One sure way manufacturing companies can survive the current economic hardships is to stop the importation of raw materials and invest in the local market by sourcing their raw materials locally.
Nigeria is known for its enormous raw materials and solid minerals endowments, but only 51.7 percent as at December 2021 of raw materials is sourced within the country.
Data from Manufacturers Association of Nigeria (MAN) for half yearly review of the economy for July-December 2021 revealed that local raw materials utilization in the manufacturing sector dipped to 51.7 percent in the period under review from 56.5 percent recorded in the corresponding period of 2020; thus indicating 4.8 percentage points decline over the period.
It however, declined by 1.3 percentage points when compared with 53 percent recorded in the preceding half. Local sourcing of raw materials averaged 52.4 percent in 2021 as against 57.5 percent in 2020 Since the full opening of the economy following the lockdown…
Source: Leadership Newspaper
