APM Terminals Commits to Sustaining Apapa-Ibadan Cargo Rail Service

To ease congestion and improve the efficiency of cargo evacuation from the Apapa seaport, APM Terminals Nigeria has reaffirmed its commitment to maintaining the Apapa-Ibadan Standard Gauge rail service.

This service ensures a smooth cargo flow between Apapa Port and the Nigerian Railway Corporation (NRC) Freight Yard in Moniya, Ibadan, Oyo State, with a focus on efficient evacuation and reducing pressure on road transport.

Caroline Aubert-Adewuyi, Chief Commercial Officer of APM Terminals Nigeria, made the announcement during the launch of the Apapa-Ibadan standard gauge rail service for container transport. She explained that the rail service would operate like an airport conveyor belt system, efficiently handling imports and exports on a fixed schedule without interruptions.

“Previously, unpredictable schedules made cargo planning challenging for customers. With our revamped service, we now offer a reliable, structured timetable, departing three times a week to ensure effective cargo movement from Apapa to Ibadan and back,” Aubert-Adewuyi said. She highlighted the service as a cost-effective alternative to road transport, aiming to ease the persistent traffic congestion in Apapa, which has driven up logistics costs.

In addition, she introduced a simplified payment system, where customers now make payments directly to APM Terminals Apapa, which will manage payments to other stakeholders involved in the rail service.

Courage Obadagbonyi, Chief Finance Officer of APM Terminals Nigeria, emphasized the importance of the multi-modal approach at Apapa Port, integrating barge, road, and rail transport to improve cargo handling. He also shared that the port had seen a 43% growth in export volumes over the past two years, reflecting the positive effects of investments in rail logistics.

Obadagbonyi reiterated APM Terminals’ commitment to long-term sustainability and ensuring continued efficiency in the Apapa-Ibadan rail service. He added that the initiative aligns with the company’s ongoing investment efforts at the Lagos Port Complex.

Dr. Kayode Opeifa, Managing Director of the Nigerian Railway Corporation (NRC), acknowledged the fruitful collaboration between NRC and APM Terminals in facilitating container traffic. He noted that container transportation on the new standard gauge line officially began in September 2023, with logistics firms like Bueno Logistics and Transco Africa Logistics among the early users.

Opeifa also revealed that two more rail lines are nearing completion at APM Terminals Apapa, bringing the total number of standard gauge lines to three.

Barrister Pius Akuta, Executive Secretary/CEO of the Nigerian Shippers Council (NSC), commended the partnership between NRC and APM Terminals, praising rail transport as the most cost-effective and secure mode of moving goods nationwide.

The new service offers a more efficient, environmentally friendly, and cost-effective option compared to road transport. Operating on a fixed schedule, the trains will depart from Apapa on Mondays, Wednesdays, and Fridays, with each trip capable of transporting up to 35 wagons, carrying either 35 forty-foot containers or 70 twenty-foot containers.