Rail Goods Revenue Surges By 221% To N1.14 Billion In Six Months

In the first half (H1) of 2024, the Nigerian Railway Corporation (NRC) received about N1.14 billion in income from the rail transportation of products.

The National Bureau of Statistics (NBS) reports that this amounts to N356.5 million, which is 221% more than what was made in the same time in 2023.

The considerable rise in income is a direct consequence of the substantial increase in the number of products moved, and it indicates how crucial rail is becoming to Nigeria’s logistics system.

The volume of goods transported by rail surged from 116,902 tons in H1 2023 to 304,409 tons in H1 2024, more than doubling the previous year’s figure.This surge in transported cargo resulted in a corresponding increase in revenue, with N1.14 billion generated in H1 2024, compared to N356.5 million in H1 2023.

In addition to its rail cargo services, the NRC also saw significant growth in its pipeline transportation.

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The volume of goods transported via pipelines rose from 2,856 tons in H1 2023 to 13,940 tons in H1 2024.

This increase in pipeline volume translated into a rise in revenue, with N101.2 million earned in H1 2024, a substantial jump from the N12.8 million generated in the same period in 2023.

In addition to its cargo revenue, the NRC’s passenger services also experienced significant growth. The number of passengers transported increased from 915,842 in H1 2023 to 1.36 million in H1 2024.

This increase led to passenger revenue reaching N3.11 billion in H1 2024, up from N1.87 billion in H1 2023, highlighting the growing reliance on the rail system for public transportation.

Moreover, other income receipts for the NRC saw a dramatic rise, reaching N1.02 billion in H1 2024 compared to N52.9 million in H1 2023.