Cargoplug, initially Jand2Gidi (UK to Nigeria in Nigerian slang), emerged in 2013 from the personal frustrations of two UK-educated returnees, Kikelomo Fola-Ogunniya and Ujama Akpata, who encountered exorbitant shipping costs, protracted delivery times, and a complete lack of tracking for goods shipped from the UK to Nigeria. Recognizing a widespread problem amongst returnees and small businesses, they established their own solution. Initially focused on the UK-Nigeria route, the company expanded to include shipping from the US, China, and Turkey, alongside export and domestic services within Nigeria. The rebranding to Cargoplug in 2023 signaled their broader ambition: to become the trusted logistics connector facilitating cargo movement into, across, and out of Africa via air, sea, and land networks, serving individuals, businesses, and multinationals alike.
Cargoplug’s expansion into the UK is a strategic move to optimize their global logistics network and cater to their growing customer base. The UK remains a significant origin point for shipments to Africa, particularly Nigeria. Establishing a direct UK presence allows Cargoplug to exert greater control over operations, minimize reliance on third parties, and significantly enhance shipping speed, cost-effectiveness, and reliability. This expansion facilitates localized support for UK-based individuals, diaspora communities, and businesses shipping goods to Africa. Moreover, the UK serves as a strategic gateway to Europe, simplifying access to European markets, suppliers, and distribution networks, further integrating African businesses into global trade.
Shipping between the UK and Nigeria is often fraught with challenges, including high shipping costs, unpredictable hidden fees, customs delays, and bureaucratic hurdles. Cargoplug offers transparent pricing with a standard rate of £5 per kg from the UK to Nigeria, inclusive of all known charges. Inconsistent delivery times, exacerbated by fluctuating carrier performance, route variations, and customs procedures, are also a persistent issue. Cargoplug navigates this complexity through proactive planning, close communication with customs and shipping partners, and real-time updates for customers. Shipment visibility is often poor, leaving customers uninformed about their packages. Cargoplug combats this with end-to-end tracking, enabled by integrated technology and on-ground coordination. Furthermore, the risk of loss, damage, or theft during transit is mitigated through partnerships with trusted carriers, mandatory insurance coverage, and rigorous quality control. Finally, unreliable last-mile delivery due to infrastructural deficiencies and weak address systems is addressed through local expertise and a robust network of delivery partners. Cargoplug’s dedicated customer service provides personalized support and addresses the communication gaps often experienced with traditional freight forwarders.
Currently, air freight between the UK and Nigeria exhibits the fastest growth on Cargoplug’s platform, driven by the demand for swift and dependable delivery of time-sensitive and high-value goods. Their 24-hour delivery service positions them as a preferred choice for businesses and individuals requiring rapid logistics solutions. Sea freight remains competitive, especially for bulk shipments, inventory replenishment, and cost-sensitive goods where speed is less critical. Steady growth in sea freight is fueled by regular sailing schedules and consolidated container options, offering economical solutions for larger volumes.
Despite advancements in local industries and increased access to trade finance, a significant obstacle to unlocking trade between Africa and the Global North is the inadequacy of existing infrastructure for seamless movement of goods and payments. Reliable shipping, expedited customs processes, and simplified cross-border payments are critical for efficient global trade, particularly for African SMEs. Improved logistics would significantly benefit several sectors in Nigeria, including e-commerce and retail, agriculture (by enabling efficient movement of perishable goods), manufacturing (through improved supply chain visibility and reduced transport costs), healthcare (ensuring safe delivery of medical supplies), and SMEs (by providing access to global markets).
Nigeria’s low score (2.4 out of 5) on the World Bank’s Logistics Performance Index highlights the need for substantial improvements in customs processes. Digitization, infrastructure upgrades, risk-based inspections, and increased transparency are crucial for boosting efficiency and facilitating international trade. Geopolitical instability and escalating tariffs contribute to rising logistics costs through shipping delays, trade route diversions, higher insurance premiums, and supply chain disruptions.
Intra-African trade remains a small fraction of the continent’s total trade. Stimulating growth requires investments in transport infrastructure, streamlined customs procedures, harmonized trade policies, strengthened regional payment systems, and full implementation of the African Continental Free Trade Area (AfCFTA). These measures aim to reduce tariffs and non-tariff barriers, making cross-border trade more efficient and cost-effective.
Logistics has played a pivotal role in Nigeria’s burgeoning e-commerce market, which generated $10.11 billion in revenue in 2023. Efficient logistics, encompassing inventory management and reliable transportation, has been instrumental in meeting the escalating demands of online shopping and facilitating business expansion. The projected growth of Nigeria’s logistics market to $10.1 billion by 2027 hinges on continued infrastructure investments, technology adoption, e-commerce expansion, supportive government policies, streamlined customs procedures, AfCFTA implementation, and increased investments. However, challenges such as poor infrastructure, regulatory hurdles, security concerns, high operating costs, skill shortages, and limited access to trade finance could impede progress.
Cargoplug is addressing these challenges through technological integration for real-time tracking, partnerships with reliable carriers, flexible payment solutions, strategic hub establishment, and prioritization of customer feedback. Their vision for the next 5-10 years is to become Africa’s leading cross-border logistics provider, seamlessly connecting the continent to global trade. They aspire to develop a comprehensive logistics platform offering end-to-end visibility, automated customs processes, flexible payments, and warehousing across key trade hubs. By expanding their presence globally, they aim to reduce trade friction, open new markets for African businesses, and create smarter, faster, and more inclusive global cargo movement, particularly facilitating global brands’ order fulfillment to African customers through their integrable shipping APIs.
