Analysing the Effect of Port Efficiency on Trade Competitiveness: Evidence from Nigerian Seaports

Port efficiency is a critical enabler of trade competitiveness for maritime-dependent economies, and Nigerian ports have consistently attracted criticism for inefficiencies that inflate trade costs. This study analyses the effect of port operational efficiency on trade competitiveness, using cross-sectional and time-series data from Apapa, Tin Can Island, Onne, and Calabar seaports. Port efficiency is measured through a composite index incorporating vessel turnaround time, container dwell time, crane productivity, and gate waiting time, drawn from Nigerian Ports Authority operational records and shipper surveys involving 80 importers and exporters. Trade competitiveness is measured through export concentration ratios, bilateral trade volumes, and exporter satisfaction scores. Panel regression analysis reveals a statistically significant inverse relationship between dwell time and export competitiveness, with each additional day of import dwell time associated with a 0.6 percent reduction in bilateral trade competitiveness with key trading partners. Port efficiency differentials across studied ports explain approximately 22 percent of variation in shipper route choice. The study addresses a gap in the literature by providing empirical measurement of port efficiency-competitiveness relationships using Nigerian data rather than cross-continental extrapolations. Structural equation modelling further reveals that port efficiency partially mediates the effect of logistics infrastructure investment on trade competitiveness. Recommendations include performance-based concessionaire regulation, independent efficiency audits, and real-time port performance data publication. Keywords: port efficiency, trade competitiveness, Nigerian seaports, dwell time, maritime logistics.