FAAN Records Revenue Growth in Cargo Operation Services after Reforms

Chinedu Eze

The Federal Airports Authority of Nigeria (FAAN) has recorded significant improvements in cargo operational efficiency and revenue performance following strategic reforms implemented by its Cargo Development and Services Directorate.

A report released by the Authority showed that recent adjustments to legacy processes are already yielding measurable results, with improved revenue assurance across major cargo terminals.

Key reform highlighted in the report is the relocation of FAAN operational staff and revenue-collection desks back into cargo warehouses. This, alongside enhanced monitoring of unaccompanied luggage, has effectively blocked major revenue leakages that previously affected cargo operations.

The report notes that the positive impact of these reforms is particularly evident in the Nigerian Aviation Handling Company (NAHCO) Plc and Skyway Aviation Handling Company (SAHCO) cargo warehouses.

FAAN said despite a decline in cargo throughput in 2025, compared to 2024, the agency recorded higher revenue generation and significantly improved collection efficiency during the same period.

According to the report, this development clearly demonstrates the effectiveness of the operational reforms.

THISDAY also learnt that several initiatives are underway to consolidate the gains and further strengthen revenue assurance across the cargo value chain.

Among these initiatives is a courier revenue optimization framework, which will introduce a per-kilogramme charging model for courier operators in place of the current system based on total shipment weight, an approach that would eliminate identified loopholes and enhance revenue generation.