Logistics and supply chain management play a big role in any economy and is a critical contributor to the competitiveness of a country. For organisations and companies to be competitive in a globalised market, they need to move their products and services around the globe, so as to meet customer demands and needs. In the light of this, competitiveness cannot be delinked from efficient infrastructure, of which competitive logistics transport system is crucial. Furthermore, for Nigeria to grow its market share of various products in the global market, the supply chains need to be world class to ensure effective delivery of goods. These and other aspects of the logistics environment in Nigeria, are presented and major issues affecting logistics costs discussed. In addition, reference is made to the World Bank report on logistics competitiveness and comparisons on logistics performance. Improving logistics performance is at the core of the economic growth and competitiveness agenda. Policymakers globally recognize the logistics sector as one of their key pillars for development.