Informal Logistics Handling: The Backbone of Nigeria's Food Supply

In the bustling markets and remote villages of Nigeria, the silent yet crucial work of informal logistics handlers known as Charter-men ensures that food commodities reach their destinations. These dedicated individuals, often driving trucks ranging from small pick-ups to large articulated lorries, are the backbone of the country’s food commodity trading sector, navigating complex logistics with skill and determination.

These servicers typically own their trucks, which is a key aspect of their role in the informal food commodity transportation sector. They manage and maintain their own vehicles, handle the logistics of transporting goods, and cover operational costs. This ownership model is common in informal transportation sectors, where individuals or small operators provide essential transportation services to earn a living while serving the grassroots.

The role of Charter-men extends beyond individual livelihoods. They play a vital part in Nigeria’s agriculture sector, which contributed over 20% to the nation’s GDP in Q1 2024 (Nigeria Bureau of Statistics). Their work is crucial not only for economic stability but also for ensuring that food commodities are efficiently and reliably transported across the country.

The Commodity Transport sector in Nigeria presents a vast opportunity for private sector investment, particularly in enhancing food safety during transit within the nation and cross-border trade under the Africa Continental Free Trade Area (AfCFTA) agreement. Recent data from the 02 Nigerian Export Promotion Council indicates that reducing food waste during transit could save the Nigerian economy approximately ₦2 billion annually. This figure underscores the significant potential of increased private sector investment, especially in deploying refrigerated trucks, which will significantly enhance food security by preventing waste during transit.

Although their operations are informal, Charter-men's activities are regulated by guilds that enforce adherence to statutory regulations. These guilds play a critical role in ensuring that informal logistics handling remains within legal frameworks. Additionally, by collaborating with organizations such as the Federal Produce Inspection Agency, Charter-men work to mitigate product theft and secure goods in transit, thereby protecting against theft or diversion of commodities.

Yusuf Ibrahim, a Charter-man from Nasarawa State, exemplifies the dedication required for this service. His arduous journey transporting sesame seeds from Doma to Lagos highlights the challenges and rewards of this vital role. While he deems his income modest, it provides a lifeline for his family, enabling him to send his daughters to university. Yet, he says the satisfaction of contributing to Nigeria's economy and feeding the nation is his greatest reward.

At Cardinal Torch, we incorporate the services of Charter-men into our downstream supply chain for delivering key commodities like cocoa and cashews to our processing centers. Guided by our overarching principle of “Innovation through Collaboration,” our teams leverage technology to enhance the safety and efficiency of logistical operations when working with verified partners like Yusuf. We look towards a future where the sector operates at its full potential, and by partnering with local guilds on CSR interventions, we commit to improving safety objectives for the Charter-men who ply the trade routes of our key commodities.