The zone, to be known as Maritime Africa Economic City, is to be developed on a huge (1,100-ha) parcel of land and it is hoped that it will attract US$2.5B in investment. Investors will be able to repatriate all profits.

Abuja is keen to see the private sector take the lead on port development and agrees that a big expansion of the Lagos ports is unlikely, given that they are hemmed in by intense urban development. The planned new ports of Badagry and Lekki therefore offer ideal alternatives, located as they are on greenfield sites, 60km west and the same distance east of Lagos respectively.

Bagdary will have ro-ro, general cargo and fuel import terminals in addition to the container terminal. It is located on the Lagos-Benin highway, which is currently being upgraded from four to ten lanes, and a railway line is planned.

As previously reported, Badagry is being developed by a consortium led by APM Terminals and including a number of Nigerian private sector companies. Phase 1 is to have handling capacity of 1.8M TEU, which would make it bigger than any existing container terminal in Nigeria, but not as big as the new terminal at Tema in Ghana.

Development has been delayed by the deep downturn in the Nigerian economy, but trade volumes are likely to recover over the next few years. Indeed, Abuja hopes that the new FTZ will attract manufacturing, processing and industrial investors that will help to lift the country’s long term economic prospects, thereby boosting trade volumes in the process.

Project director Patrick Bird, said: “We intend to develop Maritime Africa Economic City into one of the most successful special economic zones in all of Africa. Despite the current downturn in the economy, we are fielding many enquiries from domestic and foreign companies wanting to set up in Badagry.”