory interventions, and the delayed implementation of the International Cargo Tracking Note (ICTN) in the country.
He insisted that all actions taken by NSC are guided strictly by what he called “law, due process, and extensive stakeholder consultations” rather than external pressure or inconsistency in policy direction.
Akutah in an interview with news men recently, explained that tariff regulation is a core statutory responsibility of NSC under Sections 5 and 6 of the Port Economic Regulations 2025.
He stressed that the NSC acted within its legal mandate in approving adjustments after years of sustained pressure from service providers who had repeatedly demanded significant increases due to rising operational costs.
He noted that for more than two and a half years, no tariff review had been implemented despite inflationary trends, increasing cost of operations, and multiple requests from industry players.
According to him, some of the request for increase ranged between 150 percent and 300 percent increases, which NSC had to carefully moderate in order to prevent wider economic disruption.
He maintained that tariff adjustment in the maritime sector cannot be treated as a profit-driven exercise but rather as part of broader sectoral development and investment sustainability.
He added that any decision must take into account key macroeconomic indicators such as inflation, GDP performance, and the potential impact on national trade.
According to the NSC CEO, the council deliberately adopted a cautious approach given that over 80 percent of Nigeria’s trade is dependent on maritime transport, warning that excessive tariff hikes could have immediate ripple effects across the economy.
On concerns that shipping companies were introducing exploitative charges and that the regulator was merely reacting to crises, he dismissed the allegation, stating that NSC did not act arbitrarily but approved a structured adjustment framework of about 35 percent, which was designed as a flexible band rather than a fixed rate.
He explained that operators were allowed to implement within an approved range, typically between 10 and 20 percent depending on their operational realities, while cautioning that any over-implementation would distort competitiveness in the sector.
Reacting to suggestions that recent disputes in the industry signaled instability or regulatory failure, Akutah clarified that the tensions were not systemic but largely isolated to a disagreement between Mediterranean Shipping Company (MSC) and its stakeholders.
According to him, other shipping companies successfully concluded their stakeholder engagements without incident. The situation with MSC stemmed from a breakdown in agreement during consultations rather than any regulatory lapse. I personally intervened during a protest at MSC premises to de-escalate tensions and encourage dialogue. Regulatory engagement must always remain the preferred route for resolving disputes in the sector.
Addressing concerns about regulatory interference, he warned against what he described as regulatory capture, arguing that undue external pressure on a statutory regulator could undermine transparency and distort the balance required to protect both shippers and service providers.
He emphasized that NSC role is to maintain equilibrium in the industry, not to favour one side over another, pointing out that the collapse of any segment of the value chain would ultimately affect national trade.
On ICTN, the NSC helmsman acknowledged delays in implementation but attributed them to a complex web of legal disputes, court cases, and historical inconsistencies surrounding the project.
He explained that NSC is currently working with the Ministry of Justice to resolve outstanding litigation involving some stakeholders before full rollout can proceed, noting that the objective is to ensure a seamless and legally sound implementation that will not be subject to further suspension.
The NSC boss reaffirmed that ICTN remains critical to improving cargo security, enhancing tracking efficiency and safeguarding national revenue.
He maintained that NSC must ensure all legal bottlenecks are resolved to avoid operational setbacks in its implementation.
