These are not the best of times for bonded terminals owners as fortunes decline
THE Association of Bonded Terminal Operators of Nigeria (ABTON) has expressed concern over the plight of indigenous bonded terminal operators, warning of significant job losses as over 40 terminals in Lagos and Ogun States operate below capacity.
ABTON’s General Secretary, Haruna Omolajomo, highlighted that only a few terminals are functioning efficiently due to unfavourable government policies and competition from port concessionaires, which has led to the underutilization of facilities and substantial investment losses.
He noted that stringent regulatory requirements exacerbate the financial strain on operators, who are required to maintain a ₦100 million cash-backed Customs bond despite low profits.
Omolajomo called for stronger local content policies to reserve a portion of cargo traffic for indigenous operators, drawing comparisons to successful policies in Ghana and South Africa. He urged the government to reassess cargo allocation and port operation policies to foster local investments and economic growth.