Manufacturers urge FG to make backward integration policy flexible


Image result for Nigerian manufacturingManufacturers want government to make its backward integration policy more workable for them.

They made this demand at the ongoing Nigerian Economic Summit in Abuja.

The Nigerian government launched a backward integration policy several years ago.

It was to stem the importation of raw materials for value addition in the manufacturing sector.

A number  of the local manufacturers at a policy commission session at the NES 2017 have tried backward integration in raw materials sourcing but had mixed reactions.

A UK-based consulting firm has carried out a study on the country’s local content policy with backward integration included.

It’s findings show backward integration requires more funding for the manufacturer which means higher product costs for consumers .

It now wants the authorities to intensify efforts at enabling a more conducive business environment.

The manufacturers also seek better operational support from the authorities.

The industrialists were optimistic that it will help influence government’s local content initiatives in their favour.

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