Clearing agents operating in the nation’s maritime sector have raised the alarm over what they describe as the growing domination of Nigeria’s freight forwarding business by foreigners, warning that the trend, if left unchecked, could trigger xenophobic attacks and unrests within the industry.
Former acting President of the Association of Nigerian Licensed Customs Agents (ANLCA), Dr. Kayode Farinto, said the influx of foreign companies into the freight forwarding space is no longer a rumour, but a disturbing reality that demands urgent government intervention.
Farinto, who spoke in Lagos, disclosed that despite clear provisions of the law prohibiting the registration of foreigners as Customs brokers, multinational companies have continued to exploit loopholes to operate freely in Nigeria’s ports.
“The takeover of freight forwarding jobs by foreigners is real and dangerous. Section 104 (2) of the Customs and Excise Management Act (CEMA) clearly states that foreigners should not be registered as Customs brokers, yet they are finding their way into the system,” Farinto alleged.
He raised alarm that: “Many of them now dominate even project cargoes. Companies like China Civil Engineering Construction Corporation (CCECC) and some shipping lines have set up their own clearing departments, displacing Nigerian operators. This is an existential threat to our industry.”
He explained that these foreign firms circumvent the law by using local fronts to register companies, appointing Nigerians as honorary directors while retaining control of the business. He warned that if the situation continues unchecked, it could degenerate into serious unrest or xenophobic attack within the sector.
Backing Farinto’s position, the President of the Africa Association of Professional Freight Forwarders and Logistics of Nigeria (APFFLON), Otunba Frank Ogunojemite, confirmed that foreigners are increasingly handling key shipments, including high-value and project cargoes that were traditionally reserved for Nigerians.
“It is no longer speculation; it is happening right before our eyes,” Ogunojemite said. “Multinationals are taking over freight forwarding jobs in Nigeria, including project cargoes. These are jobs meant to empower Nigerians, but foreign firms are now the ones profiting. If the government fails to enforce existing laws, we risk losing control of our supply chain to foreign interests.”
Similarly, a senior member of the National Association of Government Approved Freight Forwarders (NAGAFF) also expressed concern, describing the trend as a “silent invasion” that threatens local employment and national security.
The NAGAFF chieftain, who pleaded anonymity said, “We have repeatedly called the attention of the Nigerian Shippers’ Council, the Nigeria Customs Service, and the Ministry of Marine and Blue Economy to this menace, foreigners are not just clearing cargo; they are gradually taking over the entire logistics chain. This is a clear threat to indigenous freight forwarders and to Nigeria’s economic sovereignty.”
Confirming the development, the Registrar of the Council for the Regulation of Freight Forwarding in Nigeria (CRFFN), Mr. Kingsley Igwe, while speaking on the sideline of the 2025 World Maritime Day celebrations in Lagos, made a passionate appeal to the Minister of Marine and Blue Economy, Adegboyega Oyetola, for the provision of financial subventions and funding mechanisms to rescue Nigeria’s freight forwarding industry from lingering economic constraints.
Igwe lamented that the freight forwarding subsector, despite its strategic role in the country’s maritime value chain has continued to suffer neglect in terms of access to capital and government-backed financing initiatives. He stressed that freight forwarding remains a key driver of Nigeria’s maritime economy, contributing significantly to the nation’s Gross Domestic Product (GDP) and government revenue through duty collection and trade facilitation.
“Your Excellency, Honourable Minister, the substance of freight forwarding is capital-intensive. Freight forwarders are the ones who generate the duties being paid to government, and the business contributes nothing less than $10 billion to Nigeria’s GDP. Yet, funding for the sector has never received the significant attention it deserves,” Igwe declared.
The registrar expressed concern that most corporate freight forwarding services in Nigeria are dominated by foreign companies, leaving indigenous operators at a competitive disadvantage. According to him, statistics indicate that between $6 billion and $9 billion flows annually into the coffers of international firms providing freight services, while local players struggle to raise the capital needed to scale-up their operations.
“If Nigerian freight forwarders are provided with financial subventions or access to structured funding such as bonds or low-interest loans, they will be able to acquire their own warehouses, properties, or even logistics hubs. This will not only strengthen their businesses but also boost government revenue and create more jobs within the maritime economy,” he added.
Igwe urged the Marine and Blue Economy Ministry to urgently develop a financial intervention framework to support indigenous freight forwarders, similar to schemes provided to other critical sectors such as agriculture and manufacturing. Such a policy, he said, would empower local operators to compete favorably with foreign firms, reduce capital flight, and deepen Nigeria’s participation in global logistics and supply chains.
