Manufacturing GDP in Nigeria Targets 15% by 2030, 25% by 2035

The Nigerian government has unveiled a new industrial policy aimed at significantly increasing manufacturing’s contribution to the national economy, targeting a rise from the current 8.2 per cent of GDP to 15 per cent by 2030 and 25 per cent by 2035. The Nigeria Industrial Policy (NIP), launched by the Federal Ministry of Industry, Trade and Investment (FMITI), forms a central part of the strategy to achieve a $1 trillion economy by 2030 and reduce long-term dependence on oil revenues.

The policy framework is designed to accelerate industrial transformation by leveraging Nigeria’s natural and human resources. Its stated objectives are to promote inclusive, sustainable, and competitive manufacturing, deepen economic diversification, and generate mass employment through innovation, infrastructure development, investment, and export promotion. The manufacturing sector currently employs approximately 13 million Nigerians, with major activities in food processing, cement, textiles, pharmaceuticals, and automotive assembly.

The NIP directs focus toward four priority sectors: metals and solid minerals, oil and gas, construction, and manufacturing itself. These were selected due to their strong comparative advantages, potential for large-scale job creation, and capacity for local value addition and export expansion. The agro-allied industry is highlighted as a critical supporting pillar, having contributed an average of 25 per cent to real GDP over the past decade and accounting for 35 per cent of national employment. It provides essential raw materials for food processing, leather, and textiles, reinforcing industrial linkages.

The government acknowledges existing challenges, including limited mechanisation in agriculture, post-harvest losses, insecurity, inadequate power supply, low access to finance, and competition from imported goods. It asserts that relevant legal and institutional frameworks are being implemented to address these constraints and improve the sector’s performance.

Future growth is anticipated from abundant natural resources, ongoing investments in Special Economic Zones (SEZs), a growing domestic market, and Nigeria’s participation in the African Continental Free Trade Area (AfCFTA) and the ECOWAS Trade Liberalisation Scheme (ETLS). Minister of State for FMITI, Senator John Owan Enoh, described the NIP as “a comprehensive framework that reaffirms our national resolve to diversify the economy, create inclusive prosperity, and secure Nigeria’s rightful place as a leading industrial hub in Africa and the wider global economy.”

The policy’s success hinges on effective implementation of its sector-specific strategies, resolving infrastructure deficits, and capitalising on regional trade opportunities. If achieved, the targets would mark a historic shift in Nigeria’s economic structure, moving it decisively away from oil dependency toward a more resilient, industrialised, and diversified economy.