The Nigerian Shippers’ Council (NSC) has appealed to the fiscal authorities to review downward or completely remove war risk insurance surcharges imposed on vessels berthing at Nigerian ports in order to boost the growth of the nation’s Blue Economy.
The Executive Secretary/CEO of the council, Dr. Akutah Pius, in his goodwill message titled “Burden of War Risk Insurance Surcharge on Nigerian Maritime Trade – A Case for Review” delivered at the 2025 Maritime Reporters Association of Nigeria (MARAN) Annual Lecture series, expressed the concerns of industry stakeholders, government agencies, and economic actors about the undesirability of the war risk insurance surcharges for the maritime sector.
Despite remarkable progress in maritime security, the industry expert lamented that Nigeria remained unfairly classified as a high-risk shipping zone, attracting exorbitant war risk insurance premiums and surcharges.
Pius maintained that the NSC had consistently canvassed the review and removal of the war risk insurance surcharge, believing that it is no longer justifiable given the improved security metrics and Nigeria’s demonstrable commitment to safe shipping.
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According to him, the Council is currently considering partnering with international underwriters, such as Lloyd’s Market Association, and P&I Clubs, to canvass for a data-driven reassessment of the risk status of Nigerian waters.
The Executive Secretary also harped on the need for continued collaboration between government, the private sector, the media, and international partners to frontally tackle the fiscal challenge, even as he restated the NSC’s commitment to building a cost-effective, secure, and competitive maritime sector for improved performance of the nation’s maritime sector and strongly positioning it for global competitiveness.
Industry experts believe the sustained clamour by the NSC for the removal or downward review of war risk insurance surcharges is a desirable step towards reducing the cost of doing business in Nigeria’s maritime industry and improving its contributions to the nation’s Gross Domestic Product (GDP).
