The Raw Materials Research and Development Council (RMRDC) has sought the support of the rubber industry regarding the prevention of raw materials exportation from Nigeria through the amendment of its founding Act, among other measures.
RMRDC’s Director-General, Prof. Nnayelugo Ike-Muonso, disclosed this at a one-day Investment Forum on the Development and Rehabilitation of the Rubber Value Chain in Owerri on Monday, according to a NAN report.
Ike-Muonso was represented by Mrs. Chima Obi, the Director of the State Industrial Extension Services Department at the RMRDC Headquarters.
She urged stakeholders in the rubber industry to support the council’s ongoing quest for a review of the Act establishing the council.
Need to Review Raw Materials Act
According to Obi, “The Council is pursuing a bill to amend the Raw Materials Research and Development Council (RMRDC) Act 2022 to inhibit the exportation of raw materials in their virgin form from Nigeria.”
- The DG revealed that stakeholders in Abuja gave overwhelming support to the bill on March 5, 2024, during a public hearing organized by the Senate Committee on Science and Technology.
- He urged rubber industry stakeholders to also support the bill’s amendment, adding that the consideration and passage of the bill would stop the exportation of wealth and jobs to foreign countries by ensuring that raw materials are processed before export.
“Value addition plays a crucial role in fostering economic development, enhancing business growth, and ensuring consumer satisfaction. Through transforming raw materials into higher-value products, industries can increase profitability, create employment opportunities, and promote sustainable development,” Obi added.
- Speaking on the theme “Rebooting Rubber: Transforming Imo’s Agricultural and Industrial Future,” Mr. Emenike Onu, the Deputy Vice President of the National Association of Small-Scale Industrialists (NASSI), described the proposed amendment as a significant step toward achieving greater economic growth.
- He stressed the need for legislators to discourage the export of Nigeria’s raw materials in their unprocessed form.
- On his part, the Imo Commissioner for Agriculture and Food Security, Mr. Cosmos Maduba, agreed that rubber plantations were a lifeline for millions of smallholder farmers and large-scale producers worldwide.
What to know about the Raw Materials Amendment Bill
Among other things, the amendment to the RMRDC Act 2022 is aimed at granting the Council the mandate to enforce compliance with the provisions of the proposed bill.
- The bill seeks to prohibit the export of raw materials in their virgin form without at least 30% value addition.
- It is designed to prioritize domestic production and substantially boost Nigeria’s local manufacturing capabilities.
- The bill is considered by many industry watchers and experts as a crucial step toward Nigeria’s industrialization and sustainable economic growth.
The bill was sponsored by Senator Nwebonyi Peter Onyekachi, representing the Ebonyi North Senatorial District, and was first presented to the National Assembly on Tuesday, October 15, 2024. It scaled the second reading on Tuesday, December 10, 2024.
