(Ecofin Agency) - • The NPA will begin dredging Lekki Port under a $1.5B deal with CHEC.
• The aim is to deepen the channel to 19 meters and attract larger vessels.
• Lekki Port supports export growth and relieves congestion at Lagos ports.

The Nigerian Ports Authority (NPA) is set to start dredging works at the Lekki deep-sea port, located on the outskirts of Lagos. According to the local press, the project director, Abubakar Dantsoho, revealed that the government has approved a $1.5 billion investment for the development, which will be carried out by the China Harbour Engineering Company (CHEC).

The initial goal is to increase the depth of the channel from 16.5 meters to 17 meters, with a final aim set at 19 meters. The idea is to attract larger capacity vessels to support the country's growth projections for exports, which are expected to double or triple in the coming years.

A key infrastructure to relieve congestion at other ports

As seen from the Apapa port, the Lekki port, which opened in January 2023 with a capacity of 2.5 million TEU, was constructed to decongest the Apapa and Tin Can Island ports, which have been plagued by persistent congestion for several years. The authorities had also stated that the new complex would serve as the country's primary transshipment facility in the West African port competition.

The congestion problems have indeed directed a significant portion of Nigerian traffic towards ports in neighboring countries like Cotonou (Benin) and Lomé (Togo). Similar to these two ports, the Tema (Ghana) and Abidjan (Côte d’Ivoire) ports, which have made substantial investments in expanding their facilities, pose threats since they serve countries such as Niger, one of Nigerian ports' primary markets.

In response, Nigeria has embarked on a program modernizing its ports to expand the infrastructure and digitize the services for competitiveness. In addition to the port performance, improving the overall efficiency of the country's supply chain also requires the development of supporting infrastructures, like roads and railways for easy freight flow upstream and downstream.