Driving Nigeria's Industrial Revival Depends on Enhancing Value and Fostering Innovation, Says RMRDC Director-General

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By Cynthia Alo

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Director-General of Lthe Raw Materials Research and Development Council (RMRDC), Prof. Nnanyelugo Ike-Muonso, has said Nigeria’s industrial transformation depends on a decisive shift from raw material exports to value addition, innovation and stronger domestic processing capacity.

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Speaking at the 10th Bullion Lecture organised by the Centre for Financial Journalism in Lagos, themed: “From Resources to Prosperity: How Raw Materials Development, Value Addition and Innovation Can Catalyse Nigeria’s Industrial Renaissance,” Ike-Muonso said countries that industrialised successfully prioritised value addition.

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According to him, Nigeria remains trapped in a low-value export structure where raw commodities are shipped abroad with minimal processing, while advanced economies capture most of the gains.

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He warned that without a deliberate shift to deeper processing, the country will continue to lose value, jobs and foreign exchange.

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“Value addition is the bridge between resources and prosperity. If we continue to export raw materials without processing, we are exporting jobs and importing poverty,” he said.

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He added that transforming raw materials into finished products is the most sustainable pathway to long-term prosperity. “Each stage of the value chain multiplies value, creates jobs and strengthens income generation.”

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The DG cautioned that the African Continental Free Trade Area (AfCFTA) would deliver little benefit if Nigeria remains a raw material exporter.

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“AfCFTA cannot work for us if we remain a raw material exporting economy. The 30 per cent minimum value addition framework must succeed first,” he said, noting the bill is still under legislative consideration.

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He identified key barriers to industrial growth, including weak energy supply, poor logistics, low engineering capacity and limited technology.

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“The biggest barrier is capability. Without knowledge and speed of execution, resources alone cannot transform an economy,” he stated.

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