By Sandra Chukwunyere
The National Association of Government Approved Freight Forwarders (NAGAFF) has urged the Federal Government to support the consolidation of freight forwarding companies in Nigeria, describing the move as critical to strengthening indigenous operators, boosting trade competitiveness, increasing revenue generation and enhancing national security.
In a policy statement, the Secretary-General of NAGAFF, Fwdr. Godfrey Emeka Nwosu, said the continued fragmentation of the freight forwarding industry has limited the capacity of local operators to compete effectively with well-established foreign logistics companies.
According to him, many indigenous freight forwarding firms operate on a small scale with limited resources, making it difficult for them to meet the demands of modern global supply chains and take advantage of emerging opportunities in the logistics sector.
Nwosu explained that encouraging strategic partnerships, mergers and other forms of business integration among local operators would create stronger Nigerian-owned logistics companies with greater financial capacity and operational efficiency.
He noted that consolidation would enable freight forwarders to share critical resources, including warehouses, cargo space, transportation equipment and technology platforms, leading to reduced operating costs and improved service delivery.
“Consolidation is no longer an option but a necessity for the survival, growth and global competitiveness of indigenous freight forwarding companies,” Nwosu stated.
He added that stronger freight forwarding firms would be better positioned to provide integrated logistics solutions, improve cargo movement and offer more reliable services to importers and exporters.
The NAGAFF Secretary-General stressed that the benefits of consolidation would extend across the maritime and trade value chain.
He said importers and exporters would enjoy more efficient and affordable logistics services, while the Nigeria Customs Service would benefit from improved documentation, compliance and cargo clearance processes.
According to him, port operators would experience smoother cargo flow and reduced congestion, while government revenue could increase through improved trade efficiency and better compliance with regulatory requirements.
Nwosu also identified trade facilitation, manpower development, investment in technology and job creation as key advantages of a more coordinated freight forwarding sector.
On the security implications, he said consolidation would improve cargo visibility and traceability, making it easier for security and regulatory agencies to monitor cargo movement and detect suspicious activities.
He explained that the deployment of modern digital tracking systems and stronger operational controls would help reduce smuggling and other forms of illicit trade.
“This is not just about business growth. A more organised freight forwarding industry will support national security objectives by promoting transparency, accountability and effective cargo monitoring,” he said.
NAGAFF therefore called on the National Assembly and relevant government agencies to develop policies that would encourage responsible consolidation while safeguarding the interests of indigenous operators.
The association also advocated increased investment in transport and warehousing infrastructure, expansion of trade corridors, deployment of integrated digital platforms and continuous capacity-building programmes for freight forwarders and customs brokers.
It further urged stronger collaboration among government agencies, customs authorities, port operators, logistics companies and technology providers to build a more efficient and globally competitive logistics ecosystem.
Nwosu warned that Nigeria could lose greater control of its logistics industry if indigenous freight forwarding companies remain fragmented while foreign operators continue to strengthen their foothold in the market.
He maintained that consolidation would provide local firms with the scale, resources and institutional capacity required to compete effectively, drive innovation and contribute significantly to national economic development.
According to him, strengthening indigenous freight forwarding companies should form part of a broader national strategy aimed at enhancing trade competitiveness, protecting economic interests and creating sustainable employment opportunities.
He expressed confidence that with the right policy support and regulatory framework, Nigerian freight forwarders could evolve into globally competitive logistics enterprises capable of playing a leading role in Africa’s growing trade and supply chain sector.
