Nigeria loses $7b to untapped shipping market

• Ranks highest importer of Norwegian fish

Nigeria may be currently losing estimated $7 billion in revenue to untapped potential in the shipping industry; even as the nation reputed as being the highest importer of Norwegian fish in the world.

The Chairman, Shipowners Forum, Mrs Margaret Orakwusi, disclosed this at a stakeholders’ meeting hosted by Royal Norwegian Embassy, in collaboration with Innovation Norway, Nigerian Norwegian Chamber of Commerce, and The Norwegian Seafood Council, held in Lagos,
She enjoined the Nordic country to tap into the vast opportunities that abound in Nigeria’s maritime market, noting that although Nigeria may not be optimising the benefits of the sea trade at the moment, there are many opportunities therein to survive the economy when fully exploited.

Orakwusi said: “There is huge revenue of over $7 billion yearly in shipping, but we have relied heavily on importation of goods and exportation of crude oil. The oil is even currently exported as Free on Board (FOB), because we don’t have a national fleet. This is an opportunity for investor.”

She reckoned that if crude oil prices crashed again, the government become serious about diversifying the economy, adding that maritime is a very good alternative.

“It holds huge revenue base, high job opportunities, and foreign exchange earner. But it is so underdeveloped. We also have huge market for tourism, but tourism is almost zero in Nigeria. There are so many things that are so attractive in tourism,” she added.
Citing infrastructure deficiency, she stressed the need for the Federal Government to fix the ports access roads, and make the Eastern ports business-friendly.

The Director, Central and West African, Norwegian Seafood Council, Trond Kostveit, said Norway has been trading with Nigeria since 1890, adding that Nigeria is its largest market in the world for pelagic fish.According to him, Nigeria is the highest consumer of Norwegian fish followed by United Stated, Italy, Croatia, United Kingdom, and Sweden.

He said Norway exported 7,500 tonnes of stockfish in 2013; 11,000 tonnes in 2014, which declined to 6,000 tonnes in 2016, and currently growing to about 9,000 tonnes in 2018.

Kostveit said Nigeria’s seafood market is estimated at three million tonnes, while domestic production is one million tonnes, therefore the import need is about two million tonnes per year, adding that Norway has been able to grow the fish market especially the stock fish in Nigeria.

“We believe that there is a potential to sell more stock fish in Nigeria. The potential is all over the country. With product development, we know that we can appeal more to the younger people, so we are developing the stock fish packaging, and also making it easy to cook.

He said Norway is currently looking at local packaging in Nigeria, to further penetrate the local market, adding that the country exported about $10 million worth fish to sub-Sahara Africa, and nearly all of these came to Nigeria.

“Italy is the highest in terms of value, but Nigeria is the most interesting market for stock fish in terms of volume. About 99 per cent of fishes brought to Africa are sold in Nigeria,” he said.