Rising Diesel Prices Ground 80% of Vessels, Crippling Fish Sector

News in brief:

-More than 80% of Nigeria’s fishing trawlers are reportedly grounded due to a sharp rise in diesel prices, forcing operators to suspend operations.

-The development is already reducing fish supply and driving up seafood prices across Nigerian markets

Nigeria’s fishing industry is facing a severe operational crisis as rising diesel prices have forced more than 80 per cent of fishing vessels operated by trawler companies to suspend operations. The development has significantly reduced fish supply and triggered sharp price increases across several markets.

Industry sources say the dramatic increase in the price of Automated Gas Oil (AGO), commonly known as diesel, has made fishing trips financially unsustainable for many operators.

The vessels used by industrial fishing companies rely entirely on diesel to power their operations at sea.

According to operators, the cost of diesel has more than doubled in recent months, rising from around ₦900 per litre to between ₦1,800 and ₦2,000 per litre.

Under these conditions, operators say fuelling a vessel for a typical 50-day fishing expedition would lead to significant financial losses. As a result, many companies have decided to keep their vessels docked rather than continue operating at a loss.

A visit to the Ijora fish market in Lagos revealed a noticeable decline in the quantity of fish supplied by Nigerian trawlers. The reduced supply has already begun to affect market availability, raising concerns among traders and consumers about a potential fish shortage.

The shortage has also triggered price increases across various seafood products as traders respond to tighter supply conditions.

Impact on Artisanal and Industrial Fishing

The National Executive Secretary of the Fisheries Cooperatives Federation of Nigeria, Oladele Robinson, said both artisanal and industrial fishing operations are being affected by rising fuel costs.

He explained that while artisanal fishermen depend largely on petrol to power their smaller boats, industrial fishing operators rely on diesel-powered trawlers.

According to Robinson, fishing operators are increasingly unable to recover the cost of fuel through their catch, making continued operations difficult.

“At times operators go to sea but are unable to secure enough catch to justify the cost of fuel,” he said.

Industry warns of wider economic impact

Sources within the Nigerian Trawlers Owners Association said the surge in diesel prices has pushed the industry into a critical situation. Operators say their overhead costs remain largely unchanged while fuel expenses have increased dramatically. Industry stakeholders warn that if the situation persists, more companies may suspend operations entirely.

Food Security Concerns

Experts say the crisis could have wider implications for food security in Nigeria.

Fish remains one of the most affordable and widely consumed sources of protein for many households.

With fewer fishing vessels operating and fish supply shrinking, stakeholders warn that continued fuel price pressures could further disrupt the seafood supply chain and push prices higher for consumers.