Business/Economy
Nigerian Railway Corporation, South West Development Commission partners to revive abandoned rail routes in Southwest
Written By: Alaba Lambert
28 Nov 2025 08:01 AM
Ikeja, Lagos – In a bid to revitalize regional infrastructure and spur economic growth, the Nigerian Railway Corporation (NRC) and the South West Development Commission (SWDC) announced a collaborative effort on Tuesday to restore long-dormant rail lines across Southwest Nigeria.
The initiative focuses on reactivating key routes such as Osogbo-Dagbolu-Erunmu and Idogo, aiming to enhance freight transport, bolster food security, and connect rural agricultural hubs to urban markets.
The announcement came during a working visit by SWDC's Managing Director, Mr. Charles Diji Akinola, to NRC's Managing Director, Dr. Kayode Opeifa, at the corporation's Lagos headquarters.
Dr. Opeifa expressed enthusiasm for the partnership, stating, "We are delighted to see SWDC take off from where the Development Agenda for Western Nigeria (DAWN) Commission stopped, in the area of developing a master plan for regional rail development for states in the southwest."
He emphasized NRC's openness to business opportunities that could position SWDC as a key player in the rail sector.
Mr. Akinola highlighted the strategic importance of rail connectivity for the region's economic resurgence, noting that SWDC's infrastructure plans are structured into short-, medium-, and long-term phases. In the immediate short term, the commission seeks to operationalize unserved routes on a profit-sharing basis with NRC.
"While noting that the commission's rail infrastructure development is divided into short, medium and long term, Akinola said on the short term, SWDC seeks to have some old unserved routes in the southwest ceded to it to operate on profit sharing basis," a statement from NRC detailed.
Particular emphasis was placed on the Osogbo-Dagbolu-Erunmu route, which could facilitate efficient transport of goods, and the Idogo line, seen as vital for food security by linking farm produce from Oyo and Osun states to Lagos markets.
Akinola explained, "We want to take up where the Idogo route. This route is needed for taking farm produce from our farmers to markets in Lagos, where these food stuffs are in high demand. We want to incentivize agricultural produce and Idogo line would play a major role in that."
The partnership envisions subsidies for freight services to lower costs for farmers, alongside the construction of warehouses and rail spurs to integrate all six Southwest states into the national network.
The SWDC, established earlier this year under the South-West Development Commission (Establishment) Act, 2025, was created to address longstanding infrastructural deficits in the region, including transportation gaps that hinder trade and development.
Senate approval for the bill came in September 2024, with the commission launching its regional growth plan in September 2025 as a flagship intervention by President Bola Tinubu's administration. This rail revival aligns with broader goals to reduce transportation costs, alleviate road congestion, and support agricultural supply chains amid rising food prices.
Proponents argue it exemplifies the benefits of devolved powers, allowing zones to leverage local resources without over-reliance on federal allocations. However, skepticism persists regarding funding equity.
As the two bodies work toward a formal Memorandum of Understanding (MoU), inspections of key terminals like Iddo and Ebute Metta have begun, with private-sector investment eyed for expansions.
The initiative focuses on reactivating key routes such as Osogbo-Dagbolu-Erunmu and Idogo, aiming to enhance freight transport, bolster food security, and connect rural agricultural hubs to urban markets.
The announcement came during a working visit by SWDC's Managing Director, Mr. Charles Diji Akinola, to NRC's Managing Director, Dr. Kayode Opeifa, at the corporation's Lagos headquarters.
Dr. Opeifa expressed enthusiasm for the partnership, stating, "We are delighted to see SWDC take off from where the Development Agenda for Western Nigeria (DAWN) Commission stopped, in the area of developing a master plan for regional rail development for states in the southwest."
He emphasized NRC's openness to business opportunities that could position SWDC as a key player in the rail sector.
Mr. Akinola highlighted the strategic importance of rail connectivity for the region's economic resurgence, noting that SWDC's infrastructure plans are structured into short-, medium-, and long-term phases. In the immediate short term, the commission seeks to operationalize unserved routes on a profit-sharing basis with NRC.
"While noting that the commission's rail infrastructure development is divided into short, medium and long term, Akinola said on the short term, SWDC seeks to have some old unserved routes in the southwest ceded to it to operate on profit sharing basis," a statement from NRC detailed.
Particular emphasis was placed on the Osogbo-Dagbolu-Erunmu route, which could facilitate efficient transport of goods, and the Idogo line, seen as vital for food security by linking farm produce from Oyo and Osun states to Lagos markets.
Akinola explained, "We want to take up where the Idogo route. This route is needed for taking farm produce from our farmers to markets in Lagos, where these food stuffs are in high demand. We want to incentivize agricultural produce and Idogo line would play a major role in that."
The partnership envisions subsidies for freight services to lower costs for farmers, alongside the construction of warehouses and rail spurs to integrate all six Southwest states into the national network.
The SWDC, established earlier this year under the South-West Development Commission (Establishment) Act, 2025, was created to address longstanding infrastructural deficits in the region, including transportation gaps that hinder trade and development.
Senate approval for the bill came in September 2024, with the commission launching its regional growth plan in September 2025 as a flagship intervention by President Bola Tinubu's administration. This rail revival aligns with broader goals to reduce transportation costs, alleviate road congestion, and support agricultural supply chains amid rising food prices.
Proponents argue it exemplifies the benefits of devolved powers, allowing zones to leverage local resources without over-reliance on federal allocations. However, skepticism persists regarding funding equity.
As the two bodies work toward a formal Memorandum of Understanding (MoU), inspections of key terminals like Iddo and Ebute Metta have begun, with private-sector investment eyed for expansions.
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