Home General News Slow digital integration, rivalry mar NSW’s odds ahead of Q1 take-off

Slow digital integration, rivalry mar NSW’s odds ahead of Q1 take-off

1
0


• Nigeria loses $8b in trade revenue
• Customs, ONSA’s exit restricts coverage, weakens commitment
• Key agencies adopt email communication to coordinate shared responsibilities

The planned take-off of the National Single Window (NSW) in the first quarter of 2026 hangs in the balance with overlapping digitalisation, weak interface, commitment to separate platforms, institutional rivalries and absence of bidding legal frameworks serving as major constraints.

While the migration has stalled for over a decade, the inability to timely execute the NSW may have cost Nigeria an estimated $8 billion in trade-related revenue since President Bola Tinubu assumed office.

But the President said the government is committed to changing the course of history, not only to stop the huge losses but as part of the administration’s agenda to enhance trade facilitation and improve the ease of doing business.

Thus, the President has given relevant agencies till the end of the year to close competing platforms and migrate trade to the much-expected platforms, which successive administrations – Goodluck Jonathan (who started the programme) and late Muhammadu Buhari – could not achieve.

The NSW is expected to streamline trade, reduce the cost of processing export and significantly reduce the turnaround time of documentation.

Successive administrations made a fruitless effort to migrate the country’s trade operations to a single window. The Director General of the World Trade Organisation (WTO), Dr Okonjo Iweala, is famous for an epic battle she fought with relevant agencies on the issue.

The Guardian understands relevant agencies, which are supposed to implement it, continue to push back on the initiative, which is viewed as a game-changer in reducing official graft, reducing turnaround time in cargo clearance and streamlining port operations.

The Federal Government has set January 1 as the new take-off date of the NSW. The Presidential Steering Committee said it is working toward achieving the new target. But there is no evidence of inter-agency interface and coordination to deliver on the target.

The Director of the National Single Window (NSW) Project, Tola Fakolade, told The Guardian that the committee overseeing the implementation of the project has been meeting on a quarterly basis since its inauguration.

In a response to inquiries about the progress of the initiative and inter-agency collaboration, Fakolade confirmed that the committee met at the State House last week to ensure the directives of the President regarding the January take-off are met.

“The Committee has met every quarter since it was inaugurated. We held our last session just last week at the State House. The purpose is to keep momentum on the implementation of the NSW,” Fakolade said.

When asked about ensuring that key agencies embrace digitisation, Fakolade held back specific comment, saying the focus is to ensure a fully digitised trade ecosystem by 2026.

The President told Nigerians in April last year, when he inaugurated the steering committee to fast-track the process, that the country loses $4 billion in revenue yearly to delays, ineffective trade facilitation and corruption at the country’s ports, which the NSW is meant to address.

The President said paperless trade is estimated to generate a yearly economic benefit of around $2.7 billion, as countries like Singapore, South Korea, Kenya, and Saudi Arabia have seen significant improvements in trade efficiency after migrating to a single window system.

Also, the Executive Secretary of the Nigerian Shippers’ Council, Dr Pius Akutah, referenced international models like Ghana’s Integrated Customs Management System (ICUMS), which has increased its revenue up by 34 per cent and cut clearance time by 60 per cent as well as Morocco’s PortNet, that reduced port transaction time from 16 to seven days Kenya’s KRA reforms is said to have significantly reduced clearance times by 45 per cent in Mombasa Port.

The Guardian learnt that only a few agencies have digitised their operations, while others still operate largely manually, slowing documentation and increasing corruption risk. End-to-end digital platforms that integrate stakeholders are also absent due to the lack of complete digitisation.

The NSW project was first initiated in 2013 as part of broader port reform efforts to streamline trade processes and eliminate bottlenecks at the nation’s seaports. It has faced repeated delays in execution, until the latest January 2026 deadline by Tinubu for operationalisation of the NSW.

But inter-agency mistrust and competition for who hosts the system and acts as the lead agency, lack of a clear legal framework, persistent infrastructure and connectivity deficits are among the unaddressed challenges.

Experts say successful implementation of a single window platform requires robust nationwide broadband coverage, seamless inter-agency data integration and 24/7 system uptime —capabilities that Nigeria’s current ICT infrastructure does not support.

Multiple government agencies involved in the cargo clearance process at ports have been entangled in turf wars driven by competition for control over data, revenue and institutional influence.

This has significantly hindered integration efforts and resulted in substantial revenue losses for the country.

Agencies had outrightly resisted full participation in the NSW platform with the loss of discretionary powers or internally generated revenue.

Furthermore, the absence of harmonised operations and the existence of overlapping information technology systems among agencies continue to impede progress toward the unified trade facilitation interface.

To drive the implementation of the NSW previously, the Nigeria Integrated Customs Information System (NICIS) was developed and funded through the Comprehensive Import Supervision Scheme (CISS), with disbursements from the Central Bank of Nigeria (CBN) under the supervision of the Federal Ministry of Finance.

The platform was designed to integrate over 20 government agencies.

The Nigeria Customs Service (NCS) led the initiative with the introduction of NICIS II; however, only customs duties were paid through the NICIS, while other port agencies are yet to fully integrate their payment systems.

In addition to NICIS, various agencies have developed standalone digital platforms, such as the Nigerian Ports Authority’s (NPA) Port Community System (PCS), the Nigerian Maritime Administration and Safety Agency’s (NIMASA) Maritime Enhanced Monitoring System (MEMS), the Nigerian Shippers’ Council’s (NSC) Electronic Regulatory Process Portal (ERPP) and the National Inland Waterways Authority’s (NIWA) Electronic Register and Information System (ERIS).

Similarly, the Standards Organisation of Nigeria (SON) introduced its Electronic Product Certificate (EPC) and other technology platforms, aimed at curbing the importation of substandard goods.

Unfortunately, these platforms remain siloed and unconnected.

Despite initial claims that over 20 agencies had been integrated into NICIS, not all are actively utilising the system. Some agencies have withdrawn from the platform entirely.

This withdrawal trend has raised serious concerns among stakeholders, especially considering that the Federal Government has invested huge resources in NICIS over the past decade.

Rather than expanding or upgrading the system to meet broader national needs, it is increasingly being sidelined.

The Office of the National Security Adviser (ONSA) had withdrawn from the planned NSW platform, citing concerns over the potential exposure of sensitive national security information.
Similarly, the NCS has also exited the platform, hosting its operations in a separate system known as the ‘B’Odogwu’ platform.

Rather than operating from a centralised location, agencies remain scattered across various platforms within the ports and rely primarily on email communications to coordinate their activities – further slowing processes and compounding inefficiencies.

A government source who spoke on condition of anonymity revealed that Customs retained overriding control over the NICIS platform, while other agencies had limited operational authority.

According to the source, this structure allowed Customs to override decisions made by other agencies. For instance, if an agency flagged a container for inspection, Customs could unilaterally release the cargo, thereby undermining inter-agency collaboration and reinforcing institutional silos.

In addition, many ministries, departments, and agencies (MDAs) perceive ICT initiatives as potential revenue streams.

Instead of consolidating their systems under the NSW framework, several agencies have pursued separate ICT contracts, some spanning multiple years, even as the Federal Government pushes for a centralised digital trade facilitation system.

Experts warned that this uncoordinated rush to sign independent contracts just before the full implementation of the NSW could create legal complications and result in overlapping or redundant digital infrastructure.

“Every agency wants to build its fortress. You have Customs protecting its NICIS, the NPA developing the Port Community System, and other MDAs launching parallel IT platforms. Instead of digital convergence, we are witnessing digital fragmentation,” the source said.

The Minister of Marine and Blue Economy, Adegboyega Oyetola, acknowledged that while there has been some progress in the implementation of the NSW, it remains insufficient.

He noted that many stakeholders still advocate for the physical co-location of all relevant agencies at the ports to ensure that necessary clearances and signatures can be obtained seamlessly in one place.

Adding to the complexity is the absence of strong legal backing; experts say that without an Act of Parliament or a binding Executive Order mandating the cooperation of all border agencies, NSW remains vulnerable to institutional resistance and the ebb and flow of political will.

The President/Chairman of Council, Lagos Chamber of Commerce and Industry (LCCI), Mr. Gabriel Idahosa, said inefficiencies in port operations are characterised by manual processes, poor coordination among port agencies, regulatory overlap, bureaucracy, and multiple agencies with overlapping functions, creating confusion and delay.

He also lamented that end-to-end digital platforms that integrate stakeholders are absent due to the lack of complete digitisation.

Idahosa said a unified, transparent, and digitally accessible platform must be implemented for all port users, customs, shipping lines, terminal operators, and freight forwarders to reduce human interface and boost trade.

The President of the National Council of Managing Directors of Licensed Customs Agents (NCMDLCA), Lucky Amiwero, expressed deep concern over the disjointed nature of the ongoing implementation.

He stated that true success hinges on harmonised systems, inter-agency cooperation, and leadership by experts, not revenue agencies.

“Many agencies like Customs, the CBN, NPA, and others are already running individual systems. But the lack of harmonisation and legal backing remains a major setback,” he said.

Amiwero criticised the fragmented approach by key government bodies, which has led to delays despite repeated public commitments.

Amiwero warned that without harmonised data and central coordination, the platform’s purpose would be defeated.

He pointed to rivalry among agencies as a core issue, saying, “Customs wants to lead, NPA wants to lead, NSC wants to lead; this is creating competition instead of collaboration.”

Also, the former President of the Shippers Association of Lagos State (SALS), Jonathan Nicol, blamed vested interests for resisting past efforts to migrate to a proper single window platform.

He welcomed the current administration’s development of B’Odogwu, a homegrown single window system, calling it a step in the right direction.

However, Nicol stressed that the system’s effectiveness would depend heavily on uninterrupted internet connectivity.

“The single window needs internet facilities unwaveringly to remain in business. Once there is a failure, the system collapses,” he warned.

Nicol urged gradual onboarding of all stakeholders—private sector players, shipping companies, terminal operators, commercial banks, and the CBN, accompanied by large-scale training.

He noted that the integration of tools like Form M management, which links banks and the CBN, will improve financial transparency and oversight.

Adding his voice, the President of the African Professional Freight Forwarders and Logistics of Nigeria (APFFLON), Frank Ogunojemite, warned that the persistent delay in operationalising the NSW project is having dire consequences on Nigeria’s economy and reputation as a regional trading hub.

He said the prolonged clearance processes are inflating logistics costs, escalating demurrage charges, and forcing businesses to bear substantial losses.

According to him, Nigeria risks losing investors and ceding its trade market to more efficient West African ports if nothing changes.

Ogunojemite stressed that beyond economic impact, the delay is depriving the government of potential revenue gains from improved compliance and streamlined trade processes.

LEAVE A REPLY

Please enter your comment!
Please enter your name here