FG Eyes 25% Manufacturing Sector GDP Contribution By 2035
Naija News • 1h ago
**Boosting Nigeria's Manufacturing Sector: FG Aims for 25% GDP Contribution by 2035**
In a move to drive economic growth and reduce dependence on oil exports, the Federal Government has unveiled a comprehensive Nigeria Industrial Policy (NIP) aimed at boosting the manufacturing sector's contribution to the country's Gross Domestic Product (GDP) to 25% by 2035.
Currently, the sector accounts for a mere 8.2% of the country's GDP, employing approximately 13 million Nigerians, mainly in food processing, cement production, textiles, pharmaceuticals, and the automotive industry. The government hopes that by 2030, the sector will contribute 15% to the GDP, and by 2035, it will reach 25%.
The NIP is designed to accelerate Nigeria's industrial transformation by leveraging the country's natural and human capital to promote inclusive, sustainable, and competitive manufacturing. This will not only contribute to the country's aspiration of attaining a $1 trillion economy by 2030 but also promote sustainable development and reduce unemployment.
The government has identified four key sectors for development: metals and solid minerals, oil and gas, construction, and manufacturing. Each sector comprises multiple sub-sectors that offer strategic opportunities for industrial development. The agro-allied industry, which accounts for 35% of total employment, is a primary source of raw materials for key manufacturing sectors.
However, the industry faces several challenges, including limited mechanization, outdated farming techniques, post-harvest losses, and insecurity. The government has assured that relevant legal and institutional frameworks are in place to address these challenges, including inadequate power supply, low access to finance, and competition from cheap imported products.
The Minister of State for Industry, Trade and Investment, Senator John Owan Enoh, described the NIP as a comprehensive framework that reaffirms the country's resolve to diversify the economy, create inclusive prosperity, and secure Nigeria's rightful place as a leading industrial hub in Africa and the wider global economy.
With abundant natural resources, massive investment in Special Economic Zones (SEZs), and a growing market size, the future outlook for Nigeria's manufacturing sector is indeed bright. If successful, the NIP could not only boost economic growth but also create millions of jobs, reduce poverty, and promote sustainable development in the country.