Nigeria’s Minister of Marine and Blue Economy, Adegboyega Oyetola, has declared an imminent end to the longstanding regime of cabotage waivers granted to foreign shipping operators, in a bid to boost indigenous capacity.
Oyetola made the declaration in Abuja, while receiving a delegation from NNPC Shipping, Swedish maritime giant Stena Bulk, and Caverton Offshore Support Group.
The visit marked the formal unveiling of Unity Shipping World (USW), a new joint venture involving the three companies aimed at providing crude oil, refined products, and LNG tanker operations within Nigeria and internationally.
“The era of indiscriminate waivers is coming to an end,” Oyetola said. “We cannot continue to undermine our local capacity under the guise of temporary foreign intervention. It is time to build Nigerian tonnage, support Nigerian jobs, and give indigenous operators a fair chance to thrive. That is the only sustainable path to maritime development.”
The Cabotage Act of 2003 restricted Nigeria’s inland and coastal shipping routes to Nigerian-owned, built, and crewed vessels. But a system of waivers introduced to make up for shortfalls in local capacity has often seen foreign vessels dominate these routes, to the detriment of local players.
To reverse this trend, Oyetola stressed that Nigeria must now back words with action.
Fast track
He directed the Nigerian Maritime Administration and Safety Agency (NIMASA) to fast-track the dissolving of the Cabotage Vessel Financing Fund (CVFF), a levy pool collected to help local shipowners acquire vessels.
“The disbursement of the CVFF is no longer optional; it is imperative. Our indigenous operators must be empowered to acquire modern vessels and effectively render services that have, for too long, been dominated by foreign shipping concerns,” he said.
Oyetola also confirmed plans to launch the national shipping line through a public/private partnership, a move he said would make Nigeria a regional force in maritime logistics.
Welcoming the development, Caverton Offshore Support Group CEO, Bode Makanjuola, described Unity Shipping World as “a game-changer” for Nigeria’s maritime landscape.
He said the company will focus on acquiring a modern fleet and building local human capital.
“This partnership is the culmination of extensive planning and shared vision,” Makanjuola said. “It combines local expertise with international best practices to create a maritime powerhouse. Unity Shipping World will proudly fly the Nigerian flag and play a critical role in training and empowering Nigerian seafarers.”
Managing Director of NNPC Shipping, Panos Gliatis, added that the partnership is strategic.
“With this alliance, we are enhancing domestic refining, imports, and exports - reinforcing Nigeria’s pivotal role in global energy logistics,” he said.
President and CEO of Stena Bulk, Erik Hånell, commented: “We are committed to operational excellence and expanding into key energy markets. This partnership supports our long-term strategy while advancing Nigeria’s energy and shipping landscape.”
