To bring down cost of logistics for Small and Medium Enterprises (SMEs), the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) is partnering with the Nigeria Postal Service (NIPOST).
The Director General of SMEDAN, Mr. Charles Odii, disclosed this via a post on his X handle after a meeting with the Postmaster General and CEO of NIPOST, Mrs. Tola Odeyemi.
According to Odii, the cost of logistics has been a major challenge for many SMEs in Nigeria as the costs of goods delivery, in some cases, are higher than the costs of the goods. He said this informed the meeting with NIPOST to solve the problem.
The SMEDAN DG said: “Our interactions with small businesses across various platforms, including town halls and cooperative meetings, have consistently identified logistics as a major bottleneck hindering trade volumes and profit.
“In some cases, the cost of delivery exceeds the price of the goods, discouraging consumers and limiting the growth potential of these businesses.
“To tackle this challenge, I met today with Tola Odeyemi the Postmaster General and CEO of NIPOST, to discuss how we can leverage the organization’s extensive reach and infrastructure, including in rural areas, to provide small businesses with an affordable, efficient, and reliable logistics solution.
“Encouragingly, we share a common understanding of the critical role logistics plays in driving inclusive economic growth and prosperity, both as an employment generator and trade enabler.”
