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The Manufacturers Association of Nigeria (MAN) has called on the Federal Government to urgently move from policy intent to execution by fast-tracking the implementation of the recently approved Nigeria Industrial Policy and addressing structural energy cost distortions confronting manufacturers ahead of 2026.
In its State of Affairs outlook, MAN said the absence of a clear, actionable implementation framework for the Nigeria Industrial Policy continues to weaken industrial competitiveness, limit investment inflows and undermine the effectiveness of other macroeconomic reforms.
The association stressed that the policy must be private sector–driven, aligned with the “Nigeria First” agenda and anchored on measurable deliverables that reflect the realities of domestic manufacturing.
According to MAN, execution – not policy announcements – will determine whether Nigeria can transition from stabilization to accelerated growth. It urged government to develop a detailed implementation strategy with defined timelines, responsibilities and performance indicators to ensure the industrial policy delivers tangible outcomes in productivity, employment and exports.
MAN also identified energy pricing as a critical threat to industrial survival, calling for manufacturers to be formally classified as strategic users of gas. The association said the wide disparity between the gas prices paid by manufacturers and those paid by electricity generation companies has eroded competitiveness, raised production costs and constrained capacity utilization.
Closing this gap, MAN argued, would immediately improve cost efficiency and strengthen industrial output.
Reflecting on 2025, MAN noted that the modest but consistent improvement in the Manufacturers’ Confidence Index since Q2 signaled a gradual economic recovery. However, it warned that the gains remain fragile, particularly in the face of exchange rate volatility and oil production disruptions recorded in August and September.
While global oil prices are beyond Nigeria’s control, MAN stressed that production stability is a domestic responsibility that must be urgently safeguarded.
The association commended the Central Bank of Nigeria’s recent interest rate cut but maintained that credit conditions remain too tight for the real sector. To unlock investment and expansion, MAN recommended a further 200–300 basis point rate reduction, alongside the launch of a Manufacturing Refinancing and Rediscounting Facility to provide long-term, single-digit financing for manufacturers.
Beyond financing, MAN called for structural enablers, including a dedicated foreign exchange window for manufacturers, a transparent gas pricing framework prioritising local supply, and the expansion of embedded power and industrial cluster energy projects using gas and renewable mini-grids.
On regulation and trade facilitation, the association urged the creation of a National Manufacturing Regulatory Coordination Desk to harmonize approvals across agencies, alongside strict KPIs and audits for the National Single Window Project. It also pressed for the clearance of Export Expansion Grant backlogs, simplified export certification processes, and import duty exemptions for essential non-locally available inputs.
MAN stressed that manufacturing remains the backbone of sustainable recovery and inclusive growth. To secure the fragile gains of 2025 and accelerate prosperity in 2026, it said Nigeria must decisively place manufacturing at the centre of its economic strategy, backed by disciplined execution, affordable energy and accessible finance.
