Appraisal of the Importance of Maritime Transportation

Appraisal of the importance of maritime transportation to Nigeria’s economy is an effort in assessing the extent to which maritime transportation has contributed to Nigeria’s economy through gross domestic product (GDP) output. The paper examines the history of maritime activities in Nigeria and level its impact to the Nigeria economy. The paper x-rayed some problems and challenges that hinder the full realisation of the potentials of maritime transportation. Some of the identified problems and challenges include: insecurity, inadequate infrastructure, inadequate capital for investment and maintenance of ships, poor incentives for investors, lack of indigenous carrier vessels, sea unworthiness of such indigenous vessels where they are available, and poor integrated water transport systems. Solutions as to the way forward in enhancing the potentials of the sector as a prime mover in the Nigeria’s economy were also discussed, especially on how implementation of two important legislation the Coastal and Inland Shipping (Cabotage) Act 2003 and Nigeria Maritime Administration and Safety Agency (NIMASA) Act 2007 should enhance the fortunes of maritime transportation. The provisions of these legislation are appraised to understand their intents and effects towards changing the trend of domination of the maritime transportation industry by foreign vessels and owners. The paper concludes by recommending that government doubles her effort in addressing gaps in actualisation the intention of participation of indigenous shippers in the maritime transportation.