The Managing Director of the Nigerian Railway Corporation (NRC), Dr Kayode Opeifa, said an integrated transportation and logistics system that supports production, trade, and mobility would strengthen Nigeria’s economic resilience and competitiveness.
Opeifa spoke on the theme: “Scaling the Future: Building a Resilient and Efficient Mobility and Logistics Ecosystem in Nigeria,” at the BusinessDay Mobility and Logistics Conference held at Four Points by Sheraton, Victoria Island, Lagos.
He said inefficiencies in the transportation network contribute to congestion, rising logistics costs, delayed deliveries, reduced productivity and higher prices of goods and services.
Opeifa said rail transportation occupies a strategic position in developing an efficient national transport network, adding that an integrated system with rail as a key component could translate improved connectivity into greater economic competitiveness and growth.
He explained that rail offers high-capacity transport for long-distance passenger and freight movement, reduces pressure on highways, and strengthens connections among seaports, industrial clusters, inland terminals, and urban centres.
Opeifa said different modes of transportation should complement one another rather than compete.
He added: “Rail should not be viewed as a competitor to road, maritime or air transportation, but each should continue to develop as complementary components of an effective integrated transport system.”
He noted that while road transportation remains essential for cargo collection and last-mile delivery, maritime transport connects Nigeria to international trade, and inland terminals facilitate cargo handling and distribution. Rail, he added, provides a high-capacity link between these facilities and production and consumption centres.
Opeifa said seamless integration of the various transport modes would reduce avoidable logistics costs, promote regional commerce, improve market access, and strengthen the competitiveness of Nigerian products.
Highlighting the corporation’s priorities since assuming office, Opeifa said the NRC’s track access policy offers private investors opportunities to operate passenger and freight services along the country’s railway corridors.
He also outlined the corporation’s Vision 2:5:10:20, which focuses on optimising existing railway assets, restoring viable dormant corridors, expanding freight operations, strengthening private-sector partnerships and progressively extending the national rail network.
He said the corporation aims to expand the railway network from approximately 4,000 kilometres to 10,000 kilometres within five years, with a long-term target of about 20,000 kilometres.
“Our ambition is to consistently grow the networks from approximately 4,000 kilometres that we have met, to 10,000 kilometres within five years and ultimately achieving about 20,000 kilometres over the long term.
These are no doubt strategic targets that require sustained investment and implementation,” he said.
Opeifa explained that immediate priorities include improving the utilisation of the country’s two legacy narrow-gauge lines and three standard-gauge lines, restoring operational capacity, expanding freight services and strengthening links between rail infrastructure, ports and inland terminals.
He said these measures would maximise the value of existing railway assets while laying the foundation for future network expansion.
The railway chief also highlighted ongoing and planned railway infrastructure projects under President Bola Ahmed Tinubu’s administration.
He said efforts were underway to extend the standard-gauge railway to Apapa Port and connect to Tin Can Island Port, aiming to improve freight movement and strengthen links between the rail network and maritime facilities.
Opeifa added that the Kano–Maradi railway line is expected to be completed in 2027, while plans for a central railway corridor linking the Warri–Itakpe line to Abuja are underway.
Opeifa said the government also plans to commence construction of the Marina–Lekki railway line, while efforts are underway to support the Kaduna–Kano inter-state train service and the Kano State Government’s proposed intra-state rail services.
He said the projects formed part of broader efforts to expand rail connectivity, improve passenger mobility and enhance the movement of goods across the country.
Speaking at the conference, the Director-General of the Africa Centre for Supply Chain (ACSC), Dr Obiora Madu, warned that small-scale operators would continue to face difficulties if Nigeria failed to achieve effective integration across its transportation and logistics networks.
Madu estimated that the country loses more than N3.6 trillion to inefficiencies and distortions in the transportation and logistics sector, arguing that a connected system would unlock opportunities across the industry.
“If we don’t get the logistics right, the small-scale businesses would not be optimised. We do not need digital islands, we do not need superlative infrastructure, what we need is connected systems,” he said.
He maintained that building a resilient logistics ecosystem should not focus solely on expanding individual components of the transport network but on improving coordination, connectivity and the capacity of the entire system to withstand disruptions.
Similarly, JanksMay Global Services Ltd. Managing Director, Ifeanyi Onwuachu, said significant infrastructure deficits continued to negatively affect small-scale operators in the logistics sector.
He said the challenges operators face underscore the need for better infrastructure and more efficient transport links to support business operations.
Earlier, in his welcome address, the Deputy Editor-in-Chief of BusinessDay, Dr Innocent Nna, described the Mobility and Logistics Conference as a platform for examining and addressing persistent gaps in Nigeria’s logistics sector.
Nna urged stakeholders to engage in frank discussions on the challenges facing the country’s transportation and logistics systems and to identify practical solutions to improve efficiency across the sector.
The conference brought together industry stakeholders to examine strategies for developing a more integrated, efficient, and resilient mobility and logistics ecosystem that can support economic growth and improve the competitiveness of Nigerian businesses
