CEM REPORT, TRADE | Nigeria’s economy has traditionally relied heavily on oil exports. However, recent figures from the Tin Can Island Port (TCIP) point towards a promising trend – a dramatic increase in non-oil exports.
According to Comptroller Dera Nnadi, the Customs Area Controller (CAC) of the Tin Can Island Port command, non-oil exports saw a staggering 95.3% increase in the first quarter of 2024 compared to the same period in 2023. This translates to a significant jump in volume, with exports reaching 251,679.89 metric tonnes in 2024, compared to 145,906.33 metric tonnes in 2023.48
The value (Free On Board or FOB) of these non-oil exports also witnessed a remarkable surge, exceeding a 300% increase. The FOB value climbed from N80.9 billion in 2023 to a staggering N287.7 billion in 2024.
This positive development indicates a potential shift towards a more diversified Nigerian economy, less reliant on volatile oil prices. The growth in non-oil exports is primarily driven by agricultural products and allied goods, such as cocoa butter, cocoa beans, and cashew nuts.
Tin Can Island Port Exceeds Revenue Targets
The Tin Can Island Port command also surpassed its first-quarter revenue target by an impressive 139%. The total revenue collected in the first quarter of 2024 amounted to ₦303.9 billion, exceeding the target significantly compared to ₦126.8 billion collected during the same period in 2023.
Comptroller Nnadi further elaborated on the impressive monthly breakdown of revenue collection. January 2024 saw a collection of ₦88.4 billion, a 107.9% increase compared to ₦42.5 billion in 2023. February followed suit with a collection of ₦100.4 billion, reflecting a 141.8% increase from ₦41.5 billion in the previous year. Finally, March 2024 saw the highest collection of ₦115.1 billion, a remarkable 163.9% increase compared to ₦42.8 billion in 2023.4
The NCS is also committed to maintaining a robust enforcement and anti-smuggling strategy at the Tin Can Island Port. Nnadi highlighted the command’s rigorous approach, which includes conducting 100% physical examinations on goods in collaboration with key stakeholders. This ensures strict adherence to international trade regulations and helps curb illegal activities.
The NCS recently confiscated a significant amount of illegal drugs, including 57 packets of heroin weighing 56.390 kilograms (estimated street value of ₦902 million) and a staggering 3,612 packets of Colorado Indica weighing 956.772 kilograms (estimated value of ₦4 billion). These confiscated narcotics were handed over to the relevant agencies for further action.
Infrastructure Development and Stakeholder Engagement
The Tin Can Island Port is also undergoing positive infrastructural changes. Nnadi mentioned the commencement of operations at newly established terminals within the port. This initiative aims to decongest existing facilities and create a more level playing field for importers and all stakeholders involved in trade activities.
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Furthermore, the NCS emphasizes the importance of stakeholder engagement. The command has actively hosted various sections of stakeholders’ forums in recent months. These forums involve representatives from shipping companies, terminal operators, freight forwarders, and security agencies. This collaborative approach fosters open communication and streamlines trade processes at the port.
If You Ask Me
The significant rise in non-oil exports at Tin Can Island Port serves as a beacon of hope for Nigeria’s economic diversification efforts. This development signifies a potential shift towards a more robust and sustainable economy, less reliant on volatile oil prices. The focus on agricultural products holds particular promise, as it empowers local farmers and boosts domestic production.
In my opinion, the unwavering commitment to revenue collection, stringent enforcement measures, infrastructure development, and stakeholder engagement further bolsters the optimism surrounding this positive trend. If this path is continued, it can pave the way for a more diversified and resilient economy in the years to come for Nigeria. As Nigeria strives to reduce its reliance on oil, the Tin Can Island Port’s success story serves as a beacon of hope for a more diversified and resilient future. The next few quarter will tell how neck in the NCS and the federal government is committed to economy diversification.
