Fresh Plans To Revive National Shipping Line As African Nations Ramp Up Fleet, Port Investments

With South Africa entering the fray, Nigeria’s dominance in ship ownership and Liberia’s growing influence in registration signal a shift in Africa’s maritime landscape, strengthening the continent’s role in global trade.

Kenya and Ghana are also exploring ways to bolster their maritime presence, recognizing the strategic value of controlling their own shipping routes.

Of Africa's 38 coastal and island states, only a handful operate national carriers, with much of Africa’s seaborne cargo still moved by foreign-owned vessels.

According to the African Union and UNCTAD, over 90% of Africa's imports and exports are transported by sea, yet the continent captures less than 5% of global maritime freight revenue.

South Africa’s initiative follows a wave of investment in port and shipping assets across the continent.

In 2022, Sudan signed a US$6 billion agreement to develop Abu Amama port and an economic zone along the Red Sea, aiming to strengthen trade corridors and boost exports through modern infrastructure.

However, Sudan canceled the deal in 2024, citing Emirati support for the Rapid Support Forces (RSF), a rebel paramilitary group.

Ghana has also expanded its port capacity, commissioning four new berths at Tema Port in partnership with Meridian Port Services, a consortium that includes APM Terminals and Bolloré Africa Logistics.

The US$1.5 billion expansion was completed in 2021, and Ghana’s government has since hinted at reintroducing a national line to boost control over export logistics, especially for cocoa and minerals.

“There’s a growing recognition that without national shipping capacity, countries lose pricing power and logistical flexibility,” said Edwin Omuga, a Kisumu-based maritime economist. “Besides the vessel, it’s about who controls the scheduling, the port calls, and the trade priorities.”

Africa’s ports are undergoing rapid transformation, fueled by foreign investment and regional trade agreements. The AfCFTA, which aims to unify Africa’s markets, is expected to increase intra-African freight by 28% and maritime demand by 62%, according to UNCTAD.

Currently, 48 states have ratified the AfCFTA, which was operationalized in 2019. Trade under the agreement officially began in January 2021.

In East Africa, competition is intensifying as ports vie for market share. Mombasa, traditionally dominant, faces challenges from newer facilities such as the Port of Lamu in Kenya and Berbera Port in Somaliland.

The UAE-backed expansion of Berbera has created a lucrative trade corridor to Ethiopia, while Chinese investments in Bagamoyo, Tanzania, aim to establish a major regional hub.

In 2021, Dubai-based DP World invested $442 million to expand Berbera Port, securing a 30-year concession to manage the facility.

The project included a new deep-water quay, modern cranes, and a free trade zone aimed at attracting businesses and boosting regional commerce.

With improved capacity and logistics, Berbera is positioning itself as a key maritime hub for the Horn of Africa, particularly for Ethiopian transit cargo.

In South Africa, Durban, the busiest container port in sub-Saharan Africa, is undergoing modernization, with plans to increase capacity and improve efficiency. The government’s renewed focus on shipping aligns with broader efforts to integrate logistics networks and reduce dependency on foreign carriers.

Kenya, meanwhile, has been planning to revive a national shipping entity, although concerns about high operational costs have forced the country to put the plans on ice.

Meanwhile, Djibouti and Egypt continue to ramp up maritime investments. Djibouti has positioned itself as a key node in China’s Belt and Road Initiative, developing multiple ports and dry docks with Chinese financing.

Egypt, through the Suez Canal Economic Zone, is expanding its Red Sea port capacity, with investments from Hutchison Ports and DP World, targeting transshipment and regional logistics.

According to Omuga, the rationale behind national shipping carriers extends beyond economics, stating governments see them as tools for security, resilience, and industrial policy.

In 2022, when global container backlogs disrupted trade flows, African exporters of perishables and minerals were among the hardest hit, spurring renewed interest in controlling freight availability. Countries with no national lines had to wait in line behind larger markets for vessel space.

Ship ownership also dovetails with ambitions in shipbuilding and repair. South Africa has said Sasco may eventually source vessels from local yards, depending on capital outlay and capacity.

Nigeria is exploring shipyard revitalisation in Lagos and Port Harcourt, while Senegal has partnered with French companies to develop a ship repair hub in Dakar.

Yet building a viable national fleet is expensive and fraught with historical failures. Most of Africa’s earlier carriers collapsed due to mismanagement, graft, and unsustainable subsidies.

South Africa’s Sasco, for example, awaits legislative backing and clarity on funding sources. Regional cooperation also lags. The AfCFTA could benefit from integrated maritime strategies, but national agendas have so far dominated.

Even so, momentum is seen to be building. As African countries seek to industrialise and move up value chains, control over transport logistics is becoming central. A national shipping carrier, once seen as a relic, is re-emerging as a strategic asset.

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