By Sandra Chukwunyere

The National Association of Government Approved Freight Forwarders (NAGAFF) has warned that the growing presence of foreign operators in Nigeria’s freight forwarding industry poses a serious threat to the survival of indigenous practitioners, calling for urgent reforms to safeguard the country’s maritime economy.

In a policy brief titled “Safeguarding the Future of Indigenous Freight Forwarders in Nigeria’s Maritime Economy,” the Secretary General of NAGAFF, FWDR Godfrey Emeka Nwosu, said Nigeria’s freight forwarding subsector has reached a critical stage as global trade increasingly embraces digital technology and artificial intelligence (AI).

Nwosu commended the Nigeria Customs Service (NCS), under the leadership of the Comptroller-General of Customs, for investing in AI-driven trade facilitation, digital transformation and capacity building aimed at improving operational efficiency and preparing the Service for the future.

He, however, expressed concern that indigenous freight forwarders, who serve as key facilitators of international trade and Customs revenue collection, have not received similar support despite their strategic role in the nation’s maritime industry.

According to him, if urgent measures are not taken, foreign operators with superior technology, advanced training and global networks could gradually dominate the freight forwarding profession in Nigeria.

Emerging Threats

Nwosu identified the major threats confronting indigenous freight forwarders as:

• Increasing dominance of foreign freight forwarding firms with better technology and international exposure.
• Inadequate training and capacity development for indigenous practitioners in digital trade and AI-driven customs processes.
• Weak regulation and poor enforcement of professional standards by the Council for the Regulation of Freight Forwarding in Nigeria (CRFFN).
• Failure to fully implement the provisions of the CRFFN Act 16 of 2007 relating to training, regulation and professional development.

Consequences of Continued Neglect

He warned that continued neglect of indigenous freight forwarders could have far-reaching consequences.

Economic Risks

• Reduced efficiency in trade facilitation and cargo clearance.
• Revenue leakage arising from weak local participation.
• Declining competitiveness of Nigerian freight forwarding companies in international trade.

Professional Risks

• Erosion of professional standards within the industry.
• Widening skills gap among indigenous freight forwarders.
• Growing dependence on foreign expertise in freight forwarding operations.

National Security Risks

• Increased reliance on foreign operators in critical trade and logistics activities.
• Weak local capacity to support Customs in protecting national economic interests.
• Greater exposure of Nigeria’s supply chain to external influence.

CRFFN Under Scrutiny

The NAGAFF Secretary General faulted the Council for the Regulation of Freight Forwarding in Nigeria (CRFFN), stating that the Council has not effectively carried out its statutory responsibilities under the CRFFN Act.

According to him, the Council has failed to:

• Implement structured training and certification programmes.
• Enforce professional standards across the freight forwarding industry.
• Prepare practitioners for emerging technologies, including artificial intelligence.
• Strengthen public confidence in the freight forwarding profession through effective regulation.

Recommendations

To reposition the profession and strengthen indigenous participation, Nwosu recommended that:

• CRFFN should introduce mandatory training and certification programmes that meet global standards.
• Indigenous freight forwarders should be equipped with AI, digital trade and logistics management skills.
• The provisions of the CRFFN Act should be fully enforced to protect and regulate the profession.
• Stronger collaboration should be established among the Nigeria Customs Service, CRFFN and freight forwarding associations to build capacity.
• Government and industry stakeholders should launch sustained public awareness campaigns on the importance of indigenous freight forwarders to Nigeria’s economic growth and national security.

Nwosu maintained that Nigeria’s maritime economy cannot achieve its full potential if indigenous freight forwarders are left behind in the ongoing digital transformation of global trade.

He urged the Federal Government, CRFFN and other relevant stakeholders to take immediate action to strengthen the capacity of indigenous freight forwarders, stressing that they remain indispensable partners in trade facilitation, revenue generation and the sustainable development of Nigeria’s maritime economy.