ETO boosts agro-exports by 464%, saves $1.7bn, ends port extortion

Cargo-container

By Steve Agbota                                   

[email protected]

 

Stakeholders in the maritime industry have lauded the rollout of the electronic call-up system, codenamed ETO, saying it now saves Nigeria more than $1.7 billion annually by eradicating port congestion, curbing trucker extortion and dismantling illegal checkpoints along the Lagos port corridors.

The figure reflects the staggering annual losses previously inflicted on the nation due to logistical bottlenecks at its ports.

ETO is the product of a partnership between the Nigerian Ports Authority (NPA) and Truck Transit Park Limited (TTP) and has transformed how cargo and freight movements are coordinated.

For decades, the areas surrounding the Lagos Port Complex (LPC) and Tin-Can Island were notorious for relentless gridlock, economic drain, and operational chaos. Today, emerging data points to a remarkable turnaround: technology-driven port management is not only streamlining operations but also redefining efficiency along one of Nigeria’s most critical economic arteries.

The Managing Director of TTP, Jama Onwubuariri, said that the successful implementation of the “Eto” system has impacted port operations positively and prevented further economic losses for the nation.

“As of 2018 or 2019, there was a report done by the Lagos Chamber of Commerce and Industries. It says that Nigeria is losing $1.7 billion annually due to congestion along the ports. The money is being lost due to time factors—the delay in the export and import of goods and services, the increase in the cost of goods and services because of the delays, the inefficiency in the terminals, the rejection of Nigeria’s products abroad because they spoil while waiting to get to the port, and the lack of competitiveness of Nigerian ports compared to other ports around us. So this is how Nigeria is losing that money. Now that the congestion is no longer there, agro-products can move faster. Nigeria is no longer bleeding to that extent. We have not seen LCCI come up with another statistic that we can refer to,” he said.

He added that between 2021 and today, agro-exports have increased by over 464 percent from Nigeria to other countries, noting that this has generated significant foreign currency revenue for the country.

He revealed that the system has also impacted port operations as the volume of cargo handled by these ports has increased because trucks are arriving faster. “We are also working with the terminal operators to improve their own speed. If we’re sending 600 trucks, we are putting them under pressure to treat them quickly and exit them. The cost of haulage has also reduced, and when the cost of haulage reduces, the prices of goods being carried are also impacted. These are the ways we have improved port operations,” he said.

Meanwhile, he revealed plans to introduce a series of new technologies to further facilitate cargo movement from the seaports in 2026, noting that the company has facilitated the movement of over 900,000 trucks into Nigerian ports this year.

According to him, the company has deployed technologies to help shippers, transporters, port operators, terminal operators, and FMCG companies improve the quality of their operations and facility management, ensuring that goods, vehicles, and people move quickly and efficiently. “And that is what we have done for the past five years,” he said.

On plans for next year, he said: “We are stepping up the system to ensure that new technologies are deployed to reduce human interference. Currently, we are investing in an Electronic Tagging System. We have also designed what is called an e-column Interchange Transaction Log and the YAD traffic management solution, among others, to eliminate delays.”

He said these new technologies aim to ensure seamless truck movement, guarantee cargo for truckers, and enhance security.

Giving a brief insight into how the Electronic Tagging System works, he said: “The truck has a tag which is read by cameras and e-tag readers at the port gate. The driver comes, waits, the barrier opens because his tag is read against the tag reader, and he goes in. This identity is maintained for that truck throughout its operations in the maritime business. You can use the Electronic Tagging System to enter multiple facilities.”

Onwubuariri said the company is also liaising with relevant agencies to integrate ETO into the single window platform which the Federal Government plans to launch next year.

He disclosed plans to extend ETO to other states of the federation. “On the infrastructure side, we are currently expanding to other states in Nigeria such as Cross River, Abia, Kaduna, Bauchi, and Yobe. These are states we are currently in talks with. We will deploy ETO both as a traffic management and infrastructure management solution. By next year, more development will unfold,” he stated.

Speaking on the expiration of its license, Onwubuariri said he is optimistic that it will be renewed, considering the significant impact ETO has made over the years. He assured that more technologies are coming in the next phase of operations.

“Everything that needs to be done on our part for the license renewal has been done. We have what they call performance indicators. We have submitted our request for a new license. The feedback we have received is that it is under review, so it is not in our hands. Our job is to make sure that the obligations in our contract are fulfilled, and we have done that. The next step is with the Nigerian Ports Authority (NPA),” he said.

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