Monday, January 10,
2022 / 4:30 PM / Sponsored post by Bishal Biswas / Header Image Credit: BBC
World Logistics Partner is a private sector-led initiative that is designed to enhance the global trade flow while unlocking market access by creating new trade routes. Nigeria has recently joined hands with World Logistics Partner to improve its economic efficiency through improved global trade flow. After joining hands with World Logistics Passport, Nigeria will become a strategic hub in West Africa. Nigeria has become the eleventh country of Africa to join the World Logistics Passport. Council for the Regulation of Freight Forwarding will be acting as coordinating partner. Other African countries that are members of World Logistics Partner are Guinea, Burkina Faso, Mozambique, Zimbabwe, Botswana, Ethiopia, Kenya, Morocco, Senegal and South Africa.
The partnership with the World Logistics Partner network will open the doors for Nigerian traders and this will help in the smooth cargo operations by enhancing connectivity and efficiency. This will make the trade routes cheaper and further the access to the new markets will become faster available to Nigeria. This will also enhance trade operations in Latin America, Asia and across other African continents. Logistics companies all across the globe like TCS and VRL are seeing growth due to the bloom of e-Commerce companies, especially during the pandemic time.
While commenting on the partnership with Nigeria, Ahmed bin Sulayem, group chairman and CEO of DP World commented that there is a long-term growth market available in West Africa. Further, World Logistics Partner will be helpful for Nigeria as it will help the country's economic growth by creating jobs, boosting trade, competitive pricing of the products and creating efficiency in the supply chain. Also, the Nigerian traders will get new opportunities through networking not only within the African continent but outside the continent too.
Rotimi Amaechi, Minister of Transportation in Nigeria said that global trade opportunities will improve for the businessmen of Nigeria and this, in turn, will boost the economic growth of the country. Further, it was said that the supply chain costs will be reduced which will help in increasing the trade volumes. The partnership will also be helpful for Nigeria to help meet the vision of Africa for the African Continental Free Trade Agreement. The same will be possible by reducing the costs of logistic chains, boosting the intra-regional trade and further, competitiveness will be helpful for working in the international market.
Nigeria Is Experiencing An Economic Bloom
Currently, Nigeria is the largest economy in Africa. The industrial base of Nigeria is diverse and very vibrant. The trade interest is improving on a regional and global basis. In 2019, 25% of the GDP of the country was contributed by-product exports which accounted for $63.8 billion. The current economy of Nigeria is very diverse and it includes oil and gas, creative industry, ICT, services and agriculture.
The renewable energy sector is also helping the economy of the country by diversifying it and creating employment opportunities for the people. According to the IRENA 2020 report in Renewable Energy and Jobs Annual Review, the renewable energy sector will create job opportunities for 7 million people. Further, it is planned that the job opportunities will be available for rural Nigerian people and one-third of the jobs will be filled by women.
What To Expect From This Partnership?
It is projected that the partnership between Nigeria and World Logistics Passport will help Nigeria to increase the annual trade by approximately 5-10 % and the same is visible in other countries. It is also expected that cargo operations will start working in a more efficient way and will further increase the connectivity across the markets and the trade routes will have cheaper and faster access in other countries and within Africa. Further, this will create more job opportunities and the products will see competitive pricing and the supply chain can expect more efficiency. Everything when clubbed together will create new opportunities for the Nigerian traders with improved networking.
The economy of Nigeria is already experiencing fast-paced growth and joining hands with World Logistics Passport will further accelerate this growth. Also, the trade volume will increase, boosting the economy. Cost and time saving are also the benefits of working with World Logistics Passport along with better access to new markets, trade diversification and an increase in market shares in the export products.