Dr Olusola Obabori, Chief Executive Officer, Red Star Express, has called on the three levels of governments to address the challenges inhibiting growth of the logistics industry to deepen economic growth.
Obabori made the call during the November Breakfast meeting of the Nigerian-American Chamber of Commerce (NACC) on Friday in Lagos.
The meeting was themed: “The Nigerian Logistics Industry: Current Trends and Persistent Challenges.”
Obabori said that there was a need to strategically position the industry to be globally-competitive to actualise its potential growth of N57.5 billion by 2022.
According to him, data from the National Bureau of Statistics (NBS), shows that the industry is worth about N250 billion, with a growth rate of about 20 per cent, as at quarter one, 2019.
He attributed the growth of the industry to robust e-commerce ecosystem, big data, technology disruption, innovation and changing landscape of the global logistics industry.
Obabori said that addressing the challenges of inadequate infrastructure, fuel costs, high interest rate, multiple taxation, access to capital, improvement of regulatory environment would place the industry on growth trajectory.
The expert emphasised that effective implementation of the Economic Recovery and Growth Plan (ERGP) was crucial to boost the competitiveness and Gross Domestic Product (GDP) of the country.
Obabori said that safety, efficiency, speed and ease in operation were fundamental to boost the county’s logistics performance index.
Also, Ms Christine Kelly, Commercial Attache, U.S. Embassy, said that the phase of global logistic would continue to change and have an economic impact on the world.
“Logistics is no longer just the flow of goods and services but also the flow of information. This sector knows that data is the life line of a smooth operation.
“This is more important than ever before, as data can connect companies with their customers. Same way, airports and shipping lines connects goods to consumers.
“It is in this capacity that logistics has impacted innovations and economic platforms,’’ she said.
Kelly said that Nigeria had the potential to leapfrog by finding a niche in the data and information management aspect of logistics, saying that the country stands to benefit economically from the promising logistic sector.
Earlier, President, Nigerian-American Chamber of Commerce (NACC), Oluwatoyin Akomolafe, said that Nigeria should revolutionise its logistic industry to maximise opportunities in its various trade agreements.
He said that a stronger logistics industry would catalyse economic growth, reduce cost of goods and services and enable Nigeria evolve to West Africa trade hub.
Edited by Edwin Nwachukwu/Adeleye Ajayi
- Tokyo 2020: Olympic Eagles bounce back to reckoning
- Sabre researcher says tourism revenue in Africa Could Increase by 27%
- Police rescue another boy kidnapped in Kano, arrest 3 suspects
- Govt. officials conniving with pipeline vandals must be sanctioned,prosecuted-Lawan
- Obaseki confident of a second term, hinges faith on reforms, policies
- FG to go tough on miners engaging in sharp practices
- Bassa traditional rulers commend army over successes
- CAN President preaches tolerance, mutual respect for national cohesion
- Gov. Yahaya Bello’s re-election will change the fortunes of Kogi— FCT Minister
- Zimbabwe banks start dispensing new bank notes
- Ihedioha commiserates with Imo Muslims over Chief Imam’s death
- OAuGF begins training of staff to improve auditing service delivery in MDAs
- Kogi Election: I-G says Police will be professional
- Dana Air flew 2.7m passengers in 11 years – Official
- 33,686 traffic offenders penalised in Ogun this year — FRSC
- Anglican Primate urges Nigeria to remain hopeful
- Kyari tasks NNPC Retail Ltd on unadulterated products
- Oyo govt. to procure communication equipment worth N178.7m for security agencies
- Ministry pledges to partner with e-waste producers
- Akande, a man of principle, integrity – Lai Mohammed