The Manufacturers Association of Nigeria has urged the Federal Government to enact the Nigeria First Policy into law to strengthen the manufacturing sector.

In his keynote address at the 2025 BusinessDay Manufacturing Conference in Lagos on Thursday, MAN Director-General Segun Ajayi-Kadir emphasized that formalizing the procurement policy through legislation would ensure its consistent implementation across all government branches and the private sector.

The ‘Nigeria First’ policy requires Federal Government ministries, departments, and agencies to prioritize locally made products in their budget allocations.

Ajayi-Kadir noted that the manufacturing sector, currently challenged by high interest rates, would greatly benefit if the policy were enforced as law.

He said, “Make the Nigeria First Policy a binding law, and punitive measures should be put in place for violators. This is critical to give the policy legal standing, ensuring transparency, public awareness, and enforceability across government institutions and the private sector.”

Ajayi-Kadir warned that without a formal legal framework, the Nigeria First policy risks ending up like past executive orders 003 and 005, which failed to deliver meaningful results.

“Nigeria must seize this moment to transform its manufacturing sector by prioritising the patronage of local products. If we fail to nurture our own, we will forever be at the mercy of others,” he added.

Meanwhile, MAN’s DG expressed deep concern over the challenges facing manufacturers. He revealed that 767 manufacturing companies closed in 2023, with over 18,000 jobs lost in 2024.

He highlighted that rising costs, policy inconsistencies, deteriorating infrastructure, and currency depreciation have pushed the manufacturing sector to the brink of collapse.

MAN urged the government to settle the $2.4 billion in outstanding foreign exchange forwards, reverse the 15% hike in port charges by the Nigerian Ports Authority, and remove the suspended but previously enforced 4% Free on Board levy on exports.

Ajayi-Kadir also called for the expedited completion of the Ajaokuta-Kaduna-Kano gas pipeline, which is expected to add 3.6 GW to the power grid and significantly ease energy costs for manufacturers.