Stakeholders Chart Ways For Nigeria’s Trade Competitiveness

Stakeholders in trade and investment sector have outlined effective ways to boost trade in Nigeria.
Speaking at the Webinar organised by the World Trade Center Abuja with the theme: “Nigeria Trade Competitiveness: Imperative for Growth” the minister of Trade, Industry and Investment, Otunba Niyi Adebayo said, the key component of trade competitiveness is the cost of production and energy cost and availability is pivotal to this conversation.

According to him, the energy use is crucial for almost every conceivable aspect of development. Wealth, health, nutrition, water, infrastructure, education, and human longevity are significantly related to the consumption of energy.

He said, “Nigeria has historically faced challenges in its Energy Sector which greatly affect the business environment; our unmet energy needs are significant and we expect that future demand will be even greater due to our expanding population and urbanisation.

“In addressing our energy constraints, we have also had to consider environmental sustainability and energy transition. Accordingly, we have introduced the Nigeria Energy Transition Plan designed to tackle the dual crises of energy, poverty and climate change and deliver SDG7 by 2030 and net-zero emissions by 2060.
“The Energy Transition Implementation Working Group, chaired by the Vice President Prof Yemi Osinbajo has been established for the implementation of the Plan.

“We are also launched an innovative, results-based, finance programme; the Universal Energy Facility that focuses on scaling up electricity access for productive use. The Universal Energy Facility will provide grant payments to enable solar companies expand their operations to small and medium-sized enterprises across Nigeria while crowding in additional private capital. Projects supported by the Universal Energy Facility will help grow businesses and create jobs, making them key contributors to our Energy Transition Plan.

“We are committed to putting in place the infrastructure needed to give our economy the productive and competitive edge that it needs to increase the basket of our tradable commodities and better the lives of every citizen. Various ministries, departments and agencies have delivered several infrastructural projects ranging from railway lines, airports, roads, port terminals, industrial parks, bridges, broadband, dams, etc.”
The minister commended the World Trade Center for creating this platform to share our Priorities and Posture for Trade and Competitiveness in Nigeria beyond 2023.

Earlier, the group managing director, Churchgate Group, Mr Vinay Mahtani noted that Nigeria’s low ranking on the global competitiveness index demands immediate action to bridge negative output gaps and address any economic deficit. Despite being Africa’s largest economy, with a GDP of $432.3 billion in 2020, according to the World Bank, and possessing one of the largest proven oil reserves on the continent, Nigeria still faces significant hurdles to reach its full potential.

According to him, the oil and gas sector has been the backbone of the Nigerian economy for many years. Unfortunately, this dependence has proven to be a double-edged sword. The decline in the industry’s growth by 19.8 per cent in the fourth quarter of 2020, as reported by OPEC, has had a devastating impact on the country’s commercial activities and overall economy. The COVID-19 pandemic only exacerbated these difficulties.

Mahtani however stated that there is hope on the horizon. The government has put stimulus plans and financial support packages in place to facilitate an economic rebound. Furthermore, negotiations are underway to fast-track digital payment and trading platforms, such as the African Continental Free Trade Area e-commerce protocol, with the aim of boosting regional trade.
He said, “Nigeria’s non-oil export sectors, particularly agriculture, hold tremendous potential for the country’s future. The sector has performed robustly, yet the country remains vulnerable to food insecurity and is unable to meet domestic demand. Low irrigation levels and outdated land tenure systems have contributed towards post-harvest losses that have limited the sector’s productivity.
“The Nigerian government must be commended for its efforts in formulating fiscal and macroeconomic policies aimed at promoting economic growth.”
He further stressed that this webinar serves a critical role in shaping the future of our national economy, offering a platform for us to collectively brainstorm and implement strategies for a more competitive and sustainable future. It is my sincerest hope that the discussions and agreements reached today will result in impactful outcomes for our nation.

Meanwhile, group general manager, Sales & Marketing, World Trade Center Abuja, Mr Karim Adelaja said that the WTC Abuja is one of the exclusive ‘World Trade Centers’ and ‘WTC’ branded properties and trade service organisations located in more than 100 countries across the world. We are head quartered in NY with offices in over 340 locations globally.
Adelaja explained that the WTC Abuja is a mixed use facility providing a portfolio of branded offices, commercial and residential real estates, alongside an extensive suite of trade services for tenants, thereby linking them with the rest of our global network through the WTC Association network.