Experts urge Nigeria to link oil, gas and steel to unlock industrial growth

The Nigerian Economic Summit Group (NESG) has called for a radical rethink of the nation’s industrial strategy, urging policymakers and private sector leaders to leverage resource-based clusters to propel sustainable growth.

Speaking at the NES#31 Pre-Summit Series themed “Unlocking Industrial Growth: Leveraging Latent Commodity Clusters”, Dr. Muda Yusuf, Facilitator of the NESG Industrial Policy Commission, asked: “Can Nigeria harness its vast commodity base to create integrated clusters that drive sustained industrial growth and transformation?”

Yusuf stressed that despite Nigeria’s rich endowment in hydrocarbons, minerals, and agricultural commodities, the country’s manufacturing value-added per capita remains at just $216, compared to South Africa’s $645 and Egypt’s $524. He called for urgent reforms to reposition Nigeria for competitiveness.

Delivering the keynote, Professor Osita Agbu of Baze University argued that Nigeria must draw lessons from the oil and gas sector to revitalise its struggling steel industry.

He observed: “With the Nigerian Oil and Gas Industry Content Development Act and the Petroleum Industry Act in place, we have a template for aligning steel production with the energy value chain to create powerful economic linkages.”

The panel discussion highlighted critical sectoral opportunities. Engr. Dr. Umar Hassan, President of the Nigerian Society of Mining, identified limestone extraction as a key driver of industrialisation but stressed that “strong community participation and reliable off-taker arrangements are vital to ensure success.”

Dr. Laura Ani of the NESG Industrial Policy Commission emphasised effective mineral governance, warning that weak enforcement of regulations on land use and rehabilitation has fuelled conflicts.

Similarly, Mrs. Fatimah Abdulfatai of Kursi Group noted that Nigeria’s mineral sector offers opportunities for local value addition, particularly in jewellery, construction, and refined goods, but called for deeper investments in high-tech manufacturing.

Concluding the session, participants agreed that Nigeria must embrace policy coherence, infrastructure development, and institutional reforms to unlock its industrial potential.

The NESG reaffirmed its commitment to working with government and private partners to design actionable strategies for inclusive and sustainable industrialisation.