Market Trends of Nigeria Air Freight Industry
Growth In Ecommerce is driving the market
The sale of both physical and digital goods has almost entirely become digital. With the addition of a payment gateway, Nigeria's e-commerce platform has improved in efficiency. Some Nigerian traditional banks have developed their payment gateways over time, such as GTPay by GTBank. Top-notch payment gateway services are provided in the nation by financial technology businesses, including Paypal, Stripe, Interswitch, WayaPay (WayaQuick), Flutterwave, and other payment gateways. Nigeria has participated in the development of the Internet. In terms of both quality and delivery style, there has been an improvement. The exchange of goods served as the economic sector's mainstay in the beginning. Following that, using commercial banks became more popular and offered advantages over the former.
The largest segment of Nigerian e-commerce in 2022 was fashion. 35 percent of the entire value was in the sector. 28 percent went to electronics and media, while 17 percent went to furniture and appliances.
Growing Demand for the Air Freight Market
The Middle East and Europe are the next-largest markets for passenger flows into and out of Nigeria. A total of 4 million passengers arrived in Nigeria from Africa (73.3 percent of the total), followed by 589 thousand from Europe (10.7 percent) and 366 thousand from the Middle East (6.7 percent).
By enabling quick connections between cities, air travel benefits both customers and the larger economy. The economic flows of products, investments, people, and ideas that are the key drivers of economic progress are made possible by these fictitious bridges in the air.
Nigeria's GDP is expected to be supported by the air transport sector, including airlines and its supply chain, to the tune of USD 600 million. Spending by visitors from other countries contributes a total of USD 1.7 billion to the GDP of the nation. Total inputs to the aviation industry and air travel for foreign visitors account for 0.4 percent of the nation's GDP.
According to the global Air Trade Facilitation Index (ATFI) and the eFreight Friendliness Index (EFFI), Nigeria ranks 68th out of 124 countries for its facilitation of air cargo through its customs and border rules. Nigeria is ranked 127th out of 136 nations on the worldwide Enabling Trade Index (ETI) for facilitating the free flow of commodities across borders and to their final destination.
