The Manufacturers Association of Nigeria Export Group (MANEG) has raised urgent concerns about a deteriorating business environment that is pushing the manufacturing sector to the brink of collapse. In light of rising production costs, MANEG is calling for immediate government action to support the industry, which it describes as being on “ventilators.”
During the group’s annual general meeting, Chairwoman Odiri Erewa-Meggison highlighted the severe challenges faced by exporters in 2023, including foreign exchange scarcity, high production costs driven by multiple taxation, soaring interest rates, smuggling, insecurity, and persistent power supply issues. She emphasized that these factors have made the operating environment increasingly hostile.
Erewa-Meggison criticized the current administration’s policy reforms, noting that the removal of fuel subsidies and increased energy tariffs have exacerbated the situation, causing exporters to struggle for survival amidst hyperinflation and infrastructural deficiencies. She stressed the importance of the Export Expansion Grants (EEG) to enhance the sector’s global competitiveness and urged the government to reconsider the exclusion of 34 deserving exporters from a promissory notes program previously halted by the 9th Assembly.
Additionally, Erewa-Meggison pointed to other challenges impacting manufacturing exports, such as the sit-at-home order in southeastern Nigeria, insecurity in the north, and fluctuating diesel prices. While acknowledging the government’s efforts to reform tax policies and improve customs processes, she called for a digitized platform to streamline operations among relevant agencies and ensure effective communication with exporters.
Erewa-Meggison concluded by advocating for ongoing dialogue between the government and exporters to address critical pain points in the industry, emphasizing the need for swift action to ensure the survival and competitiveness of Nigerian manufacturers in the global market.
