Nigeria begins review of Export Expansion Grant scheme

The Federal Government  has started the review of the is currently addressing and reviewing of the Export Expansion Grant (EEG) scheme and Negotiable Duty Credit Certificate (NDCC) claims in the country and would soon resolve the impasse in the nation’s export market.

Industry, Trade and Investment Minister, Aisha Abubakar, disclosed this during the breakfast meeting/ inauguration of Manufacturers Association of Nigeria Large Corporation (MANLCG) of Manufacturers Association of Nigeria Manufacturers Association of Nigeria (MAN) in Lagos.

She said that the administration of President Muhammadu Buhari was committed to resolving manufacturers’ challenges in the country, especially on the issues of EEG and NDCC. “To assure you of the present administration’s interest in manufacturer’s activities, the issue of EEG/NDCC claims is being addressed and the review will very, very soon be concluded,” she said.

The minister stressed that the ministry, apart from pursuing industrial policies has focused also on permissive economic strategies anchored on free market economy, free entry and free exist of factors of production, local resources development and utilisation to get it right.

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She added that this entails capacity production utilisation in manufacturing sector, as well as vigorous export promotion and expansion through the provision of appropriate mix of incentives to local and foreign investors, manufacturers and exporters so as to encourage increased domestic production, and export of made in Nigeria goods, which have huge potential to generate alternative streams of foreign exchange other than crude oil.

Abubakar stated that the interest of the present administration is to have a visible and vibrant manufacturing sector that is adequately empowered to produce goods for local consumption and for export, in line with its diversification agenda. Her words: “Government has created and is still creating enabling business environments to fix and fill the gap created by industrial challenges, value addition to the natural resources is key to attaining the set objectives.

Economic growth can never be achieved without diversifying through agriculture value chain, mining, oil and gas processing in Nigeria today. The interest of the present administration is to have a visible and vibrant manufacturing sector that is adequately empowered to produce goods for local consumption and for export.”

She, however, listed the challenges facing the manufacturing sector to include, the nationwide low capacity utilisation as well as infrastructure deficiency especially in poor energy supply; poor access to modern technology; unfair competition and multiple taxation.