The global maritime industry manages the movement of over 800 million containers annually, with Africa handling around 12% of this volume. Despite a market value of nearly $4 billion in Africa’s clearing and forwarding sector, the freight industry faces significant challenges, including port congestion, fragmented payment systems, lack of visibility, and inefficient documentation processes.
To address these pain points, Hio Sola-Usidame, founder of Logigrains, a logistics and commodities trading company, launched OnePort 365 in 2019. This startup focuses on digitizing Africa’s freight management processes. Recently, the company secured $5 million in seed funding to expand its operations and improve its technology.
Transforming Freight Management in Africa
Sola-Usidame observed inefficiencies in the freight forwarding industry while running his previous business. Generating a shipment quote, for instance, often takes 10 to 14 days due to manual processes and a reliance on numerous intermediaries. He highlights the complexity of the supply chain, which involves trucking, customs brokerage, terminal handling, marine insurance, and warehousing—most of which remain largely offline.
“Today, about 80% of freight transactions are still handled manually,” Sola-Usidame explained. This lack of digital integration also creates a visibility problem, with approximately three out of every ten trucks in Nigeria going missing during transit. He emphasizes the need for tracking systems, stating, “If you can track a $100 parcel, why can’t a $100,000 cargo container be tracked in Africa?”
OnePort 365’s Solution
OnePort 365 offers a platform that provides end-to-end digital solutions for cross-border trade in Africa. Its system streamlines processes, reducing booking times from weeks to minutes. It enables traders to connect with shipping and transportation vendors, manage bookings and payments, and track shipments in real-time.To address payment challenges, the platform integrates multiple payment methods, supported by the Pan-African Payment and Settlement System (PAPSS), allowing traders to access instant payouts. Additionally, the platform simplifies documentation, moving away from traditional paper-based systems.
Rapid Growth and Market Potential
Since its inception, OnePort 365 has seen substantial growth. The company reported a 140% increase in twenty-foot equivalent unit containers (TEUs) and a 420% revenue growth last year. Its customer base expanded tenfold, from five to 50 businesses.
OnePort 365 currently operates in Nigeria and Ghana, with plans to expand to three additional hubs across Africa by the end of the year. The startup’s offerings include air freight, ocean freight, inland haulage (via trucks, barges, and rail), pay-as-you-go warehousing, customs brokerage, and marine insurance.
Backing from Strategic Investors
The seed round was led by Mobility 54, the venture capital arm of Toyota Tsusho and CFAO Group. Other investors include SBI Investment, Flexport, ODX, and Samurai Incubate, which previously supported the startup.Mobility 54’s CEO, Takeshi Watanabe, expressed confidence in the company’s potential: “OnePort 365 is well-positioned to address the long-standing challenges of freight movement across Africa and unlock significant commercial opportunities.”
Leveraging Experience for Competitive Advantage
Sola-Usidame credits his team, composed of professionals with experience at companies like Maersk and DHL, for the startup’s progress. “Our firsthand knowledge of traditional freight forwarding gives us a significant edge in this space, driving our growth,” he said.
With the new funding, OnePort 365 aims to hire additional staff, enhance its technology, and offer trade financing solutions to its customers. The company’s efforts align with the increasing demand for efficient cross-border logistics, a market projected to reach $32 billion in revenue by 2025.By addressing Africa’s freight challenges, OnePort 365 is carving a niche in the continent’s logistics sector, offering innovative solutions that streamline trade processes and improve efficiency for businesses across the region.
