CPPE advocate policies to prioritise domestic interests in maritime industry

The Chief Executive Officer of the Centre for the Promotion of Private Enterprise (CPPE), Dr Muda Yusuf, has called for stronger policies to boost indigenous participation in Nigeria’s maritime sector.

While speaking to maritime stakeholders in Lagos, Yusuf emphasised the critical role of economic nationalism and local content in driving sustainable economic development and reducing poverty.

In his presentation, Yusuf highlighted the underutilisation of indigenous capacity in the maritime sector despite its substantial contribution to the country’s gross domestic product (GDP).

He said economic development is not just about GDP growth but about indigenous participation.

Yusuf cited examples of global practices in countries like the United States and the United Arab Emirates, where deliberate policies prioritise domestic interests, protecting local industries from being overshadowed by foreign competitors.

Yusuf expressed concerns about excluding Nigerian players from critical aspects of the maritime industry, such as shipping, cargo clearing, and terminal operations.

“Indigenous people are being progressively sidelined, with foreign players dominating the sector. This is a major policy failure that demands urgent action,” he stated.

He urged the government to revisit the Nigeria Investment Promotion Commission (NIPC) Act of 2005, which liberalised all sectors to foreign investors, leaving indigenous operators vulnerable.

Yusuf advocated for a framework that balances foreign investment with local interests, akin to the local content law in the oil and gas sector.

Highlighting the economic implications, Yusuf pointed out the adverse effects of capital flight, stating that when foreign operators dominate, profits are often repatriated, depriving the local economy of vital resources.

He noted that empowering local players keeps wealth within communities, spurring growth and development.”

Yusuf also called for implementing existing laws, such as the Coastal and Inland Shipping Act (Cabotage Act), which reserves certain maritime activities for indigenous operators.

“This law has existed for over 20 years, yet it remains largely unenforced. We need political will and an expansion of executive orders to prioritise local players,” he said.

Yusuf reiterated the need for deliberate policies to stimulate indigenous participation, noting that economic policy must centre on the people.

He said that when local operators thrive, the economy benefits from job creation, human capital development, and reduced poverty.