Dangote challenges MAN to develop manufacturing strategy for Nigeria
Africa’s richest man Aliko Dangote has challenged the Manufacturers Association of Nigeria (MAN) to come up with a manufacturing blueprint that will outlive governments.
Speaking at this year’s Manufacturing & Equipment Expo organised by MAN and Clarion Event West Africa, Dangote said the strategy had become important as new governments spent half of their tenures devising plans, with little room for implementation.
Dangote, who spoke through Aliyu Suleiman, said the manufacturing sector was critical not only for its job creation potential but also for economic resilience.
“Whenever we have a new government, it spends half of its time on planning. We need an industrial strategy that belongs to Nigeria, so that whenever a new government comes in, we go to them with the plan to save them time,” he said.
“Last year, the United Kingdom produced a revised manufacturing strategy— a definitive roadmap. We can do that in Nigeria and MAN is in the best position to do this,” he stated.
According to him, the industrial strategy should include the aspiration of industry in terms of how much GDP contribution targeted; where to play, with regard to areas of priority, and how to win, in terms of becoming competitive.
Dangote called for policy consistency and better business environment.
“Again, the area of business environment is what MAN can develop, and this can be detailed in three areas: Incentives and tariffs, Customs, and infrastructure.
“For tariffs and incentives, we need to be able to compete with China. Ethiopia gives eight to 10 years tax holiday but we give five years in Nigeria. We are asking for more. Secondly, if there are tariffs and incentives but products are smuggled into the country, then the incentives and tariffs are of no use. Thirdly, we need to prioritise the infrastructure we need. Instead of just generalising it, as manufacturers, we can pick Apapa road, instead of just roads,” he explained.
Yemi Osinbajo, vice president, said there was a longstanding connection between economic prosperity and manufacturing, stating that the federal government’s goal was to drive industrialisation and make the country a good place to do business.
Speaking through Jumoke Oduwole, senior special assistant to the president on industry, trade and investment, Osinbajo said the federal government was determined to remove bottlenecks businesses faced in Nigeria every day.
On his part, Frank Udemba Jacobs, president, Manufacturers Association of Nigeria (MAN), said the annual international event had taken the challenge of leading the sector to play a key role in the renewed quest for the country to become one of the leading industrialised economies in the world.
Jacobs said in order not to reverse the gains made in the manufacturing sector over these years, Nigeria should not succumb to the pressure by the European Union to sign the EU-ECOWAS Economic Partnership Agreement (EPA) in the current form.
“Also, the signing of the African Continental Free Trade Area (AfCFTA) should be done cautiously as it may have the unintended consequence of opening up our economy to foreign products, through the back door and exposing our relatively disadvantaged productive sectors to unmanageable pressure.
“There is a need for proper and adequate consultations with critical stakeholders to mitigate this imminent onslaught ahead the of the implementation phase,” Jacobs stated.
Joseph Oru, event manager of the expo, said the objective of the expo was to support manufacturing sector through new technologies, financing and networking.
According to Russell Hughes, commercial director of Clarion Events West Africa, the combination of Nigeria Manufacturing Expo (NME) and the Nigeria Raw Materials (NIRAM) Expo was a result of countless months of diligent teamwork from all stakeholders.
ODINAKA ANUDU