Nigeria and Japan have agreed to enhance cooperation in the solid minerals sector, with a focus on exchanging technical information and facilitating direct engagement between companies. The partnership involves the Japan Organisation for Metals and Energy Security (JOGMEC) and the Nigeria Solid Minerals Company (NSMC). According to Dr. Dele Alake, the Minister of Solid Minerals Development, this development is a result of discussions between his ministry and JOGMEC officials, led by President Michio Daito, at the 9th Tokyo International Conference for African Trade and Development (TICAD) in Yokohama.
The talks resulted in a commitment to create plans that will encourage Japanese investment in Nigeria’s mining sector by providing economic data to assess investment risks. Both parties acknowledged the potential for a long-term strategic partnership, with the Nigerian government highlighting reforms under President Bola Tinubu’s administration, including the removal of fuel subsidies and a stable exchange rate, which have improved the investment climate in the sector. Dr. Alake emphasized the benefits of investing in mineral extraction and processing in Nigeria, citing lower production costs and the potential for economies of scale.
The minister also assured Japanese firms of incentives such as duty waivers on mining machinery, tax holidays, and improved infrastructure projects in transportation. This development follows earlier discussions between Dr. Alake and representatives from Mitsubishi Corporation, Sumitomo Corporation, and Mitsui & Company, which indicated growing interest in Nigeria as a mining destination. The collaboration between Nigeria and Japan is expected to boost investment in the solid minerals sector, with potential benefits for both countries. As the partnership progresses, it is likely to involve further negotiations and the exploration of new opportunities for cooperation in the mining industry.
