Dangote Plans Own Ships to Boost Regional Exports

Dangote Industries is set to acquire its own vessels to transport products from Nigeria to markets across West and Central Africa, as the company seeks to overcome limited shipping capacity and rising transportation costs. Speaking at a seminar on non-oil exports, Head of International Trade and Export at Dangote Cement, Sada Ladan-Baki, said the company had faced difficulties securing vessels for regional shipments. She revealed that Dangote was once unable to secure a vessel to transport a 1,000-metric-tonne consignment to Ghana, despite the relatively short distance. According to her, relying on road transportation also increases costs, as goods passing through countries such as Benin and Togo are subjected to taxes and other charges, making Nigerian exports less competitive.

The planned acquisition comes as Dangote’s businesses increasingly rely on maritime transportation, particularly following the expansion of its $20 billion refinery in Lagos. The refinery has contributed significantly to the growth of Nigeria’s seaborne petroleum-product exports and is expected to handle hundreds of vessels annually. President of the Indigenous Shipping Association of Nigeria, Otunba Shola Adewumi, welcomed Dangote’s plan but cautioned that acquiring vessels is only the beginning, as their maintenance and management could be challenging. He urged the company to register the vessels under the Nigerian flag, saying this would boost the country’s fleet capacity, strengthen Nigeria’s position in international shipping and create more employment opportunities for Nigerian seafarers and other maritime professionals.

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