FAAN Increases Cargo Port Charges After 18 Years Due to Economic Realities

The Federal Airport Authority of Nigeria (FAAN) has raised its cargo port charges by 20%, marking the first increase in nearly two decades. The adjustment, effective immediately, was driven by inflation and foreign exchange pressures to finance cargo infrastructure upgrades.

Despite Nigeria's significant economic changes since 2008, the cargo tariffs remained unchanged, leading to a cumulative inflation rate of 287%. FAAN's new tariff aims to alleviate the financial burden on cargo operators while considering current economic realities.

The increase was necessary to sustain critical airport infrastructure upgrades, as the old rates had become financially unsustainable. FAAN plans to reinvest the increased revenue into cargo-related infrastructure projects, including apron rehabilitation, perimeter security upgrades, and digital cargo communication systems.