The Manufacturers Association of Nigeria (MAN) has emphasized that the production of polypropylene by Dangote Petroleum Refinery & Petrochemicals will significantly transform Nigeria’s textile industry while reducing the country’s dependency on imports. This move is expected to save Nigeria approximately $267 million in foreign exchange spent on importing polypropylene. Polypropylene Deficit Hindered Textile Industry Growth In a recent interview on the Channels Business Incorporated Programme, Segun Kadir-Ajayi, Director-General of MAN, highlighted the struggles of Nigeria’s textile industry, which once thrived with over 25,000 workers, particularly in the northern region. The lack of locally produced polypropylene and scarcity of foreign exchange for imports forced many textile companies to shut down, further weakening the manufacturing sector. Dangote Refinery’s Contribution to Industrial Growth Nigeria currently imports nearly 90% of its annual polypropylene needs, which totals about 250,000 metric tonnes per year. With the launch of Dangote’s polypropylene production, Nigeria is poised to not only meet local demand but also become a net exporter, generating much-needed foreign exchange. “For us in the manufacturing sector, this is a significant milestone. The 250,000 metric tonnes national demand will now be covered, reducing reliance on imports,” Kadir-Ajayi stated. “This development will positively impact the textile, plastic, and furniture industries, saving Nigeria $267 million in import costs annually.” Dangote Petrochemical Plant: Key to Industrial Advancement The $2 billion Dangote Petrochemical Plant, located in Ibeju-Lekki, Lagos, is engineered to produce 77 grades of polypropylene, boasting a capacity of 900,000 metric tonnes per year and an annual revenue projection of $1.2 billion. This initiative will: For more insights on how polypropylene production is shaping Nigeria’s industrial sector, visit The World Bank’s Industrialization Report. READ ALSO: Follow the LMSINT MEDIA channel on WhatsApp: Join Our WhatsApp Group Hear: Chat on WhatsApp Join our Telegram Channel
The Northern Economic Development Forum has eased concerns raised by Northern governors over the new tax reform policies introduced by President Bola Tinubu, assuring that these reforms will benefit the northern region. Northern governors initially opposed the Tax Reform Bills, urging the National Assembly to reject them, arguing that the reforms might not align with the North’s interests. However, the development forum expressed confidence in the reform’s potential benefits, stating that the proposed tax laws aim to modernize and improve Nigeria’s tax system without adverse effects. President Tinubu and the Federal Executive Council recently introduced legislation to overhaul tax processes, unify revenue collection, and streamline financial obligations for both businesses and citizens. The Northern Economic Development Forum emphasized the importance of thoroughly understanding the proposed bills before opposing them. They announced plans for a comprehensive awareness campaign across the 19 northern states to rally support for the Tax Reform Bills, asserting that the reforms will drive progress in the North and benefit the entire country. In a statement signed by Dr. Mustapha Ibrahim Gusau, the forum explained critical elements of the four bills—the Nigeria Tax Act, Nigeria Tax Administration Act, Nigeria Revenue Service (Establishment) Act, and Joint Revenue Board (Establishment) Act—highlighting that the reforms are intended to clear up misconceptions. READ ALSO: The forum clarified that the new tax policies are not designed to increase the number of taxes but rather to optimize current tax systems without adding complexity. It also stressed that: The Forum highlighted that these bills will harmonize tax laws, enhance efficiency, modernize the tax system, and strengthen coordination among revenue agencies. They are also expected to foster transparency, align with international standards, and expand the tax base. The forum called on Nigerians, particularly in the North, to support the reforms and avoid unnecessary alarm.
