The Manufacturers Association of Nigeria (MAN), has predicted manufacturers improved Gross Domestic Product (GDP) rise after Government announced a new policy direction.
The Association notes that by giving preference to locally produced goods and services, the sector can stimulate demand, increase capacity utilization, and attract investments into the manufacturing sector.
The MAN believes that this policy ‘Nigeria First’ will have a multiplier effect on the economy, leading to increased economic activity, improved GDP growth, and enhanced competitiveness of Nigerian industries.
The Association therefore commended the Federal Government of Nigeria on the new policy directive aimed at prioritizing patronage of made-in-Nigeria goods and services, and development of local content, which borders on appropriate technical knowledge transfer to Nigerian professionals.
According to the Director General of the Association, Mr. Segun Ajayi-Kadir mni this initiative is a welcome development in the right direction. It is a cheering news and long-awaited relief to resilient Nigerian manufacturers, who, despite the tough economic environment, have demonstrated enduring faith in the potential greatness of the Nigerian economy.
We see this initiative as a true and definite demonstration of the government’s commitment to promoting local industries, boosting economic growth, and creating jobs for Nigerians. By giving preference to locally produced goods and services, we can stimulate demand, increase capacity utilization, and attract investments into the manufacturing sector.
The Association believes that this policy will have a multiplier effect on the economy, leading to increased economic activity, improved GDP growth, and enhanced competitiveness of Nigerian industries. Furthermore, he said, from earlier survey, the effective implementation of such an initiative ( as should be stipulated in the consequential executive order) would scale investments and potentially boost GDP by 56 per cent, reduce unemployment by 37 per cent and increase firms’ willingness to employ from 1.5 per cent to 22.6 per cent.
Ajayi-Kadir, further stressed the need for all tiers of government, private sector entities, and individuals to support this initiative by patronizing made-in-Nigeria goods and services. This is with a special focus on uniformed government agencies and institutions (including the military and police), the legislature and quite importantly, the Presidency. All government contracts should prioritize the patronage of made in Nigeria materials. So, government needs to consult with manufacturers on the way forward to achieve effective and efficient implementation.
The new directive is long overdue, and government, being the biggest spender, would do well to lead by example. This will certainly send the right signals and raise consumer confidence in made in Nigeria products.
“As the umbrella organization for manufacturers in Nigeria, we earnestly look forward to working with the federal government and other tiers of government, their agencies and private sector organizations and businesses to actualise the Nigeria First project.
“I would say that Mr. President has blown the whistle, let the race to realizing the full potentials of our economy begin. Let us recommit to the beneficiation of our natural endowments. Let us put action to consuming what we produce, so that we can expand the production of what we consume. This way, we can build a prosperous, more diversified and inclusive economy that benefits all Nigerians.” he added.