A correlation of port users’ patronage and tariff structure of Nigerian seaports: A study of Lagos Apapa port
DOI:
https://doi.org/10.33175/mtr.2025.271519Keywords:
Tariff; Patronage; Pilotage; Gross tonnage; Harbors; Apapa portAbstract
The study evaluated the relationship between port tariff structure and user patronage of Apapa port from 1977 - 2021. Data sourced were secondary data from the Nigerian Ports Authority (NPA) annual reports and NPA simplified tariff structure 2021 providing time series data on ship dues, ship traffic volume, vessel gross registered tonnage, pilotage charge and harbor dues. Six hypotheses were formulated from the objectives of the study to answer the research questions and provide empirical evidence for the statistical results of the study. The study employed Pearson correlation and Simple Linear Regression Analysis to evaluate the relationship between variables. Models were developed which determined the relationships between each of the independent and dependent variables. The study revealed that user patronage of Apapa port has significant relationships with port tariff in terms of the ship dues, harbor dues, and pilotage charges paid to the NPA by ship-owners and/or their agents, accounting for the increasing number of ships regularly visiting the port. In conclusion, the study infers that there is significant relationship between port tariff and user patronage of Apapa port, Nigeria. The study recommends that tariff is an instrument of port pricing which also contributes to overall transport cost, therefore, designed and billed to encourage patronage of the port industry. It is noted that maritime trade competitiveness and the tariff system of a port are considerable factors for ship-owner in patronizing a local port industry.
Highlights
- The study reveals a significant relationship between port tariff structures (ship dues, harbor dues, and pilotage charges) and user patronage at Apapa port, Nigeria, from 1977 to 2021.
- Moderate and competitive port pricing is identified as a critical factor that increases port patronage, leading to higher revenues for the port industry.
- The study provides empirical evidence supporting the relationship between independent variables (tariff structures) and dependent variables (ship traffic volume and tonnage).
- The study underlines the importance of maintaining competitive tariff structures to attract more ships and increase port revenues, informing policy decisions on port management and pricing strategies in Nigeria.
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