The Federal Airports Authority of Nigeria (FAAN) has increased cargo port charges from N7 to N20, marking the first upward review of the tariff in nearly two decades.
Nairametrics obtained the information exclusively from FAAN on Friday, January 30, 2026. According to the authority, the new rate takes effect immediately.
FAAN said the decision was driven by prolonged inflation, severe foreign exchange pressures, and the need to fund critical airport and cargo infrastructure upgrades.
What FAAN is saying
FAAN explained that the cargo port tariff had remained unchanged since 2008, despite major shifts in Nigeria’s macroeconomic environment over the past 18 years.
The authority said cumulative inflation over the period stood at about 287%, making the former N7 charge financially unsustainable. Based on National Bureau of Statistics (NBS) data, FAAN noted that a service priced at N7 in 2008 should now cost about N27.09 to retain the same real value.
However, the authority said it deliberately set the new tariff at N20, below the inflation-adjusted level, to limit the cost burden on cargo operators and maintain competitiveness.
“FAAN has increased tariffs after careful consideration of current economic realities. Our tariffs have remained static since 2008. Over the past 18 years, Nigeria has experienced significant inflation (approximately 287%) and a drastic depreciation of the naira. This adjustment is essential to sustain and upgrade critical airport infrastructure, which has become financially unsustainable under the old rates,” FAAN said.
The authority also cited foreign exchange pressures as a key factor. In 2008, the naira exchanged at about N118/$1, compared with roughly N1,500/$1 today. FAAN said this has driven up the naira cost of imported airport infrastructure components, including runway asphalt, aerodrome lighting systems, and fire service equipment parts, increasing operating and maintenance costs by over 1,000% in naira terms.
Clarifying concerns about multiple charges, FAAN said its cargo port charge is separate from fees charged by private concessionaires. The FAAN levy covers shared airport infrastructure such as runways, taxiways, perimeter fencing, security, access roads, and airfield lighting, while concessionaire fees relate to cargo handling, storage, and documentation within private terminals.
Tariff impact and infrastructure plans
FAAN said that even with the revised N20 tariff, Nigeria’s cargo port charges would remain competitive within the West African region. The authority noted that charges at Nigerian airports were previously lower than those at key regional hubs, including Kotoka International Airport in Ghana and Cotonou Airport in Benin.
The authority said the adjustment aligns Nigeria more closely with regional standards while preserving its attractiveness to air cargo operators and investors.
FAAN also downplayed the potential inflationary impact, stating that the cargo port charge represents only a small fraction of total air freight costs. It argued that improved infrastructure and efficiency could help offset some of the cost impact through reduced delays, faster turnaround times, and better cargo handling processes.
Revenue from the revised tariff will be reinvested in cargo-related infrastructure. Planned projects include rehabilitation of aprons and access roads, enhanced perimeter security, and upgrades to airfield lighting. FAAN also plans to deploy a Cargo Community System for digital documentation, introduce a truck call-up system at the Premier Cargo Terminal, and develop additional domestic cargo infrastructure.
FAAN said cargo operators and other industry stakeholders have been formally notified of the review and that consultations are ongoing. The authority described the tariff adjustment as a strategic move to build a more resilient, efficient, and future-ready air cargo ecosystem in Nigeria.
Why this matters
Cargo port charges are fees collected by airports to maintain and operate shared infrastructure used for air cargo operations. These include runways, taxiways, security systems, perimeter fencing, access roads, and airfield lighting. They are distinct from private cargo handling and warehouse charges.
The increase to N20 means higher per-unit revenue for FAAN and could marginally raise overall air freight costs, with possible pass-through effects on import and export pricing.
Coming 18 years after the last review, the adjustment reflects a long-delayed alignment with inflation and exchange rate realities and could influence Nigeria’s competitiveness as a regional air cargo hub.
What you should know
The FAAN tariff hike follows other recent cost increases in Nigeria’s aviation sector. On December 1, 2025, the Nigerian Civil Aviation Authority (NCAA) introduced an additional $11.5 security levy under the Advance Passenger Information System (APIS), raising the total security charge per ticket to $31.50.
The APIS levy applies to all passengers arriving in or departing from Nigeria and is remitted by airlines to the NCAA. The system supports border control, passenger tracking, and enhanced security, while also allowing airlines to recover compliance costs.
Together, these developments signal rising cost pressures across Nigeria’s aviation value chain, even as regulators and operators seek to modernise infrastructure and improve operational efficiency.
Emmanuel Bassey is a Financial Expert that has worked in the Banking and Finance Industry for over 15+ years across different banks in Nigeria
