Evaluation of ship turnaround time and cargo trade delays of Nigerian ports in the post privatization regime

Abstract

The study evaluated the ship turnaround time and cargo trade delays of Nigerian ports in the post privatization regime. The objectives of the study were, among other things, to investigate the existence of delays in ship turnaround time (STRT) operations and processing of shipping (cargo) trade in Nigerian seaports. The study used ex-facto research design, employing secondary data sourced from different sources as explained later in the work. The Net Output Model approach for estimating value of time lost, the paired sample-test, and the log-linear multiple regression analysis methods were used to analyze the data obtained. It was found that there exists disproportionate levels of delay in ship turnaround time operations in the individual seaports of Nigeria, such that, in each of the Onne, Lagos Apapa, Warri, Rivers, and Calabar ports, the delay encountered by ship operators in shipping operations is 1.878, 5.340, 3.470, 2.810, and 2.440 days, respectively. The Nigerian port sector average delay in ship turnaround time operations is 9.20 days. The result of the study also indicated the existence of 9.00, 16.73, 14.10, 15.60, and 13.40 day delays in the processing of shipping trade in each of the Onne, Lagos Apapa, Warri, Rivers, and Calabar ports, respectively. It is recommended that Port Authorities and Terminal operators, in collaboration with the Nigerian Shippers Council, should develop delay reduction policies and strategies in the ports, in order to ensure that trade processing and ship turnaround time operations in Nigerian ports comply with the global benchmark of 1.20 days for ship turnaround time and 4.00 days for shipping trade.

Highlights

• Nigerian ports have been battling issues of port delays which made the ports less attractive with less patronage as prospective port users are made to spend more time and finance in transacting business with Nigerian ports.
• These delays are mostly evident in the Ship Turnaround time (STRT)and Cargo dwell time (CDWT) in Nigerian Ports which are major factors in determining Port Performance globally.
• The study conducted an evaluation of these delay causing factors and was able to estimate the number of extra days ships in Nigerian ports as against global benchmarks of other ports using STRT and CDWT as basic parameters of Port Performance.
• The Apapa Port in Lagos State was deduced to be the Port with highest rate of delay while the Onne Port Complex in Rivers State was deduced to have the least delay in number of days.
• Recommendations were also proffered as to mitigate these delays to make Nigerian ports competitive and more attractive to prospective port users.