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IMPACT OF COVID-19 ON THE TRANSPORTATION SECTOR IN NIGERIA

  • Department: BUSINESS ADMINISTRATION
  • Chapters: 1-5
  • Pages: 54
  • Attributes: Questionnaire
  • Views: 296
  •  :: Methodology: primary
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VOLUME I

INTRODUCTION

The Purpose of the Research

Businesses and governments alike have relied on transportation services since the dawn of humanity. Businesses and individuals that need to go from one location to another quickly both depend on transportation infrastructure to fulfill their purchase orders. From aircraft to maritime and logistics, the industry is essential to every economy's success. Nigeria's first Covid-19 case arrived at the Murtala Muhammed International Airport on February 27th, 2020. This is hardly unexpected, given that the airport serves as the country's primary transportation center. Two lockdowns in major cities including Lagos, Ogun and Abuja lasted a total of five weeks after the first Covid-19 case was reported in Nigeria in September 2013. Several major international airports, including those in Enugu, Port Harcourt, Abuja, and Lagos have shut down to foreign flights as a result of these strikes on rail services and airports.

In order to alleviate the lockdown on May 4, 2020, Nigerians must adhere to tight social distance norms and wear face-masks in public places. The Federal Government's restriction on interstate travel remained in force. In the wake of the epidemic and lockdowns, the economy as a whole has been affected, and the transportation industry is no exception. After being shut down for five weeks, every method of transportation has seen a significant decline in demand. The country has seen a dramatic decrease in transportation activity, which has resulted in a significant drop in income.

Nigeria has approximately 80 million people who use public transportation every day, according to Planet Project Limited's Managing Director and Chief Executive, Biodun Otunola. He went on to say that if the average daily national fare of N150 is used, the lockdown would cost N3 trillion over the course of five weeks. He emphasized that the epidemic and lockdown have had the greatest impact on public transit and the supply lines that support it.

About 120 domestic aircraft have been grounded as a result of the steep decline in income and the widespread grounding. Aviation minister Hadi Sirika claims that the industry has lost N21 billion per month since Covid-19 broke out. Due to a lack of activity in the sector that relies only on air operations for income, he explained the massive loss. The Nigerian travel sector lost around N180 billion and thousands of jobs in the first two months of the worldwide shutdown, according to Bankole Bernard, the NANTA's former president. There has been a decrease in demand for ride-sharing services. During the lockout, Bolt shifted its focus to deliveries, while Uber ceased all operations as a result of the limitation order.

Interstate travel is still prohibited, notwithstanding the government's lifting of the prohibition on intrastate travel. There is no way to offset the hardships that both interstate and intrastate employees have had to endure as a result of the lockdown and the ban on interstate travel. Consequently, several transportation firms have moved to layoffs and salary cutbacks as a method of surviving these difficult financial times.

A DETAILED OUTLINE OF THE ISSUE.

Covid19 has had a negative impact on the transportation industry, which has significant social and environmental burdens. Access to markets, job possibilities, as well as further investments, are all a consequence of the sector's favorable multiplier effects. Moving goods has an impact on the bottom line since it affects the costs of production, consumption, and distribution. Even within the Ministry of Transportation, transportation's added value and employment impacts would decline as a consequence of the epidemic. When it comes to inputs such as gasoline and maintenance for transportation, local vendors are a common source of supply. The manufacture of these inputs creates new jobs with value addition for the local economy. Other local businesses provide the suppliers with products and services. In the same way, those who work in transportation-related jobs spend their wages on local items. Because of these re-spending cycles in a local purchasing context, the total economic effect is greater than the original production, revenue, and employment. The emergence of Covid19 has forced a halt to all of these since transportation, which is at the heart of these endeavors, has been placed on pause. Consequently, the purpose of this research is to determine the extent to which Covid 19 has an influence on Nigeria's transportation industry.

What We're Trying to Discover

This study's major goal is to:

To examine the impact of Covid-19 on the cost of transportation.

To find out how Covid-19 affects commuters' loyalty.

To examine the impact of Covid-19 on the income level of commercial drivers.

Questions to Ponder

Was there a difference in shipping costs as a result of Covid-19?

In what ways did Covid-19 affect the number of customers who bought from you?

How much of a difference did Covid-19 make to a driver's take-home pay?

Importantness Of The Research

The findings of this research would be useful to public and private sector policymakers as they try to chart a new course for Nigerians and the rest of the world.

Those who want to pursue additional investigation into this topic might use this paper as a resource.

Study Area

The influence of Covid 19 on Nigeria's transportation industry is the subject of this investigation. This research would employ a Lagos state resident as a sample responder.

Study Limitations

When doing this research, financing was a big issue, but the lack of resources and time constraints were also important issues that had to be overcome.

Term Definitions

Corona virus disease 2019 (COVID-19) is a disease caused by a new corona virus known as severe acute respiratory syndrome corona virus 2 (SARS-CoV-2).

An important part of the transportation industry is that it includes enterprises that offer transportation services and facilities. Air freight and logistics, airline, marine, road and rail, and transportation infrastructure are all part of the transportation industry.

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