The manufacturing sector is one of the principal industries that generate income for a nation. This sector is always a primary driver of growth and job creation and has provided various types of products for use in the country and exportation. In Nigeria, this sector’s potentials have not been harnessed fully due to overdependence on oil and gas. In recent times, however, the government has realized the misstep and has taken various measures to promote investment in the Nigerian manufacturing sector.
The Nigerian population is an estimated 200 million people with a significant percentage of this population being youths. This massive population suggests a deep pool of potential workforce and consumer base. In recent times, Nigerian products have been in high demand because Nigerians are beginning to prefer products made in Nigeria because Nigerian made products are more affordable and trusted by Nigerians. This is seen in the various fashion products manufactured in Aba, automobiles manufactured in Onitsha, and many other products manufactured in different cities of the country.
Not only do you have the required demand, but there’s also the necessary workforce to manufacture the target products. Additionally, Nigeria has numerous natural resources and raw materials which can be transformed into various products of daily living. For a manufacturer or investor, this is a great investment opportunity.
To encourage investment in manufacturing in Nigeria, the government has taken the necessary steps to make it easier for both indigenous and foreign investors to invest in the industry. Owing to favorable reforms and policies, Nigeria’s ease of doing business ranking moved from 169th in 2016 to 145th in 2017, and this is progressively increasing with the years.
Nigeria is Africa’s Biggest Economy
Nigeria is Africa’s biggest economy and is one of the fastest-growing economies in the world. The country is described as an emerging global power and is projected to have one of the most influential global economies by 2030.
Nigeria has an Enabling Environment
The country has every environmental factor a company needs to thrive, from abundant natural resources to arable lands, affordable labor and government policies. In recent times, the government has laid out many policies to help industries in Nigeria to thrive as a way of supporting the economic diversification project.
Large market Size
Nigeria has a population that runs into about 200 million. The market demand for most products is high, and the government is recently banning the importation of goods to encourage indigenous manufacturing. This is the perfect time to enter the industry as a premier manufacturer in any aspect of your choice.
The Nigerian government is eager to expand the manufacturing capability of the country. To this end, they’re offering incentives for manufacturers that can source their raw materials locally. Notably, the government favors people looking to invest in Nigerian manufacturing industries that provide multiplier effect solutions. Some of these products include machine tools, spare parts manufacturing, flat sheet metals etc.
Investment opportunities exist in various products including agro-processing, cement, metals, steel, plastics, vehicle assembly, and textile, and so many others.
Comprehensively, some of the areas you can invest in include:
Do you wish to learn more about investing in the Nigerian Manufacturing Sector?