Niger Bans Benin from Transporting Cargo through Togo Amid Escalating Trade Tensions

Niger has transporting cargo through Togo, further escalating trade tensions between the two West African nations over blocked oil exports and border closures. The move comes after Benin blocked Niger's first crude oil exports, worth $400 million, in response to Niger's refusal to reopen its land border with Benin.

Why this matters: The escalating trade tensions between Niger and Benin have significant implications for regional logistics and trade, potentially disrupting the flow of goods and services across West Africa. If left unresolved, this crisis could also have a ripple effect on the economies of neighboring countries, exacerbating poverty and instability in the region.

According to a operating from Niger's Ministry of Transport, the collection of Nigerien goods in Togo, including at the port of Lomé, "will be reserved exclusively for vehicles registered in Niger and Togo." The decision is in line with the bilateral road transport agreement between the two countries. Niger also reserves the right to call on Burkina Faso, Mali, and Ghana for these operations in the event of high demand.

The ban directly impacts freight transport companies with trucks registered in Benin, signaling the end of a previously available, albeit costly, alternative. The escalating tension poses a challenge for transit and logistics companies, for whom the Cotonou-Niamey corridor was a significant source of activity.

The standoff between Niger and Benin began following the July 2023 overthrow of President Mohamed Bazoum. The Economic Community of West African States (ECOWAS) imposed sanctions on Niger's junta and closed Niger's southern border with Nigeria and Benin. Although ECOWAS lifted the sanctions in February, Niger refused to fully reopen its border with Benin, citing security reasons.

Niger's Prime Minister Ali Mahaman Lamine Zeine accused Benin of violating trade agreements and blamed the country for training terrorists to destabilize Niger. "In Benin's territory, there are bases where, in some, terrorists are trained to come and destabilise our country. So, it is for simple security reasons that we decided to maintain the border closure," Zeine stated.

Benin's President Patrice Talon responded to Niger's border closure by blocking the start of oil exports from Niger, depriving the country of funds meant to finance bond payments missed during the ECOWAS sanctions. Benin demands that Niger reopen its border to goods from Benin and normalize relations before lifting the blockade.

Niger's official entry into the club of African oil exporters, with an expected international sales capacity of 200,000 barrels per day by 2026, requires passage through Benin's territory for sale. Unlike freight transport, there's no quick-fix solution available in the short term to resolve the oil export crisis between Benin and Niger.

Analyst Harun Adiamo warns that unless ECOWAS mediates between Niger and Benin, the tension will escalate. "Right now, the standoff looks more like a competition of supremacy and power than a simple border dispute," Adiamo notes. He emphasizes that the poor citizens of both countries will bear the brunt of the economic impact of their leaders' decisions. Resolving the crisis between Benin and Niger in the short term seems unlikely, with significant implications for regional logistics and trade.

Key Takeaways

• Niger bans Benin from transporting cargo through Togo, escalating trade tensions.
• Benin blocked Niger's $400 million oil exports in response to border closure.
• Escalating tensions may disrupt regional logistics and trade, affecting neighboring economies.
• Niger's border closure with Benin remains in place, citing security concerns.
• ECOWAS mediation is needed to resolve the crisis, which may otherwise worsen.