‘ICT, branding keys to MSMEs’ market access’

Experts say information communications technology, consultancy and good branding are keys to market access for micro, small and medium enterprises in Nigeria.

The experts spoke at this year’s BusinessDay conference organised in partnership with Small and Medium Enterprises Development Agency of Nigeria (SEMDAN) and sponsored by Union Bank, Computer Warehouse Group, Goldfire,  Etisalat and Smile.

The Lagos leg of the of the 2015 edition of the annual SME Market Access Conference took place last Thursday at Event Centre in Ikeja and featured various interactive sessions, including presentations, workshops and opportunities to network.

The experts reason that for SMEs to have access to markets, their products need to be marketed online, stressing that ICT is the cheapest way to achieve this.

“To succeed in business you must have clients. It’s easier now because of the information communications technology,” Emeka Okafor, chief executive officer, ConnectNigeria.com. said.

“SMEs must have a website and be on the social media so that they can put their business up for millions of people to see,” Okafor said.

“Technology is the biggest advantage to accessing market,” he said, adding that information technology remains an accelerator of information.

The MSMEs sector is a growth supporting segment that not only contributes significantly to improving living standards but also brings about substantial capital formation that are responsible for driving innovation and competition in developing economies, say experts.

Lekan Ogunbowale, director of industry, representing Sola Oworu, commissioner for commerce and industry, Lagos state said: “The MSME sector is the heartbeat of our industrial and economic development.”

“Our government has being providing to SMEs infrastructures, access to credit and sponsorship of SMEs participation in trade fairs and exhibition,” Ogunbowale said.

He said  the Lagos state government will not relent on supporting  SMEs by providing key infrastructures like power and housing.

According to a survey conducted by the Nigerian Bureau of Statistics (NBS) and SMEDAN, the total number of MSMEs is 37.1 million in 2013 with Lagos state having the highest number, pulling  3.2 million. The sector has grown more than 50 percent in the last 10 years.

“Government needs to build a vibrant capitalist system so that the SMEs will grow,” Rabiu Tata, head, SME, Union Bank said.

Tata said government needs to make access to funds easier for SMEs and put policies to ease registrations process so that operators can start their business.

The recent GDP rebasing exercise confirmed the importance of the MSME sector in the Nigerian economy.

The sector usually accounts for the largest input of the Nigeria’s GDP compared with other social services sector, according to a survey conducted by NBS and SMEDAN in 2012.

The 2015 market access series continues in Kaduna on the 11th of June, 2015 with the final session.