The Minister of Power, Aebayo Adelabu has stated the federal government is targeting 100% import substitution as a measure to drive local manufacturing in the power sector.
Adelabu revealed this during a facility tour of Coleman Wires and Cables on Friday in the Arepo area of Ogun.
He explained that the tour aimed to help the Federal Government better understand the capacities of stakeholders across the power value chain, thereby supporting the patronage and sustainability of the sector.
The minister emphasized the government’s commitment to enhancing and developing local content manufacturing to promote import substitution, elevate local companies to champion status and foster global competitiveness.
He said, “It is important to commend the resilience and capabilities of manufacturers in the country. The magnitude of import dependence is huge and those that have supported government’s efforts at import substitution must be acknowledged.”
“Government’s ultimate target is 100% import substitution to drive productive manufacturing, reduce pressure on foreign exchange and make Naira stronger.”
“What coleman is doing is in line with the objectives of the Federal Government on manufacturing and ending the importation cycle and we are ready to support such activities,”
Local solutions to manufactures problems
Mr. George Onafowokan, the M.D and CEO of Coleman Cables highlighted that the company had demonstrated that goods and services made in Nigeria could meet both local and export demands, standing up to international standards and global competition.
He emphasized the necessity for the federal government to localize solutions for power transmission by developing the capacities of indigenous manufacturers and creating a more enabling and incentivized business environment.
“In the drive for solutions to power transmission in the country, there must be a move that is seen from a local perspective, deliberately pushing for local industries to grow.
“Nigeria can be a processing country with the volumes of population we have, but it is important to have that much needed balance between fiscal and monetary policies to address foreign exchange volatility and create an enabling environment.
“Enablers for transition to a processing country must allow import of raw materials easily and export of finished products easily and focus on value addition for every sector to grow. We must also push domestic direct investment, incentivise them and address counterfeiting to drive Nigeria’s non-oil exports.”
“At Coleman, we are working with the Standards Organisation of Nigeria (SON) to drive the identification process on each product to address counterfeiting,”
To address the skill gaps in technical manufacturing, Onafowokan urged a review of tertiary institution curricula to include more practical training in automation and machinery engineering, thereby enhancing production capabilities.
