Introduction

An administrative scandal is brewing in Cameroon, and traders will bear the brunt of it. The Douala Port Authority (PAD)and the Ministry of Finance (MINFI) are locked in a high-stakes dispute over the contract of Swiss firm Société Générale de Surveillance (SGS). This little-known company is providing a range of services at the port that include comprehensive testing, inspection, certification, and verification services to ensure products, processes, and systems meet quality, safety, and regulatory standards before they enter the Cameroonian market. They are a vital artery for the PAD’s services as they facilitate international trade through cargo inspection, customs clearance and conformity assessments (PECAE) for imports.

In essence, the Ministry of Finance and the Douala Port Authority are fighting over control of cargo scanning operations, which are indispensable for both national security and customs revenue. In 2026, the conflict escalated into a full-blown crisis, which threatens Cameroon’s role as a primary economic corridor for central Africa.

The Core of the Scandal

The scandal between MINFI and PAD centers on which entity has the right to collect fees for scanning goods at the Port of Douala. Since 2015, a Swiss firm called Société Générale de Surveillance (SGS)  has been performing this service under a Public-Private Partnership (PPP). The Port Authority – led by Director General Cyrus Ngo’o – argues that PAD’s 10-year contract with SGS officially expired on 31 December 2025. He invoked a presidential decree from 2019 that gives the PAD autonomy over its port domain, allowing it the ability to name a new operator. They instructed Transatlantic D.S.A to take over operations from 1 January 2026 due to the fact that SGS equipment is no longer fit to meet modern trade demands. The PAD is intending to move towards 100% scanning, including vehicles and bulk goods, which can be better managed by the new company (they claim).

Minister of Finance, Louis Paul Motaze,  has fiercely opposed this transition. The Ministry is more focused on revenues than predictability in the management of the port operations. After all, they must raise a specific amount of money to fund the many projects from the government. MINFI argues that the ten-year countdown began in 2022 only when the final set of delivery equipment was fully delivered. Furthermore, they contend that the port authority cannot override a contract that was signed by the central government (This is true and also unfortunate).

On a more sober note, the ”Phantom Scanner” paradox turned real. Reports emerged that SGS continued to invoice shippers for services that it no longer performed. Meanwhile, the new operator Transatlantic D.S.A is performing the scans but lacks recognized administrative frameworks to issue valid receipts. While this happens, shippers watch on as costs mount and the quality of service deteriorates. Naturally, this will adversely impact the economy in more ways than we can currently estimate. It equally illustrates why Cameroon lags its peers.

2. Impact on Trade and the Economy

When vital services are interrupted, and traders face uncertainty over procedures that should be standardized, it has immediate expensiv,e and damaging consequences for the Cameroonian economy and the wider CEMAC region (Chad and Central African Republic). For traders, this is a nightmare as it can lead to double-billing that ultimately increases costs. Given that two entities claim authority to charge for this vital service, importers end up facing a nightmare scenario

The most direct impact on traders is the risk of double-billing. With two entities claiming authority, importers face a nightmare scenario where they may pay one operator but find their goods blocked by the other’s administration. This will increase waiting times, raise cost and discourage traders from using the Douala port. While this can transition some goods to Kribi, the long wait will ultimately increase logistics costs.

“Cameroon already has some of the highest logistics costs in Africa (accounting for 30–40% of the final price of goods). This scandal adds a layer of “administrative surcharge” that makes Cameroonian products and trade processes less competitive.”

Severe Port Congestion will become the norm. The Douala port is already notorious for delays, with vessel waiting times reaching 9 days in some cases. This disrupts scanning, and the bottlenecks created by this scandal will only exacerbate this. Furthermore, if the port authority does not recognize the scanning results from any one actor, then containers sit idle. Dwell times in the Douala port can sometimes exceed 20 days, leading to large demurrage fees for traders.

Regional trade will take a hit from this administrative skirmish. Douala serves as the lifeline for the landlocked Chad and the Central African Republic, making it all the more urgent for a solution to be found. We can expect some cargoes to be diverted to the Kribi or Cotonou port if this instability persists, accelerating the shift away from Douala and hollowing its role as a regional hub for millions of traders.

Investor Confidence and Legal Certainty at Risk: The scandal sends a chilling message to investors and international partners. If a 10-year government contract with a global giant like SGS can be interpreted so differently by two agencies, it means there is considerable legal insecurity. This could lead to higher risk premiums for future Public-Private Partnerships, making it more expensive to finance major infrastructure projects.

3. Current Status: Presidential Intervention

As usual, the central government never ceases to pick a side. The President and the Prime Minister’s Office were forced to step in as arbiters. In the last week of January, the Prime Minister, Joseph Dion Ngute, ordered that the SGS contracts be maintained until 2032 – siding with the ministry to preserve legal certainty and protect those revenues they desperately need. Even so, it may be more challenging to remove Transatlantic D equipment and all the work that has begun on the ground. We are all in wait-and-see limbo as traders are unsure of which receipts will ultimately clear their cargo.

Conclusion

The Douala Port SGS scandal is a cautionary tale of institutional overlap and illustrates why intra-African trade continues to lag while other countries aggressively pursue integration. While the Ministry of Finance is unwilling to relinquish control over an important revenue stream, Cameroonian consumers will pay higher prices as businesses remain caught in the middle of the bureaucratic firestorm. This high drama is slowing the implementation of the AfCFTA, raising costs for traders and consumers and chilling future investments.

Henri Kouam

Founder/Executive Director