In many developing countries, the clearing & forwarding business is regulated by the local content policy which is a written expression of the desire of the state to ensure that companies owned by its citizens actively participate in all aspects of the shipping and cargo service delivery and not just in the periphery. Nigeria is aggressively pursuing the local content policies. It is our policy in line with the laws to use resources that can be sourced locally including personnel from Nigeria. The greatest dilemma of Nigerian state has been that its most lucrative export products-the one that finances its economy is explored, exploited, exported and transported by foreign companies, some in joint venture with the Federal Government.

Companies owned by Nigerians were hitherto excluded from virtually all the lucrative aspect of the wet cargo trade. It was to reverse this situation that the Nigerian local content policy came into full existence and practice. Its aim is to make it mandatory that all aspects of the Nigerian oil trade amongst others have local input in terms of manpower development, local investment and supply base. The Nigerian Upstream Petroleum Regulatory Commission, formerly the Department of Petroleum Resources is the regulatory body for the enforcement of the Nigerian Local Content Policy. This policy is codified Nigerian Content Development Act.

Nigerian content is the quantum of composite value added to or created in the Nigerian economy by a systematic development of capacity and capabilities through deliberate utilization of Nigerian human and material resources and services in the Nigerian Petroleum Industry. This covers activities connected with the exploration, development, exploitation, transportation and sale of Nigerian Petroleum Resources including down-stream petroleum operations.

The Nigerian content emphasizes the value added in Nigeria, by use of local manpower and material, by systematic job creation and investment in local facilities and stimulation of local capabilities.