By Ocheneyi Alli

The Manufacturers Association of Nigeria (MAN) has called on the Federal Government to ensure strict enforcement of local content laws in the manufacturing sector of the economy.

Otunba Francis Meshioye, the President of MAN, made the call during the 3rd Adeola Odutola Lecture / 51st Annual General Meeting (AGM) of MAN, with the theme “Setting the Agenda for Competitive Manufacturing under the AfCFTA: What Nigeria Needs to Do.”

Meshioye, observed that Nigeria has a low local content adoption and patronage of made in Nigeria products, and therefore, urged the  government to ensure effective enforcement of local content and patronage regulations.

He said this can be achieved by strict enforcement of local content laws, giving  incentives for local sourcing of raw materials, and innovation in the manufacturing sector.

He said that the government  should also compel the public sector at all levels to , as a matter of national importance, step up their compliance with existing government directive on patronage of made-in-Nigeria products, including Executive Orders 003 and 005.

In addition he said the manufacturing sector is one of the sectors of the economy with wide sectoral interlinkages.

“However, the low level of development of auxiliary sectors is disentangling the manufacturing sector from the rest of the sectors.

This is more so in agriculture, iron and steel and mining sectors.

“This has resulted in a limited supply of raw materials and other input for the manufacturing sector,” he said .

Therefore, it is essential to encourage backward integration and sectoral linkages to promote a more sustainable manufacturing sector in Nigeria.” he advised.

At the event, the Minister of Industry Trade and Investment, Dr. Doris Uzoka-Anite, extended  the Federal Government’s assurances of collaboration to the local manufacturers towards enhancing their competitiveness .

She said the current administration envisions industrial revitalisation and is committed to covering real aspects of industrialization from consumer credit, fiscal and monetary policy alignment and continuous engagement in delivering  the presidential initiatives.

Represented by Dr. Rabiu Olowo, Director-General, Financial Reporting Council of Nigeria, the Minister said that to harness full benefits of the AfCFTA, ” we must deploy strategic interventions in the manufacturing sector to enhance competitive edge, seeing the manufacturing sector is the backbone of any economy.

Aganga urged the Federal Government to declare the Industrial sector a national priority sector and back it with plans, policies and money.

“To maximise the opportunities presented by the AfCFTA, there are four imperatives which are combined responsibility of government and manufacturing sector; robust public private partnership particularly in the area of research and development to enhance the strength of manufacturing, supporting Micro, Small and Medium Enterprises (MSME) with capacity and potential for exports and investment in infrastructure and technology.

“We also must enhance quality standards and performance and adhere to international quality standards.”

Likewise, Dr. Olusegun Aganga,  a former minister of Industry , added that the continued flooding of the domestic market with cheaper and substandard products from China and elsewhere would derail the country’s plans to dominate AfCFTA as the largest market in the continent.

Aganga urged the Federal Government to declare the Industrial sector a national priority sector and back it with plans, policies and money.

The Former Minister pointed out that embracing competitive manufacturing under the AfCFTA is crucial for Nigeria’s economic growth and integration into the global market place.

“Nigeria may not be able to compete with China now, but by investing in infrastructure, innovation and skilled labour, while addressing trade barriers, the business environment and promoting market access, Nigeria can certainly position itself as the manufacturing hub in Africa.

“Let us work together and seize this historic opportunity and create a prosperous and vibrant manufacturing sector that will benefit Nigerians and contribute to the economic development of the African continent as whole,” he said.