Why SMEs are closing operations daily – NASSI

Bisola David
Bisola David
Firm provides training support to SMEs

The Nigerian Association of Small Scale Industrialists has revealed that Micro, Small, and Medium Enterprises are closing down operations on a daily basis due to the country’s tough operating climate.

The Punch reported that this was said in a conversation on the sidelines of the 2023 “Made in Nigeria” NASSI Trade Fair, which was hosted in Lagos, by the vice chairman of the association’s Lagos branch, Peter Popoola.

Popoola claimed that despite having the potential to make a significant economic contribution, MSMEs are unable to do so because of the numerous barriers that they must overcome.

“Small-scale businesses contribute the most to the economy, and Nigeria is no exception. There are more than 50 million MSMEs in this country when you count them all. We also take the lead when it comes to employment. MSMEs are therefore forces that you cannot neutralize,” he said.

“The economics is not on our side. Our members are seriously affected by the difficulty. In fact, because they are unable to continue, our members are closing their doors every day. Raw materials have soared in price. We are unable to use the generator to produce again. We will lose money if we purchase diesel at N1,050 per liter for production.”

The purpose of the trade show, according to the head of NASSI’s Lagos State branch, is to highlight the high caliber of goods produced in Nigeria.

The purpose of the Made in Nigeria Trade Fair, as she put it, is to encourage our producer members to display their goods for public consumption.

“Only after seeing their products can people understand what they are doing, and only then can they find off-takers—individuals who can take the goods to their stores or warehouses and resell them to customers.”

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