Key points
- Nigeria’s total export value rose to N85.13 trillion in 2025, according to the National Bureau of Statistics (NBS).
- Manufactured exports contributed only 2.94 per cent of total exports, continuing a four-year stagnation trend.
- Industry stakeholders blame high production costs, poor infrastructure and weak policy implementation for the decline.
- Exporters say Nigeria is failing to maximise opportunities under the African Continental Free Trade Area (AfCFTA).
- Analysts warn that export growth remains largely commodity-driven, with limited industrial value addition.
Main story
Nigeria’s manufacturing sector continues to struggle for relevance in the country’s export economy despite a sharp rise in overall trade value, latest data from the National Bureau of Statistics has shown.
According to the NBS, total exports increased by 9.93 per cent year-on-year to N85.13 trillion in 2025. However, manufactured exports stood at N2.5 trillion, accounting for just 2.94 per cent of total exports — slightly lower than the 2.96 per cent recorded in 2024.
The figures highlight a persistent stagnation in the contribution of manufactured goods to Nigeria’s export basket over the last four years, despite consistent growth in overall export earnings.
In contrast, manufactured exports accounted for 5.21 per cent of total exports in 2021, underscoring the sector’s declining share in the country’s trade structure.
The issues
Industry stakeholders say the weak performance reflects deep structural problems within Nigeria’s manufacturing and export ecosystem.
Manufacturers cited high energy costs, poor infrastructure, logistics challenges and policy inconsistencies as major factors undermining competitiveness in international markets.
Stakeholders also pointed to weak quality assurance systems, poor packaging and certification issues, which continue to result in the rejection of Nigerian products abroad.
According to exporters, Nigeria’s heavy dependence on raw and minimally processed exports further exposes the country’s failure to build a strong value-added industrial base.
Concerns have also been raised over the country’s inability to fully leverage opportunities presented by the African Continental Free Trade Area despite access to a massive regional market.
What’s being said
Chairman of the Manufacturers Association of Nigeria Export Promotion Group (MANEG), Mrs Odiri Erewa-Meggison, said Nigeria’s problem lies more in execution than market access.
“Nigeria does not have a market access problem; we have an execution problem. African Continental Free Trade Area (AfCFTA) presents a $3.4 trillion opportunity across 1.3 billion people, but access without readiness delivers no value,” she stated.
She disclosed that over 70 per cent of Nigerian food exports are rejected internationally, while about 30 per cent of manufactured exports fail due to packaging, labelling and certification deficiencies.
Director-General of the Manufacturers Association of Nigeria (MAN), Segun Ajayi-Kadir, said rising production costs continue to weaken local manufacturers.
“You cannot compete globally when your cost of production is significantly higher than your competitors. That is the reality Nigerian manufacturers face daily,” he said.
Chief Executive Officer of the Centre for the Promotion of Private Enterprise (CPPE), Muda Yusuf, described the trend as evidence of a deeper structural imbalance.
“What we are seeing is growth without industrial depth. Our export expansion is still commodity-driven, and until we scale up value addition, manufacturing will remain insignificant in export performance,” he said.
What’s next
Stakeholders are calling for urgent reforms aimed at improving industrial competitiveness and export readiness.
Recommended measures include investment in infrastructure, affordable energy supply, improved logistics, stronger quality control systems and better access to export financing.
Industry players also want more effective implementation of AfCFTA policies to help Nigerian manufacturers compete more favourably across regional and global markets.
Bottom line
While Nigeria’s export earnings continue to rise, the country’s manufacturing sector remains marginal in the broader trade landscape.
Analysts warn that without deliberate efforts to strengthen value-added production and industrial capacity, Nigeria’s export growth may continue to expand on paper without delivering meaningful economic transformation or sustainable industrial development.
SOURCE: BizWatchNigeria.Ng
