This development offers a major breakthrough for businesses that have long grappled with the complexities of cross-border logistics, delays and costly trans-shipment processes, in their bid to export goods to the United Kingdom.

According to Mr. Adekunle Owobamirin, general manager, Groupage and Export Services, SIFAX Shipping, this alliance provides an opportunity for Nigerian exporters, especially SMEs, to ship goods directly to the UK without having to consolidate through trans-shipment points.

This, he added, would result in faster turnaround times, lower costs, reduced risks, and more predictable delivery schedules.

He further noted that this new service would empower local businesses to compete more confidently on the international stage.

“This is one of the most important moves we’ve made in advancing our export portfolio. We’re now positioned to offer uninterrupted export services to the UK market, giving our clients the ease and confidence they need to grow their international trade volumes.”

In addition to its UK breakthrough, SIFAX Shipping has also sealed a robust import partnership with WSC Logistics and Shotto Logistics Limited.

This agreement makes it possible for shipments originating from various parts of the world, including India and China, to be routed efficiently through SIFAX’s bonded terminals and warehouses in Nigeria.

The partnership, described as a “third-party consolidator collaboration”, enables smaller logistics firms to leverage SIFAX Group’s well-developed infrastructure, technical know-how and bonded facilities.

Owobamirin, speaking further on this development, reveals that,

“This ambitious expansion has already borne fruit, with the first trial shipments launched in June and full operations ramping up through July. Our bonded warehouse operations have been upgraded to accommodate the surge in volume. The collaboration allows us to clear and dispatch cargo seamlessly, ensuring that goods keep moving and clients experience minimal delays.

“By improving direct export routes, especially to the UK, local businesses will benefit from reduced trade barriers and costs. Furthermore, the increased volume of imports handled through WSC Logistics and Shotto Logistics Limited is expected to create more employment opportunities and boost revenue streams for local stakeholders.”

Mr. Arnold Jackson, director, State Offices Coordinating Department, NEPC said this at the 2024 edition of the International Business Conference & Expo, hosted by the Lagos Chamber of Commerce and Industry, with the theme “Invest Nigeria.”

The two-day event, which was held at the Eko Hotel & Suites, Victoria Island, Lagos, attracted key stakeholders and investors from around the globe, interested in investing in Nigeria.

Jackson, who described the partnership as ‘laudable’, further noted that the availability of less-than-container-load (LCL) services would make Nigerian products more competitive in the global market, thereby increasing the country’s export volume and foreign exchange earnings.

He further assured both SIFAX Shipping and ECU Worldwide that NEPC would promote the service to exporters the agency works with, in a bid to support their export ambitions as well as improve the country’s export volume.

It would be recalled that the first LCL vessel departed the shores of Lagos for Antwerp, Belgium, on Saturday, August 2024. This marks a significant milestone as it is the first of such service in the country.

Commenting on the landmark event, Head of Groupage at SIFAX Shipping, Mr. Adekunle Owobamirin noted that the partnership was a product of the Group’s commitment to providing business solutions capable of positively impacting the nation’s economy.

He added that the LCL export service will also support small-scale business owners and help them in reducing costs.

In his words,

“This partnership with ECU Worldwide is a testament to our commitment to providing innovative and world-class logistics solutions that will enhance Nigeria’s trade capacity and competitiveness on the global stage.

“The introduction of LCL export services will provide Nigerian exporters with more options, reduce logistics costs, and ultimately contribute to the growth of the nation’s economy. The first vessel has sailed successfully, and we are looking at supporting Nigerian small and medium-scale businesses to export their products to major markets around the world.”

Less-than-Container Load (LCL) is one of two main types of containerized transportation services. The other is Full-Container Load (FCL). LCL is optimal when you don’t fill up an entire container.

LCL allows the transportation of small cargo volumes without paying for the whole container.

The partnership will help business owners and exporters whose consignments are less than container load to access the international market.

According to Paul Linden, MD, SIFAX Logistics Company Limited, this service was offered in response to inquiries from various customers who are desirous of exporting their products but do not have the required huge volume.

He said:

“We know that many SMEs and business owners are desirous of accessing the international market, but are hampered by their lack of large volume. This service is designed particularly to address this concern. It will boost Nigeria’s export and be a game changer for our small and medium-scale businesses. We have put all facilities in place to ensure the business runs smoothly in partnership with ECU Worldwide.”

Adekunle Owobamirin, AGM, SIFAX Shipping, noted that all arrangements have been perfected to make the service a success.

“Our partners from ECU have inspected our warehouse and we have already assigned dedicated staff who would work on this service. ECU Worldwide and SIFAX Shipping is the first consolidator partnership to offer dedicated LCL export services from Nigeria to the world.

Our partners have established 2,400 direct trade lines with a presence in over 180 countries. This will allow all our customers to export their goods anywhere in the world”.