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The Performance of the Nigerian Manufacturing Sector: A 52-Year Analysis of Growth and Retrogression (1960-2012)

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This paper examines the performance of the Nigerian manufacturing sector since independence in 1960 using such performance indices as percentage contribution to the Gross Domestic Product, index of manufactured products, percentage growth rate, manufacturing value added, employment growth rate, and percentage of capacity utilization within this period. Secondary sources like the Central Bank of Nigeria Statistical Bulletin, Annual Reports and Statements of Accounts as well as the Statistical Facts sheets of the National Bureau of Statistics and other publications were used in collecting the data. The main finding is that despite many policies and developmental initiatives undertaken by successive civilian and military administrations since independence, the Nigerian manufacturing sector has grossly underperformed in relation to its potentials. Daunting challenges facing the sector include unfavourable business environment, erratic power supply, poor and decaying physical infrastructures, multiple taxations, obsolete technology, high interest rates and inconsistency in government policies. The paper concludes by making recommendations for achieving a verile manufacturing sector.
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Publisher: Asian Economic and Social Society
ISSN (E): 2225-4226
Volume 2 No. 8 August 2012.
The Performance of the Nigerian Manufacturing Sector:
A 52-Year Analysis of Growth and Retrogression (1960-
2012)
Simbo A. Banjoko (Department of Business Administration
University of Lagos)
Iwuji, I. I. (Department of Business Administration University of
Lagos)
Bagshaw, K. (Department of Business Administration, Rivers
State University of Science & Technology, Port Harcourt, Rivers
State)
Citation: Simbo A. Banjoko., Iwuji, I. I. and Bagshaw, K. (2012) “The Performance of the
Nigerian Manufacturing Sector: A 52-Year Analysis of Growth and Retrogression (1960-2012)”,
Journal of Asian Business Strategy, Vol. 2, No. 8, pp. 177 -191.
The Performance of the Nigerian Manufacturing.....
177
Author(s)
Simbo A. Banjoko
Department of Business
Administration, University of
Lagos
Email: sbanjoko@unilag.edu.ng
Iwuji, I. I.
Department of Business
Administration, University of
Lagos
Email: iwujifeanyi@yahoo.co.uk
Bagshaw, K.
Department of Business
Administration, Rivers State
University of Science &
Technology, Port Harcourt,
Rivers State
Email: bagshawkb@yahoo.com
The Performance of the Nigerian Manufacturing
Sector: A 52-Year Analysis of Growth and
Retrogression (1960-2012)
Abstract
This paper examines the performance of the Nigerian
manufacturing sector since independence in 1960 using such
performance indices as percentage contribution to the Gross
Domestic Product, index of manufactured products, percentage
growth rate, manufacturing value added, employment growth
rate, and percentage of capacity utilization within this period.
Secondary sources like the Central Bank of Nigeria Statistical
Bulletin, Annual Reports and Statements of Accounts as well
as the Statistical Facts sheets of the National Bureau of
Statistics and other publications were used in collecting the
data. The main finding is that despite many policies and
developmental initiatives undertaken by successive civilian and
military administrations since independence, the Nigerian
manufacturing sector has grossly underperformed in relation to
its potentials. Daunting challenges facing the sector include
unfavourable business environment, erratic power supply, poor
and decaying physical infrastructures, multiple taxations,
obsolete technology, high interest rates and inconsistency in
government policies. The paper concludes by making
recommendations for achieving a verile manufacturing sector.
Introduction
The manufacturing sector of any economy
worldwide is reputed to be the engine of growth
and a catalyst for sustainable transformation
and national development. This is because of its
enormous potentials as a tool for creating
wealth, generating employment, contributing to
the country’s Gross Domestic Product as well
as alleviating poverty among the citizenry. The
experiences of the developed countries of the
world and the emerging economies of China,
India, North Korea, Malaysia and Singapore
show that there is a positive correlation between
the aforementioned indicators of the
performance of the manufacturing sector and
national growth and development. Thus, for
many up- coming countries like Nigeria, the
development of the manufacturing sector is an
imperative for meaningful and sustainable
national growth.
The objective of this paper is to examine the
performances of the Nigerian manufacturing
sector these past fifty-two years in terms of its
contributions or otherwise to the economic
transformation of Nigeria. The paper is divided
into five sections. Section I of this paper
presents a review and assessment of the
achievements of various governmental policies
and programmes that have impacted positively
or negatively on the manufacturing sector since
independence. Section II analyses the trends of
growth and retrogression of the sector during
the period under review. Section III discusses
factors responsible for the decline in the sector.
Section IV contains the recommendations for
achieving sustainable growth. Section V
provides the concluding part of the paper.
The performance of the Nigerian manufacturing
sector since independence has been
unimpressive. The scenario is a mixture of
initial mild growth and subsequent
retrogression. At independence, the colonial
masters bequeathed to us a manufacturing
sector that was weak both in structure and
content. The Nigerian industrial sector was
substantially dominated by large European
Journal of Asian Business Strategy, 2(8), pp. 177-191
178
companies like UAC, CFAO, and John Holt.
These companies were primarily engaged in
trade and commerce and in the marketing of
manufactured goods imported from their home
countries. Our economy was “structured and
organized mainly as a source of raw materials
and market for industrial products of the mother
country, ……. industrialization was
discouraged with relevant anti-industrialization
enactments and policies made as if to ensure
that there was no substantial industrial
development” ( Egwaihude et al, 2001). There
was no attempt to reinvest financial resources
generated within the country for developmental
purpose nor was there any concrete attempt
made to develop indigenous entrepreneurship.
With the attainment of independence in 1960,
an unprecedented euphoria of excitement and
greater urge for industrialization became
prevalent. The first National Development Plan
(1962-1968) was aimed at kick-starting massive
industrialization across the country. To this end,
well-articulated developmental projects and
policies were initiated to stimulate the
establishment and growth of a virile
manufacturing sector. For example, the building
of an Iron and Steel project believed to be
critical for a verile industrial growth was set in
motion in 1963. The setting up of the Nigerian
Industrial Bank; a developmental credit
institution in partnership with the International
Finance Corporation took place in 1963.
Government also initiated the building of the
first petroleum refinery at Alese Eleme in Port
Harcourt to supply all the refined petroleum
needs of the country.
Besides the above, foreign and local investors
were attracted with incentives which included
pioneer certificates which would allow
investors to enjoy numerous tax reliefs, custom
duty relief on imported industrial machineries,
spare parts and components brought into the
country. Local investors were also given
protection via expatriate quota restrictions and
excise duty reliefs.
With the support and encouragement of
government and the aforementioned
inducements to foreign and local investors,
many industries started to emerge in many part
of the country. In Ikeja and Apapa, for example,
a plethora of manufacturing activities
developed with unbelievable intensity. These
included paper, tyres and tubes, textile, saw
milling, bakery, cocoa confectionery and
aluminum manufacturing companies. In
Nkalagu and Sokoto, cement companies
emerged to take advantage of the abundance of
limestones in these areas. In Kaduna and Kano,
leather and footwear manufacturing companies,
among others, sprang up.
To support the current industrialization drive
with adequate supply of middle, technical and
managerial manpower, four Universities: the
University of Nigeria, Nsukka, the University
of Ife (now Obafemi Awolowo University),
Ahmadu Bello University and the University of
Lagos were established during this plan period.
The premier University College, Ibadan became
fully autonomous as the University of Ibadan in
1964. In addition, many trade fairs were held
and bilateral trade agreements signed with
many countries and foreign investors all in an
attempt to ensure the rapid growth of our
industrial sector. In a bold attempt by
government to boost electricity in the industrial
sector and all parts of the country, a contract for
the construction of Kanji dam was awarded in
1964. The country appeared ready for massive
industrialization.
Import Substitution as an Industrialization
Strategy
One serious defect of the colonial
administration was the failure to lay a solid
foundation for the development of an industrial
economy for Nigeria. According to Egwaikhide
et al (2001), “an industrial economy was not
part of the colonial economic policy which was
anchored on making the colonies perpetual
producers of primary raw materials for foreign
industries and importers of manufactured
goods”. To correct this anomaly, the strategy of
import substitution was initiated whereby local
industries would be set up to manufacture
goods that would substitute imported goods
with locally manufactured products over time.
This strategy was believed to be the path to
putting in place a realistic industrial base that
could transform Nigeria into an industrial state.
Truly, the strategy rekindled our consciousness
and fired many investors both local and foreign
The Performance of the Nigerian Manufacturing.....
179
into setting up many industries. Unfortunately,
the import substitution strategy failed to satisfy
our aspiration for rapid industrialization as
envisaged because of obvious lacuna in our
development strategy. As Adejugbe (2004) put
it, “we tried to put the right foot in the left
shoe”. The import substitution strategy as a
growth strategy failed because we lack local
inputs in terms of raw materials and technology
to make it work. Paradoxically, import
substitution industries “still depended primarily
on imported raw materials and foreign
technology and were thus constrained to
continue relying on external sources of supply
thereby compounding our balance of payment
problem. Also, our industrial capacity
utilization was put at the mercies of foreign
suppliers of our input resources. Thus, with no
realistic basis for the development of
indigenous raw materials, technology and
indigenous capability that are so crucial for any
self-sustaining industrialization programme,
government had to look for a better strategy for
enhancing the development of our
manufacturing sector.
The Second National Development Plan
(1970-74)
The tempo of economic development and rapid
industrialization was slowed down by the
outbreak of political crisis between 1964 and
1966 culminating in the military coup of 1966.
The Nigerian civil war of 1967-70 resulted in
the damage of critical infrastructure.
Nevertheless, a bold attempt at laying a solid
foundation for the emergence of a virile and
growing industrial sector had been made by the
First Development Plan. Consequently, the
focus of the Second National Development Plan
was to rebuild industrial facilities and
infrastructures that were damaged during the
civil war and by so doing revive the post-war
Nigerian economy. Damaged roads, electricity
and communication networks as well as
damaged cement factories in Nkalagu and
Calabar were repaired and expanded in an
attempt to enhance the growth and
diversification of the industrial sector of the
economy. New refineries sprang up in Warri,
Port Harcourt and Kaduna. New petrochemical
plants were built at Eleme while Iron and Steel
complexes were built in Ajaokuta and Aladja
and new rolling mills at Oshogbo, Jos and
Katsina.
Given the above-mentioned efforts and
commitment of government to stimulate the
accelerated growth of the industrial sector, it is
not surprising that the performance of the
manufacturing sector during the First and
Second Development Plan periods were very
remarkable. Table 1 shows the substantial
growth of the manufacturing sector between
1958-1967.
The manufacturing sector value added rose
remarkably from £75.4m in 1963 to £112.9m
1967, while the sector’s percentage contribution
to GDP increased from 5.6% in 1963 to 8.4% in
1967. The average growth rate for this period
was 16.35%.
Table 1: Manufacturing Sector Performance (1958-1967)
1958
1963
1967
£40.5 m
£75.4 m
£112.9 m
4.0%
5.6%
8.4%
-
17.0%
15.7%
Source: Second National Development Plan (1970-74), p. 137
Despite this pattern of industrial growth, current
efforts at industrialization failed to broaden the
base of our national economy by raising the
proportion of indigenous ownership of
industrial establishments. Foreigners still
substantially dominated the major fabrics of our
industrial sector. For a sustainable and realistic
growth, indigenous ownership must be
encouraged.
The Indigenization Policy (1972, 1977)
A significant and bold move towards the
development of indigenous entrepreneurship
was made in 1972 with the enactment of the
Nigerian Enterprises Promotion Decree with the
Journal of Asian Business Strategy, 2(8), pp. 177-191
180
sole aim of wrestling the Nigerian industrial
landscape from the strangle of the foreign
entrepreneurs who controlled the technology
and other means of productions. To free our
economy and the industrial sector in particular
from the shackles of foreign domination and
promote the full participation of Nigerians in
the growth of the manufacturing sector, the
Nigerian Enterprises Promotion Decree of 1972
was passed. The decree reserved certain
businesses for Nigerians while the foreign
entrepreneurs were left with businesses
requiring higher technology and capital outlays.
As noble as the objectives of the decree were,
various abuses, even by those it was meant to
assist, frustrated the full realization of its
objectives. For examples, many Nigerians
connived with foreigners to fake the ownership
of businesses and thus became agents of
destabilization for the foreign entrepreneurs.
Consequently, the much expected shift in
control to Nigerians did not take place as the
foreign partners still provided both the
knowledge, technology and others means of
production (Ukaegbu, 1991).
Suffice to say, however, that no matter how
limited the gains, the indigenization policy were
nevertheless provided further impetus to the
growth of indigenous entrepreneurship. The
1977 amendment to the decree further
“increased our economic independence as a
nation while creating a congenial and attractive
atmosphere for foreign investors to operate”.
(Third National Development Plan, 1975-1980,
p. 32)
Towards the tail end of the life of the Third
National Development Plan in 1980, it was
becoming glaringly clear that the economy was
undergoing serious stress as a result of the
collapse of oil price in the world markets which
resulted in a massive decline in our foreign
reserves and a decline in our industrial
production as well. Our Gross Domestic
Product during the Plan period recorded only a
5% growth against a projected growth rate of
9% per annum. Sadly enough, the decline in our
foreign reserves led to rationing of our foreign
exchange resulting in the scarcity of essential
raw materials. This forced many manufacturing
organizations to cut back on their operations
leading to unprecedented under-capacity
utilization and workers retrenchment that have
remained with us till today. An intervention
strategy became imperative to save the
situation.
Structural Adjustment Programme (SAP)
and Its Effect on the Industrial Sector
Between 1982-1985, the economic situation in
Nigeria had become painfully unbearable. All
growth indicators had become negative, oil
revenue fell drastically as a result of the glut in
the world oil market and unprecedented
rationing of foreign exchange among
manufacturers became the order of the day. In
1986, the Structural Adjustment Programme
(SAP) was introduced as an economic survival
strategy. According to Bamidele (2005), it was
meant to reverse the downward trends in the
economy, widen our industrial base, provide
stimuli for increased exports and incentives for
the manufacturing sector to enhance its value-
added and contributions to GDP. Unfortunately,
SAP turned out to be a colossal failure as most
of the expectations were never met. Costs of
domestic production rose through the roof.
Industrial exports did not get the expected
boost. The much expected surge in foreign
investment was not realized and the economy
became seriously battered. As Table 2 below
depicts, the growth of the industrial sector was
seriously constrained during this period by
scarcity of essential raw materials and high
costs of production.
Table 2: Index of Industrial Production under Structural Adjustment Programme
Year
1987
1988
1989
1990
1991
1992
1993
Growth Rate in % (Base year 1985 =100)
17.95
14.5
14.9
6.3
4.5
-1.9
-5.0
Source: Central Bank Nigeria Annual Reports (Several Issues), see also Uwubanwen, A. E. (2008) Impact of
Structural Adjustment Programme on Nigeria’s Industrial Sector, Nigerian Economic and Financial Review,
Vol. 1, No. 20, pp 54-67,
The Performance of the Nigerian Manufacturing.....
181
It is fair however to say that the introduction of
SAP had some beneficial effects. For example,
and according to Odozi (1998), SAP increased
our cost consciousness and called for more
rational conduct on the part of our
entrepreneurs. It also led to increases in local
sourcing of raw materials as typified by the
examples of Guinness Nig. Plc, and Nigerian
Breweries Plc that now rely more on home
grown maize, sorghum and malt. Many textile
manufacturers also benefited from local
cultivation of cotton.
The Growth Trend
In the preceding section, a comprehensive
review of government policies and programmes
aimed at creating a sustainable economy and a
robust manufacturing sector was made. There is
no doubt that these various measures impacted
on the growth and development of the
manufacturing sector. As shown in Table 3
below, the Nigerian economy in terms of GDP
expanded very remarkably between 1960 and
1965 and so was the manufacturing sector
whose contributions to the Gross Domestic
Product rose fairly from 4.8% in 1960 to 6.9%
in 1965. Even though this growth of the
manufacturing sector was still minimal when
compared with the rate of growth of the
manufacturing sector in similar developing
countries at this time, it must be acknowledged
that this growth rate was only second to the
contributions of the oil sector to our GDP.
The period between 1970 and 1975 was a
phenomenal growth period for the country.
There were steady increases in the world oil
market and Nigeria reaped substantial revenue
from its crude oil production. Consequently,
many laudable developmental programmes
were initiated. The government had sufficient
leeway to encourage industrialization by way of
granting incentives to the operators of the
manufacturing sector. During this period, the
percentage change in manufacturing output rose
from 45.9% in 1970 to 273.9% in 1975 but the
sector’s contribution to GDP did not rise
beyond 5.5% which was a far cry from the 20%
contribution of the manufacturing sector to the
GDP of most advanced countries at this period.
Table 3: Value of GDP and Percentage of Manufacturing Contribution to GDP (1960-1983)
Year
GDP Nm
Manufacturing
Value Nm
Percentage
Change in
Manufacturing
Value
Manufacturing
% Share
Contribution to
GDP
1960
2247.3
107.6
-
4.8
1965
3110.0
214.6
99.4%
6.9
1970
7203.0
313.0
45.9
4.3
1975
21475.2
1170.4
273.9
5.5
1980
43,280.2
2354.4
101.1
5.4
1981
43,450.0
2647.5
12.4
6.1
1982
46,921.0
2647.5
0.0
5.6
1983
46,672.8
2520.3
-4.8
5.4
Sources: (i) World Bank Tables 3rd Edition Vol. 1, 1983, pp 134-135
(ii) Olaloku, F.A. et al (1979), Structure of the Nigerian Economy, p.10
(iii) Structure of Production in World Development Reports (various Issues) World Bank
Publications
(iv) Akinlo, E.A (1996), Improving the Performance of Nigerian Manufacturing Sub-Sector,
Nigerian Journal of Economics and Social Sciences, Vol. 38, No.2, pp. 91-110
Table 4 shows the Index of Manufacturing
Production between 1970 and 2005 (1985 =
100). The overall index of manufacturing
production between 1970-1980 averaged a mere
52.2. It rose to 128.8 between 1981-1990 and
further rose to 164.1 between 1991-2000. It
however fell to 144.5 between 2001-2005
Journal of Asian Business Strategy, 2(8), pp. 177-191
182
Table 4: Index of Manufacturing Production (1985 = 100)
Year
1970-1980
1981-1990
1991-2000
2001-2005
Index of Production
52.2
128.8
164.1
144.5
Growth Rate in percentage
-
146.7%
27.4%
-11.94%
Source: Central Bank of Nigeria Statistical Bulletin, Vol. 17, December 2006, p.13
The significant rise in the index of
manufacturing production between 1970 and
2000 was due to massive investments in the
manufacturing sector resulting from increased
earnings from our oil production, rise in
domestic demand and an avalanche of
incentives put in place by government. These
incentives include liberal credit policies,
provision of shelter and protective tariff against
imported goods. Government also established
many industrial zones in different parts of the
country. Industrial zones at Ikeja and Apapa are
typical examples.
Truly, during this period, the capacity
utilization of the manufacturing sector
increased to a record high of 76.6% in 1975
(See Tables 5a and 5b). The trend in average
capacity utilization ranged from 76.6% to
70.1% between 1975 and 1980.
Table 5(a): Average Manufacturing Capacity Utilization (%) Between 1975 and 1981
Year
1975
1976
1977
1978
1979
1980
1981
Average capacity
utilization %
76.6
77.4
78.7
72.9
71.5
70.1
73.3
Source: Central Bank of Nigeria Statistical Bulletin, Vol. 17, December 2007, pp 155-156
Table 5(b): Average Manufacturing Capacity Utilization (%) Between 1982-2007
Year
1982
1983
1984
1985
2001
2002
2003
2004
2005
2006
2007
Average
capacity
utilization
%
63.6
49.7
43.0
38.3
42.7
54.9
56.5
55.7
54.8
53.30
53.5
Source: Central Bank of Nigeria Statistical Bulletin, Vol. 17, December 2007. pp 155-157
From Table 6 below, it is observed that an
appreciable though fluctuating growth rate of
the manufacturing sector was recorded between
2001 and 2005. The growth rate rose from
6.99% in 2001 to 9.12% in 2005. This modest
achievement was made possible due to
government renewed efforts to boost
industrialization via series of economic reforms
embarked upon in 2003. The National
Economic Empowerment and Development
Strategy (NEEDS) which was introduced in
2004 was aimed at (a) boosting our industrial
capacity utilization to 70%, (b) creating 7
million new jobs, (c) improving agriculture (d)
reducing inflation and (e) eliminating poverty.
Even though these objectives were not realized,
it nevertheless positively impacted on the
modest growth of the manufacturing sector
especially between the period 2004 and 2007.
Table 6: Total Manufacturing Sector Growth Rate % (2001-2005)
Year
2001
2002
2003
2004
2005
Growth Rate in %
6.99
10.07
5.66
10.00
9.12
Source: The Nigerian Statistical Fact Sheets, National Bureau of Statistics 2006, p. 4
The Performance of the Nigerian Manufacturing.....
183
The Trends of Retrogression
A clear indication of an impending doom and
retrogression of the Nigerian manufacturing
sector became noticeable as far back as 1979.
By the early 1970’s, Nigeria oil production and
earnings had hit an all time high accounting for
as much as 90% of her foreign exchange
earnings and 65% of government revenues.
Unfortunately, the new oil wealth signalled “the
concurrent decline of other economic sectors
…… and fuelled massive migration to the cities
and thus led to increasing widespread poverty
….” (wikipedia). The government was carried
away by the unexpected deluge of oil revenue
and subsequently relegated industry and
agriculture to the back burner thereby heralding
the decline of the manufacturing sector.
Paradoxically and only few decades ago,
Nigeria was a net exporter of food. Today, the
country spends a substantial part of her foreign
exchange earnings on food imports. Some of
the raw or semi-processed inputs needed to
support manufacturing are hard to come by
thereby perpetuating our continued dependence
on foreign inputs to sustain our industries.
Despite the substantial oil revenue that accrued
to government between 1970 and 1980, it
became glaringly clear in 1981 that the
economy was under stress. By 1982, there was
a catastrophic collapse of the international oil
market. Foreign exchange earnings declined
drastically and beyond our expectation. Our
penchant for high imports created an
unprecedented foreign exchange scarcity that
necessitated rationing among manufacturers.
The resultant effect was the collapse of many
industries in the face of acute shortage of
essential raw materials, spare parts and
components. The large import-substitution
industries which depended heavily on imported
raw materials were seriously hit and had to cut
back on their production shifts. This resulted in
low capacity utilization. The average capacity
utilization that stood at over 70% between
1975-1981 suddenly and sadly plummeted to
49.7% in 1983, and worsened to 43.0% in 1984.
This inevitably signalled the beginning of the
retrogression of the manufacturing sector from
which the sector is yet to recover.
In its wisdom and as discussed earlier, the
government introduced the Structural
Adjustment Programme (SAP) to deal with the
unwholesome situation. Specifically, SAP was
introduced to help correct the imbalance in
resource allocations among and across sectors,
accelerate development and enhance the use of
local raw materials and intermediate inputs
(Akinlo, 1996). According to Uwubanwen
(2008) “it was to restructure and diversify the
productive base of the economy in order to
reduce dependence on oil and on imports” as
well as remove bottlenecks that have impeded
rapid industrial development.
Unfortunately, the expected relief and
upliftment for the industrial sector was never
realized because of the nature and structure of
our industrial sector. Cost of local production
shot up following the introduction of SAP.
Locally produced goods couldn’t compete
favourably with imported goods both in price
and quality. Because our industries still
depended heavily on imported machineries and
raw materials, the costs of sourcing them
became exorbitant and unbearable in the face of
scarce foreign exchange. Sadly, no serious
attention was given to developing local
sourcing of neither raw materials nor
indigenous technology necessary to process
such materials. Consequently, serious economic
crisis completely enveloped the manufacturing
sector and thereby restrained its potentials to
create wealth, generate employment as well as
enhance poverty alleviation. As the UNDP
(2007) report on Nigeria showed, the poverty
level in Nigeria had progressively worsened
over the years (See Tables 7a and 7b).
Table 7(a): Nigeria Poverty Level (1980-2008)
Year
1980
1985
1992
1996
1999
2004
2006
2008
Poverty level in %
28.17
46.0
46
65.6
70.9
70.0
70.9
N/A
Source: UNDP Report on Nigeria, 2007
Journal of Asian Business Strategy, 2(8), pp. 177-191
184
Table 7(b): Nigeria’s Poverty Level in comparison with other Developing Nations
Country
GDP Per Capital US$
Poverty Rate in %
1975
1999
1975
1999
Malaysia
808
14,800
65
8
India
430
2420
58
36
Singapore
2505
27,597
-
-
Indonesia
1504
2046
60
14
Nigeria
454
325
47
70
Source: Shamsuddeen Usman (2011) Achieving the Nigerian Vision 20: 2020 and the President’s
Transformation Agenda. The Role of the Manufacturing Sector, Paper delivered at the 39th Annual General
meeting of the Manufacturing Association of Nigeria in Lagos.
The Nigerian manufacturing sector as at today
has not contributed substantially to the
country’s GDP nor has it contributed
significantly to employment generation. The
growth rate of employment in the sector has
been on the downward trend. Today, the
nation’s overall employment situation has
worsened. Part of what the Economic Reform
Programmes under the National Economic
Empowerment Development Strategy (NEEDS)
was supposed to achieve was to generate more
employment for our teaming jobless youths.
Unfortunately, and rather than abate, the rank of
our jobless graduates is widening day by day.
Worst hit is the textile industry sub-sector
where not less than 37 textile companies have
folded up since year 2000 (Table 8). The
gloomy employment statistics of the Nigerian
textile industry between 1995-2008 as
presented by NTMA/UNIDO (2009) study are
shown in Figure 1.0 indicating a sharp decline
in employment from 200,000 employees in
1995 to a mere 24,000 employees in 2008.
There cannot be a better proof of a declining
sector than this gruesome unemployment
statistics.
Table 8: Textile Companies that have closed down in Nigeria within the last 10 years
Lagos State
15
Textile Specialties Nig. Ltd
9
Unitex Ltd
1
Afprint Nig. Plc
16
Nigerian Synthetic Fabrics Ltd
2
Western Textile Mills Ltd
17
Reliance extile Ltd
Kano State
3
President Industries Nig. Ltd
18
First Spinner Plc
1
Bagauda Textile Mills Kano
4
Pacific Weaving Coy Ltd
19
Specomill Textile Ltd
2
Kano Textile Printers Ltd
5
Vinkay Industries Nig Ltd
3
Dangote Textiles
6
Nibeltex Industries Nig Ltd
Kaduna State
7
Abel Abu Industries Ltd
1
United Nigerian Textile Ltd
Other States
8
Jay bee industrial Nig Ltd
2
SRC Industries Ltd
1.
Asaba Textiles Mills Asaba
9
Aswani Industries Nig Ltd
3
SRC Industries Ltd
2
Stretch Fibres Industries Ltd
10
Kay Industries Nig. Ltd
4
Arewa Textiles
3
Horison Fibres Industries Ltd
11
Diamond Spinner Nig. Ltd
5
Supertex Limited
4
Aba Textile Mills Ltd, Aba
12
Texlon Nig. Ltd
6
Blanket Manufacturing Co. Ltd
5
Dorji Textile Mills Ltd, Aba
13
Elite Industries Ltd
7
Finetex Ltd
6
Edo Textile Mills Ltd, Benin
14
Bhojray Industries Plc
8
Kaduna Textile Ltd
7
Odu’a Textile Industries Ltd,
Ado-Ekiti
Source: Nigerian Textile Manufacturers Association, February, 2009
The Performance of the Nigerian Manufacturing.....
185
Figure 1.0: Employment Statistics of the Nigerian Textile Industry (1995-2008)
Source: NTMA/UNIDO, 2009
Factors Responsible for the Decline of the
Manufacturing Sector
Despite the surge in economic activities and
investment growth between 2003 to date
resulting from series of economic reforms
embarked upon by the government and several
industrialization initiatives, the manufacturing
sector had not impacted very positively on the
national economy. Not much employment has
been generated by the sector and with the recent
wave of relocation to neighbouring countries by
many companies like Dunlop (Nigeria) Plc,
Michelin (Nigeria) Plc and Nestle (Nigeria) Plc,
the employment situation is getting worse.
There is still widespread poverty. Economic
indices show that the living standards of the
average Nigerian have fallen and there are
strong indications that Nigerians were better off
in the 1970s than they are today (UNDP, 2007).
The major factors responsible for the
retrogression of the Nigerian manufacturing
sector can be traced to the following
unwholesome challenges.
(a) Unfriendly Business Environment
The Nigerian business environment is far from
being friendly and congenial for manufacturing
activities to thrive. The availability of critical
infrastructures necessary to support the sector is
far from being adequate, imports of essential
raw materials are problematic and government
bureaucracy is very cumbersome (MAN, 1991).
The security concern has assumed more
frightening dimensions especially with the
recent waves of bomb attacks, armed robberies
and kidnapping episodes. As a result, inflow of
foreign investments has been held up while
many companies have relocated to safer and
more business friendly environment outside the
country.
(b) Poor Regulatory Environment
Nigeria is characterized by a poor regulating
environment. Laws are made and broken at will
and enforcement machineries and agencies are
seriously deficient and corrupt. Paradoxically,
law enforcement agents like the police,
LASTMA, Vehicles Inspection Officers and tax
officials who are supposed to uphold the law
are the worst offenders. Corruption is at its
highest level particularly among public
officials. Custom officers connive with
smugglers to bring in cheap and fake imports
across the borders. It is reported that every year
and regardless of the ban placed on importation
of textile materials, “Nigerian importers
bring in over N19 billion worth of fabrics and
textiles from Dubai (Malaifa, 2009). As these
imported textiles flood the country unrestrained,
they result into the crippling of local industries
200,000
137,000
128,000
115,000
97,000
83,000
72,000
60,000
57,000
24,000
1995
1996
1997
1998
1999
2000
2001
2002
2003
2008
-88%
Journal of Asian Business Strategy, 2(8), pp. 177-191
186
and death of many local textile mills. To date,
not less than 37 textiles mills have collapsed as
shown earlier in Table 8.
(c) Infrastructural Challenges
Nigeria’s infrastructural challenges are so
daunting to the extent that they have caused in
incalculable damage to the growth of the
economy in general and the manufacturing
sector in particular. The truth is that successive
governments in Nigeria have not made adequate
investments in public infrastructure to the level
required to guarantee sustainable growth of our
economy. The nation’s power supply is erratic
and grossly inadequate. The Nigerian power
sector has witnessed serious neglect over the
years. For example, for a period of twenty years
between 1979 and 1999, no new investment in
the power sector took place despite the fact that
our population and economy grew remarkably
during this period. It is sad and shameful that
the power sector cannot generate 4000
megawatts of electricity for an economy that
requires between 40,000 and 50,000 megawatts
for sustainable national growth and
development. According to the Nigerian Bureau
of Public Enterprises (BPE), “Nigeria requires
$15-$20 billion of investment over the next
three years to buy and develop electricity
assets” Meanwhile, power outages have
continued to stifle economic growth as most
companies rely on generators. Many businesses
particularly the SMEs, and artisans like
welders, panel beaters, paint sprayers, hair
dressers are groaning heavily under the yoke of
inadequate power supply.
Our road networks all over the country are bad
and have become death traps. Our railway
networks are fast disappearing and our port
infrastructures are grossly inadequate.
Importers suffer endless delays in clearing their
goods. Businesses all over the country are
suffering from these infrastructural
inadequacies. Table 9 presents the gloomy
picture of our infrastructural challenges and our
competitive rating among 131 countries of the
world.
Table 9: Infrastructure: Nigeria’s World Ranking out of 131 Countries
Items
Position
Quality of electricity supply
128th
Quality of port infrastructure
127th
Quality of overall infrastructure
122th
Quality of roads
120th
Available safe kilometers (hard data)
114th
Quality of air transport infrastructure
102th
Telephone lines (hard data)
89th
Source: Global Competitiveness Index 2006/2007
(d) Multiple Taxation
Another serious challenge facing the operators
of our manufacturing sector thereby
constituting the problem of multiplicity of
taxes, levies and other spurious charges that
have imposed heavy cost burden on the
companies thereby escalating the cost of doing
business. Table 10 presents a picture of this
avalanche of multiple taxations.
Table 10: Summary of Levies, Taxes and Spurious Charges Imposed on Manufacturing
Businesses in Nigeria
1
Education Tax
9
Development Levy
2
NSTF (National Science And
Technology Fund)
10
National Advertisement Fee
3
NASENI (National Science and
Engineering Infrastructure) Tax
11
Tenement Rate Charge
4
Value Added Tax
12
Haulage and Permit Fee
The Performance of the Nigerian Manufacturing.....
187
5
Environmental Sanitation Tax
13
Big Vehicle Emblem Fee
6
Neighbourhood Improvement charges
14
Fire Service Charge
7
Generating Plant Charge
15
Environmental Pollution charge
8
Commercial premises charges
16
Advert on Vehicle, Kiosk, shop and
Business premises tax
(e) Rising Cost of Capital
Rising interest rate on borrowed loans have in
the past risen to as high as 22% thereby
constituting another crippling factor on the
growth of the Nigerian manufacturing sector. In
recent time, the lending rates have crashed but
not sufficient enough to give the needed
reprieve. The recent CBN banking reforms and
recapitalization have made access to banking
facilities more difficult as banks have become
more cautious in granting credits to the
operators of the real sector. With restricted
access to bank facilities, the woes of the
manufacturing sector have become even more
compounded.
(f) Dearth of Local Skills and
Technology
Dearth of local skills and indigenous
technology has been another serious inhibitor to
the growth and development of the Nigerian
economy and the manufacturing sector in
particular. Fifty-two years after independence,
there is still heavy reliance on imported
technology and raw materials as not much
attention has been given to the development of
local-based technology without which no
sustainable growth and development can be
achieved.
In appreciation of the magnitude and impacts of
the above-mentioned restraining factors on the
performances of manufacturing companies, the
National Bureau of Statistics conducted a
survey of ten factors that could enhance
business operations in Nigeria. Table 11 shows
the report of the study.
Table 11: Business Enhancing Factors
Enhancing Factors
Mean Ranking
Improvement in Electricity supply
6.78
Stability of Government Policies
6.51
Low tariff on imported inputs
5.46
Increase in Domestic Demand
5.23
Government support
5.21
Stable exchange rate
5.12
Access to Bank credits
4.94
Improvement of other infrastructure (road, rail etc.)
4.60
Confidence in Nigerian economy
4.39
Improvement in clearance of goods at ports
4.14
Source: Nigeria Business Statistic: The Nigerian Statistical Fact Sheets, 2006, p. 70
The above enumerated challenges have
conspired to make the Nigerian business
environment unfriendly to business activities
and have weakened especially the Nigerian
manufacturing sectors’ capability to generate
employment, create wealth and alleviate
poverty among our people. What options do we
have to combat these various challenges?
Strategies for Sustainable Growth of the
Manufacturing Sector
An important character in Shakespeare’s
Julius Ceasar once said, “The fault dear
Brutus is not in our stars but in ourselves that
we are underlying …” The unimpressive
performances of our manufacturing sector and
our overall economy is not an act of God but
self-made. Nigeria is richly endowed with
abundant natural and human resources needed
for economic emancipation and transformation.
For examples, Nigeria’s stocks of oil reserves
are “estimated to be 35 billion barrels (5.6 x 109
Journal of Asian Business Strategy, 2(8), pp. 177-191
188
x m3), and her gas reserves are well over 100
trillion ft3 (2800km3), while her crude oil
production is well over 2.2 million barrels (350,
000 m3) per day”. (Wikipedia) The country’s
population of about 160 million people provides
the largest product or service market in Africa.
It is sufficiently adequate not only to boost
domestic demand but also to make the country a
toast or haven for foreign investors.
Unfortunately, our priorities and resources have
been badly managed. Our oil wealth has
become a curse as it has lured us away from
giving the much needed attention to our
agriculture and the manufacturing industry.
Today, our manufacturing sector lies prostrate
and fast crumbling. As we celebrate our fifty-
two years of independence, the government
needs to go back to the drawing table and
evolve realistic and pragmatic strategies for
sustainable growth of the infrastructure like in
the manufacturing sector.
The recommended strategies for achieving a
sustainable growth of the manufacturing sector
must include the following:
(1) A massive investment in the critical
power and energy sector that would
ensure a complete and radical
overhaul of our power sector has
become imperative if we are to
achieve a sustainable economy and a
virile manufacturing sector. The
present erratic electricity supply of
less than 4000 megawatts is grossly
inadequate when compared with
South Africa’s electricity supply of
40,000 megawatts even with her entire
population of less than one-third of
Nigeria’s population. According to
Adenikinju et al (2002), about 35% of
the setup investment of most
manufacturing companies is spent on
providing private electricity via the
installation of heavy duty generators.
In a recent study, the Bureau of Public
Enterprise (BPE) in the Nations
Newspaper reported the nation needs
to acquire and rehabilitate the 6
generation and 11 distribution
successor companies, make provision
for the 10 NIPP generation plants and
related NIPP transmission and gas
distribution network equipments. It is
hoped that with the recent launching
of Power Sector Improvement
Roadmap by the present
administration, the manufacturing
sector would enjoy a new lease of life
as many foreign and local investors
who have abandoned our shore would
find it convenient to return.
(2) There is need to invest massively in
human capacity development of
indigenous technology and local
sourcing of raw materials. Companies
must be encouraged to invest in
Research and Development of new
modes and modern technology of
production.
(3) Government must deliberately provide
a congenial and conducive
environment for business to thrive.
This must include putting in place
adequate security to protect investors’
lives and investments, good regulatory
system, eliminating inconsistency in
government policies, eliminating
multiple taxations and extortion as
well as the payment of additional and
unofficial fees for public services that
are supposed to be free. It is observed
that foreign investors are often the
easy targets of extortion and bribery
by fraudulent public officials both at
the local, state and federal levels.
Consequently, there is an urgent need
for the harmoriszation and
streamlining of our tax administration
system as well as our investment laws
in a manner that would facilitate
expatriate quota processing and
enhance unhindered flow of foreign
investments.
(4) Government must often check and
control the charging of high interest
rates by overzealous banks as such
high rates often stifle the survival and
profitability of many small and
medium business organisations.
(5) There is need for improvement in our
physical infrastructure. Our road
networks are bad, there is lack of
adequate water supply to many
industrial estates, our rail system has
collapsed while facilities at our ports
The Performance of the Nigerian Manufacturing.....
189
are begging for improvement and
must be attended to.
(6) Our manufacturing sector must be
recognized not only as a catalyst for
creating wealth, generating
employment and alleviating poverty
but also as a major sector for
enhancing national growth and
development. As such, it must be
accorded its due regard and priority in
the scheme of things.
(7) There is need for a deep appreciation
of the critical role of the small and
medium enterprises (SMEs) in the
growth and development of our
industrial sector. Nigeria has not
developed her SME’s potentials for
rapid industrialization because the
country has failed to realize that
SMEs not only provide breeding
ground for developing and testing new
entrepreneur skills and talents but also
promote indigenous-based economy.
According to United Nations’ report,
Japan’s industrial strength rests
squarely on the development of her
SMEs which accounted for 37.2
million or 81.4% of her total labour
force as at 1990 while about 56.1% of
the total manufacturing value added
came from the SMEs. In China, it was
reported that the SMEs “provided
60% of its total output of fertilizers,
57% of the total cement industries
output and 67% of the output of
agricultural machineries”. It has also
been reported that in India, between
1984 and 1985, SMEs “contributed
50% of total industrial production,
80% of total industrial sector
employment and 40% of its total
exports production”. In Canada, SMEs
presently account for 50% of the
labour force… In realization of the
potentiality of the SMEs, the South
Korean government is presently
formulating new policies in favour of
SMEs.
The Nigeria Institute of Science and
Economic Research (NISER) 1985
study reported that 45% of industrial
employments in the country were
provided by the SMEs. Thus, an
increased emphasis and attention to the
development of our SMEs would be a
viable strategy for a sustainable
manufacturing sector.
(8) Enforcement of a verile fiscal
discipline and moral orientation that
would shift the focus of our
legislators, politicians and decision-
makers from “sharing the cake to
baking and enlarging the cake”
(9) Reducing red tapism and unwarranted
bureaucracy that would, among
others, facilitate and enhance easy and
quick business registration and prompt
clearance of goods at the ports.
(10) Reinvigorating the fight against
corruption in all facets of our public
and private life has become
imperative.
(11) Putting in place measures to deal with
the emerging threats to national
security from militia and religious
fanatics in form of terrorism, killing
and kidnapping that have become the
order of the day in Nigeria and a
potential threat to foreign investors.
(12) For too long, Nigeria has remained a
mono-product and oil dependent
economy. The time has come for a
more diversified economy.
(13) The country’s export structure must be
transformed from one that is restricted
to merely producing primary products
to one that would focus on, and export
processed and manufactured goods to
the outside world.
(14) Above all, there is need for all
stakeholders in the Nigerian economy
and the manufacturing sector in
particular, to be more committed to
savaging the economy and
manufacturing sector in particular
from the looming catastrophe
Conclusions
Despite Nigeria’s huge natural and human
resources endowment, her economic growth has
been stunted over the years, her main challenge
has been how to effectively use this huge
resource advantage to enhance her economic
growth and improve the welfare of the
Journal of Asian Business Strategy, 2(8), pp. 177-191
190
citizenry. The country’s manufacturing sector
has grossly underperformed these past fifty
two years particularly when compared with that
of Asian countries of Malaysia, Indonesia and
Singapore that share the same colonial
experience with Nigeria. Since 1970s, the
country’s poverty level had worsened, the
manufacturing value added has declined
steadily from 10% of GDP in 1983 to only 3%
in 2006 (Okonkwo, 2007). Today, the
unemployment situation is very worrisome due
to increasing incidence of collapsed businesses
or the relocation of many companies to
neighbouring countries that offer more
conducive business climate.
As the country begins the second phase of her
millennium year, there is need for a rethinking
and restrategizing on the part of our
policymakers and other stakeholders.
Government must appreciate the critical role of
the manufacturing sector to national growth and
development. It must acknowledge the
incalculable and enduring benefits that would
result from the development of the industrial
sector. Consequently, government must close
the loopholes that have restrained the
performance of the manufacturing sector these
past fifty-two years by rekindling the Nigerian
spirit of entrepreneurship. It must embark on
massive overhaul of our morbid physical
infrastructure (power, road, rail and ports), and
create a business-friendly environment.
Government must assist in building local based
knowledge and technology by investing in skills
and technology development and by so doing
liberate the country from the strangulation of
importation and recolonization. Our vision 2020
aspirations will be a mirage without rapid
structural transformation of our non-oil sector.
Given the state of the economy, the
performance of the manufacturing sector and
the rising level of unemployment, poverty, and
insecurity, Nigeria is already falling short of her
Millennium Development Goals of halving the
poverty level and creating a conducive
environment for growth by year 2015.
However, as we embark on the second phase of
our millennium years, there is hope of a better
future for this country if our policymakers
would borrow a leave from the experiences of
the fast developing Asian countries of
Malaysia, Singapore, India and China. This
hope must rest on government developing the
will, capacity and determination to initiate
policies and programmes that would turnaround
the fortunes of the Nigerian manufacturing
sector and thereby enable it perform its unique
role of wealth creation, employment generation
and poverty alleviation.
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The need to improve on earnings quality is a problem that corporate regulators strive to resolve through the establishment of various mechanisms. This study investigated the relationship between corporate governance and earnings quality of selected manufacturing companies in Nigeria. Specifically, the study examined the relationship between board of directors’ independence, internal audit quality, auditor independence and accrual quality value relevance of selected manufacturing companies in Nigeria. The ex-post facto research design was utilized while 65 selected manufacturing firms between 2008 to 2017 were used as the population. The published fact-books of companies were obtained from the Nigeria Stock Exchange. The entire 65 companies were used as the sample size for the study. The Ordinary Least Square method of regression analysis was employed to test the hypotheses through E-view 10 version software. The results revealed a positive and insignificant relationship between board of directors’ independence and accrual quality of selected manufacturing companies in Nigeria, and a positive and significant relationship between internal audit quality and accrual quality of selected manufacturing companies in Nigeria. Finally, the study revealed a positive and insignificant relationship between auditor independence and accrual quality of selected manufacturing companies in Nigeria. The study recommended that investors and managers of selected manufacturing companies that are viewed to be founded on company statute should never rely solely on the existence of non-executive board of directors to monitor and improve the quality of accruals, since in real life it may be near impossible to find board of directors that are truly “independent”. Also, company auditors saddled with the responsibility of the “policeman” and reviewing corporate financial records should collaborate with other corporate regulatory bodies, such as Financial Reporting Council of Nigeria and Security and Exchange Commission, to ensure that internal audit functions become legally independent and driven for improvement in accrual quality. Finally, professional accounting bodies in Nigeria such as Institute of Chartered Accountants of Nigeria (ICAN) and Association of National Accountants of Nigeria (ANAN), whose members belong to the big 4 audit firms in Nigeria, should advice corporate bodies in Nigeria to train and retrain their accounting staff, so as to place more reliance on them rather than on the external accounting firms. This is because the auditor independence which is related to the external environment cannot alone guarantee quality in reported accruals.
... Studies have shown that occupational stress impedes employees' productivity and profitability, as well as their health and well-being (Suleman, Hussain, Shehzad, Syed, and Raja, 2018). As a result, clinical and health psychologists are increasingly involved in identifying high risk group members, either informally through direct contact with primary care physicians (Banjoko, Iwuji & Bagshaw, 2012) or formally through preventive programs (Kirk & Brown, 2003). ...
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Occupational stress is becoming increasingly common in all categories of workers. Due to the overwhelming demands of library customers, librarians are likely to suffer occupational stress as well. The objective of this study is to assess the occupational stress of urban school librarians in selected Nigerian public secondary schools. A descriptive survey was conducted and the Occupational Stress Scale (OSS) was used to collect data from 75 urban secondary school Librarians in South-East Nigeria. Means, standard deviations, and analysis of variance were used to analyze the results. Findings suggested that male and female secondary school librarians in the sampled urban secondary schools felt similarly about their occupation's level of stress. In addition, urban school librarians with bachelor's degrees reported higher levels of occupational stress. Another finding showed that urban school librarians who are married showed more occupational stress than those who are single, separated/divorced and widowed. Moreover, no significant differences were found between urban secondary school librarians who worked in mixed or single sex schools for occupational stress. In conclusion, occupational stress is present among urban school librarians in Nigerian public secondary schools. It was recommended that stress management interventions should be tailored to assist these school librarians in managing their level of stress.
... Laying a solid foundation for the development of an industrial economy for Nigeria was not part of the colonial economic policy; rather the objective was making the colonies perpetual producers of primary raw materials for foreign industries and importers of manufactured goods (Egwakhide et al.;2001;Banjoko et al.;2012;Ekpo;. Deducing from the above, it is apparently clear that, the colonial history of Nigeria was that of utter economic plunder and sabotage, chiefly by Britain, her collaborators (the foreign trading companies). ...
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This paper aims to examine the crises in Nigeria’s industrialization process with the view to further interrogate the causes and consequences of this lingering crisis on the development of the country. To this end, the development miracle of Taiwan is brought into perspective, chiefly to explore her success story as one of the newly industrialized countries, and to identify the gaps Nigeria was not able to fill from the experience of Taipei. Given the above, this research adopted secondary data analysis and desktop research designs. The data and literature collected were qualitatively analyzed based on the dominant themes. The results showed that a combination of factors were responsible for the failure of Nigeria’s efforts to industrialize and these are: Lack of political will, rent-seeking behaviour of the leaders or political elites; infrastructural deficits, inadequate education and skills development; weak state institutions, ineffective government industrialization policies, bad governance, inappropriate land policy, low level of technology, the relegation of the agricultural sector and insufficient flow of FDIs, etc. As a way forward, it was recommended that Nigeria should look at the experience of Taiwan and borrow a cue from her, where necessary.
... Unfortunately, small-scale manufacturers from a developing country like Nigeria pay little attention to supply chain relationships. The reason for this is because of lack of choices and unfriendly manufacturing environment due to government policies (Simbo A. Banjoko, 2012). In developing countries of Africa, unfriendly environmental factors make individuals opt for trading business as against manufacturing. ...
... The limited electricity generation and distribution have constrained human development potentials, commercial business activities, industrial productivity and economic growth of several resourceful expansion programmes and projects introduced by United Nations Industrial Development Organization (UNIDO) in Nigeria [12]. The UNIDO is a specialized agency of the United Nations that assists countries in economic and industrial development plans which the successive administrations in Nigeria had partnered to revitalize the industrial landscape in line with the government's goal of evolving among the topmost 20 developed economies in the world by 2020 which unfortunately had failed to meet target due to certain unattainable objectives including rural electricity deficiencies [13]. ...
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Biomass gasification is a chemical conversion of solid biomass renewable energy constituents into a gaseous combustible substance often regarded as producer gas through progressive thermochemical synthesis. The gasification method produces gas fuels required for power generation which is considered the best alternative to fossil fuels that accounted for 80% of domestic energy and industrial consumption with consequential impressions on global warming and greenhouse effects. In the current research, the biomass gasification system were used to produce electricity from the chemical energy contained in organic recyclable agricultural waste (Corn Cob) used as feedstock gasifier in the energy conversion process. Corn Cob feedstocks renewable organic materials produced from plants were used to synthesize the syngas that contained the electrical energy required to power the internal combustion engine. The utilization of pure hydrous or anhydrous ethanol in internal combustion engines is the direct lignocellulose bioconversion of Corn Cob requiring microbial fermentation, thermochemical pre-treatment test, designed to accelerate enzymatic hydrolysis of cellulose into fermentable sugars, varying the temperature conditions to produce maximum production of biofuel on an industrial scale to drive the internal combustion engine. The current research utilized biomass energy to generate 150 KW worth of electricity from biomass gasification process, utilizing Corn Cob feedstock gasifier to generate electric power for rural electrification.
... 94 However, poor management, inadequate working capital, and limited access to potable water, cheap and reliable energy, as well as banks and other financial institutions, high-interest rates and lowprofit margins hamper the adoption of these technologies. 91,92 Besides, policies and harsh regulatory requirements are among the factors external to the small and medium-scale enterprises that hinder their growth and development in SSA countries. For instance, agricultural produce cess, i.e., a levy charged by local authorities at a percentage of the farmgate price on products sold by the farmer to traders, is used in several SSA countries, especially in Eastern Africa. ...
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This study was necessitated by the perceived unimpressive performance of the Nigeria manufacturing sector when compared to other developing economies. It therefore examines entrepreneurs' level of education and performance of selected manufacturing firms in Anambra state using multiple econometric models. Findings reveal that there is no significant relationship between entrepreneurs with non-degree certificate and the return on investment of the selected manufacturing firms in Anambra state. Entrepreneurs with degree certificate were identified to have significant positive relationship on the return on investment of the selected manufacturing firms in Anambra state. Based on the analysis and findings of this study, the researcher therefore recommends that: degree and higher education certificate awareness for entrepreneurs and intending entrepreneurs by the government is important to enable them develop the intellectuality for growing a business. This will help address the challenge of business failures. Agencies that regulate manufacturing firms should formulate policies that will facilitate the acquisition of higher educational qualification by entrepreneurs, because of its potential in improving firms' growth performance.
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In this paper we examine Australian data on national and regional employment numbers, focusing in particular on whether there have been common national and regional changes in the volatility of employment. A subsidiary objective is to assess whether the results derived from traditional growth rate models are sustained when alternative filtering methods are used. In particular, we compare the results of the growth rate models with those obtained from Hodrick-Prescott models. Using frequency filtering methods in conjunction with autoregressive modeling, we show that there is considerable diversity in the regional pattern of change and that it would be wrong to suppose that results derived from the aggregate employment series are generally applicable across the regions. The results suggest that the so-called great moderation may have been less extensive than aggregate macro studies suggest.
Manufacturing Competitiveness in Africa: Evidence from Cameroun, Coted'lvoire, Nigeria and Senegal
  • A Adejugbe
  • L Soderling
  • Soludo
  • A Varoudakis
Adejugbe, A. (2004) "Industrialization, Urbanization and Development in Nigeria, Lagos", Concepts Publications Adenikinju, A. Soderling, L., Soludo, C and Varoudakis, A. (2002) "Manufacturing Competitiveness in Africa: Evidence from Cameroun, Coted'lvoire, Nigeria and Senegal," Journal of Economic Development and Cultural Change, Vol. 50(3), pp. 649-664
An Overview of Foreign Investment in Nigeria
  • V A Odozi
Odozi, V.A. (1998) " An Overview of Foreign Investment in Nigeria 1960 – 1995 " Occassional Paper No. 11. Research Department. Central Bank of Nigeria.
Four Decades of Industrialisation in Nigeria: A Critical Analysis
  • F O Egwaikhide
  • A H Ekpo
  • O Oyeranti
Egwaikhide, F.O, Ekpo, A.H, Oyeranti O, and Ayodele O. (2001) "Four Decades of Industrialisation in Nigeria: A Critical Analysis", Nigerian Journal of Economics and Social Studies, Vol. 42(2), pp. 365-391.
Maximizing the Value of the Production System in the Nigerian Manufacturing Industries
  • S A Banjoko
Banjoko, S. A. (2002) "Maximizing the Value of the Production System in the Nigerian Manufacturing Industries", Journal of Management Studies, Vol. 9, January Edition, pp. 50-64.
Annual Reports and Statements of Accounts (2007) Manufacturers Association of Nigeria, Economic Review
Manufacturers Association of Nigeria, Annual Reports and Statements of Accounts (2007) Manufacturers Association of Nigeria, Economic Review 2005-2007 Issues. Manufacturers Associations of Nigeria, (2005), National Forum on Reviving Nigerian Industries MAN, Lagos. Nigeria (2004), National Economic and Development Strategy, National Planning Commission Abuja Nigeria Enterprises Promotion Decree (1972- 1977)
The Nigerian Manufacturing Sector: Bumpy Past and Shaky Future what Options for survival
  • S A Banjoko
Banjoko, S. A. (2009) "The Nigerian Manufacturing Sector: Bumpy Past and Shaky Future what Options for survival?" University of Lagos Inaugural Lecture series.
Achieving the Nigerian Vision 20: 2020 and the President's Transformation Agenda: The Role of the Manufacturers Sector " , Paper Delivered at the 39 th AGM Conference of the Manufacturing Association of Nigeria Impact of SAP in Nigeria's Industrial Sector
  • Usman E Shamsuddeen
Usman Shamsuddeen (2011) " Achieving the Nigerian Vision 20: 2020 and the President's Transformation Agenda: The Role of the Manufacturers Sector ", Paper Delivered at the 39 th AGM Conference of the Manufacturing Association of Nigeria. Uwubanmwen, A. E. (2008) " Impact of SAP in Nigeria's Industrial Sector ", Nigerian Economic and Financial Review, Vol. 1(20), pp. 54-67.
Industrial Overview of the Contribution of Industry to Sustainable Development in Nigeria
  • A Imerbore
Imerbore, A. M (2001) "Industrial Overview of the Contribution of Industry to Sustainable Development in Nigeria", UNIDO Report.