Nigeria's leading finance and market intelligence news report.

Shippers Council, CRCC set to complete negotiation for 80,000TEUs Ibadan port

The Nigerian Shippers’ Council (NSC) has said that the contract negotiation between the Federal Government and CRCC, the preferred bidder for the construction of the Ibadan Inland Dry Port, is nearing completion.

According to a statement by Rakiya Zubairu, head, Public Relations of the Council, Nigerian Shippers’ Council is the guarantor to the concession of the 80,000 Twenty-foot Equivalent Units (TEUs) capacity dry port to be built on the basis of Public Private Partnership agreement in Ibadan, Oyo State capital.

On completion, she said, the facility is expected to contribute to addressing the problem of port congestion and gridlock in Apapa as it will be designated as port of destination where cargo would be consolidated for import and export, especially in the South-Western part of Nigeria.

She stated that the dry port would provide a competitive cargo sorting centre, bulk breaking as well as cargo-tracking and truck management services.

“This project, which has been estimated at US$94,000,000.00 (N43,240,000,000.00), would also boost employment in Oyo State and other cities in the environs,” she stated.

On effective cargo evacuation, she stated that the Lagos-Kano standard gauge railway currently under construction is aligned to the proposed dry port, making it easy to convey cargo from the seaports in Lagos and to all destinations along the route.

“The negotiations emphasised the utilisation of local content at each stage of development and operation of the facility. Having concluded this stage, an Updated Full Business Case Compliance report will be produced. A draft agreement will be presented to the Federal Ministry of Justice and sent to the Infrastructure Concession Regulatory Commission (ICRC) for vetting, after which the Minister of Transportation will present the agreement to the Federal Executive Council (FEC),” Zubairu explained.

According to her, the concessionaire will then be taken to the site for sod-turning, and it is expected that construction will commence immediately after the ceremony with 12 months completion timeline.

At the negotiation meeting, which was enabled by Aminu Dikko and Mohammed Kumalia, transaction advisors, Hassan Bello, executive Secretary/CEO of Shippers’ Council, expressed satisfaction with the proceedings.

He disclosed that all parties expressed firm commitment to the actualisation of the project.

The negotiation was moderated by the Federal Ministry of Transportation led by the acting Permanent Secretary, and Auwalu Suleiman, director, Maritime Services while Chidi Izuwa, director-general of ICRC together with Jummai Katagum, who represented the Federal Ministry of Finance, were also part of the 4-day negotiation.

Also present, was Olubamiwo Adeosun, secretary to Government of Oyo State and CRCC, which is the preferred bidder, led by Jacques Liao, deputy managing director.

Whatsapp mobile

Get real time updates directly on you device, subscribe now.