Nigerian manufacturers protest low patronage of local metals, aluminium

Producers of primary and secondary aluminium products, cold rolled coils, enamel wares, galvanised iron and steel, nails and wires as well as steel pipes in Nigeria have expressed disappointment over lack of government patronage of their products, stressing that this is further encouraging influx of substandard products into the country.

Nigeria’s government is seen as the biggest spender. Its departments, agencies and parastatals often embark on projects that require the use of metals and aluminium products. However, they prefer to import these products rather than patronise local manufacturers.

“The sector has emphasised the need for government to patronise made-in-Nigeria products as a way of curbing the obvious challenge of influx of sub-standard imported products and to encourage local manufacturers,” said Basic Metal, Iron and Steel and Fabricated Metal Products Group of the Manufacturers Association of Nigeria, in its sectoral report, released after an annual general meeting held last Thursday in Lagos.

“This request has not been actualised by government as it has been observed that majority of the sub-sectors are yet to be patronised by the government,” said the group, adding that the non-patronage is against the spirit of the resolutions earlier reached with the government. The group argued that government should show the way by patronising locally made products before urging Nigerian consumers to do so.

Also, a sub-sector of the group, made up of enamel ware makers, has agreed that duty on finished products imported into the country should be reviewed upwards from 20 percent to 35 percent, in addition to 35 percent levy to encourage local production.

The sub-group further agreed that there is the need for government to review the Free Trade Zone (FTZ) Act to ensure that all companies operating in the FTZ pay all duties and levies sine they all operate in the local market.