There
has been renewed talk lately about the need for Nigerians to patronize
locally made goods, (someone should have added… and services!).
Championed by Senator Ben Murray Bruce, and supported by the Senate
President Bukola Saraki, the Minister of State for Industry, Trade and
Investment, Hajia Aisha Abubakar and a large crowd of online
campaigners, so much ink, saliva, and emotions have been invested in
this old, and perhaps boring story.
Senator Bruce, who goes by the moniker
“the Commonsense Senator” even introduced a hashtag
#BuyNaijaToGrowtheNaira. He hasn’t quite explained the connection, but
with the exchange rate melting down and the Naira yo-yoing, everyone
including our neighbourhood electrician, and his friend, the battery
charger, have both become experts on the fortunes of the national
currency. Senator Saraki has promised that the Public Procurement Act
will be amended by the 8th National Assembly to make it mandatory for
the government to patronize locally made goods. Minister Aisha Abubakar
has proposed a “Patronise Naija Products Campaign.”
It all sounds so familiar but what has
triggered this latest effusion of patriotism was a Made in Aba Trade
Fair in Abuja, where locally made products including shoes were
displayed and purchased by the snobby class now acting as great
promoters of Nigerian identity and entrepreneurship. Senator Bruce and
the National Assembly have also purchased made in Nigeria vehicles from
Innoson Motors, a local vehicle manufacturing company. The interest that
this has generated is good publicity for Innoson Motors, and it will
probably provide good justification for the National assembly purchasing
more vehicles. It is also an excellent advertisement for local
entrepreneurship. There was a time in this country when the phrase
Aba-made was meant to be denigrating, but today, corporate suits and
other items made in Aba have made it to the status of a Trade Fair.
We must be reminded nonetheless, that
this buy Nigeria campaign, or proudly Nigerian, as it was once called,
has been promoted in one form or the other for more than 30 years. At a
time, Federal Ministers chose to wear Ankara fabrics, which is supposed
to be locally made, and at another time, the Federal Government only
patronized Peugeot Motors, which then had a thriving car manufacturing
company in Kaduna. Virtually every government has tried to promote
Nigerian goods. And there is certainly no doubt that there is a lot of
entrepreneurial talent out there in Nigeria, a gift for innovation and a
capacity to aspire.
Given the right, enabling environment,
Nigerians are willing to help government promote the objectives of
diversification, backward integration, and non-oil exports which are at
the root of all this talk about made in Nigeria. The YouWin exhibitions
held between 2014 and 2015, showed great potential, especially in the
agriculture and food sector, and the need for government to encourage
entrepreneurship and manufacturing. But lessons were also learnt, and it
is the same lessons that should guide the current patriotic excitement
over locally made goods. In the end, Senator Bruce, patriotism is not
enough, lest it turns us all as someone warned into “scoundrels”,
seeking economic restoration without the right strategy and attitude.
The first lesson is that we need to
truly encourage the transformation of Nigeria into a primary, productive
market, and not a secondary market for the dumping of goods. We may be
celebrating the fact that some Nigerians are making the effort to
produce goods locally, but really how much of that local production is
local? I can bet that the leather that is used for the shoes we are
being encouraged to buy is not produced in Nigeria. Our local
entrepreneurs import leather, manage to produce something labeled
Nigerian, when in fact the entire value chain could have been truly
local? Innoson Motors is well known in government circles, but have we
measured how much of those Innoson vehicles is actually local? 30%?
Before Innoson, we had Omatek and Zinnox
computers, advertised as made in Nigeria goods. But where in this
country do we have young technicians producing computer chips and other
components? We need to take a second look at the concept: made in
Nigeria, and be sure that we are actually talking about the same thing.
What is the answer? I think government must in the long run insist that
those who seek to sell in the Nigerian market, must set up their
factories here, and produce for the Nigerian market inside Nigeria. We
have all the raw materials that may be needed, and we have the market,
the biggest in Africa.
People come here, take our raw materials
to other factories in other parts of the world, send back the products
and then make profit iat our expense. We end up creating jobs in other
parts of the world, and receive finish products that could have been
produced here. No. If Toyota and Nissan want to sell cars in Nigeria,
then they must produce the cars inside Nigeria and source their
materials and labour majorly from here, and brand the vehicles Made in
Nigeria and export them to other parts of the world. In recent years,
there was such discussion with Hyundai and Volkswagen. Minister Aisha
Abubakar should look at the records. Innoson can then compete with
Toyota Nigeria, Nissan Nigeria, Hyundai Nigeria and Volkswagen Nigeria.
The same argument goes for every other product in need of direct
investment. The point is not about being local; it is about developing
the capacity to turn Nigeria into a world-class production and economic
centre.
The second lesson has to do with quality
and standards. The recent debate has been about indigenous patronage as
a test of patriotism. I don’t think that is the right focus. People
like quality. In a capitalist system, they will make their own decisions
and choices with the capital at their disposal. And we shouldn’t be
talking as if Nigerians should produce made in Nigeria goods to be
consumed only by Nigerians, whether good or bad. The vision, consistent
with the ambition of the authors of the country’s various development
plans, is to produce world-class products inside Nigeria. What we have
seen is that locally made goods often fall short of international
standards. They lack the competitive edge.
It is good to buy Aba-made, but our
ladies who are used to Hermes and Louis Vuitton are not likely to trade
their designer bags for Nnamdi bags, except the latter can compete and
become a global brand. It has been reported that many Nigerian goods
sent for export are often rejected overseas, for such simple reasons as
packaging or basic standards. No amount of patriotism can by-pass that.
We have a Standards Organisation of Nigeria and an Export Promotion
Council: what is the synergy between them and the various SMEs striving
to break into the export market?
The third lesson is that government must just make up its mind about this whole thing about the diversification of the Nigerian economy. It is not the responsibility of one government or administration; it is a process that should move Nigeria from being a democracy observing electoral commission rituals, into a developmental state. We were almost there under the military quite ironically, but then the military also lost it due to bad attitudes.
Once upon a time in this country, there was regular electricity, manufacturing companies, both local and foreign thrived, salaries and pensions were paid as at when due, potable water was available, the leaders sounded as if the Nigerian people and their welfare were important and there was a suffocating vision of Nigeria being the “giant of Africa”.
The third lesson is that government must just make up its mind about this whole thing about the diversification of the Nigerian economy. It is not the responsibility of one government or administration; it is a process that should move Nigeria from being a democracy observing electoral commission rituals, into a developmental state. We were almost there under the military quite ironically, but then the military also lost it due to bad attitudes.
Once upon a time in this country, there was regular electricity, manufacturing companies, both local and foreign thrived, salaries and pensions were paid as at when due, potable water was available, the leaders sounded as if the Nigerian people and their welfare were important and there was a suffocating vision of Nigeria being the “giant of Africa”.
When students graduated from
universities, teacher training colleges, and nursing schools, they were
sure of immediate employment, which brought them life-long fulfilment.
Brilliant students got special scholarships; every student got a
bursary, our schools attracted students and teachers from every part of
the world. And now, here we are wondering why? What happened? This
collapse of the Nigerian standard is the worst thing to have ever
happened. Younger ones may not even believe that indeed Chinua Achebe
was right when he wrote that “there was once a country.”
The challenge can start with re-discovering that lost country and moving forward from that point. I mentioned services in addition to goods earlier. And I ask: how many Nigerians are satisfied with Nigerian services? Many families won’t even employ a Nigerian nanny or driver. They would rather look for people from Asia and West Africa. Builders won’t recruit Nigerian masons: they ‘d rather use artisans from Ghana or Togo. When foreign companies set up businesses in Nigeria, they bring staff from their own country, and violate the expatriate quota in collusion with our own people; they even import cement and other equipment from elsewhere and our officials look the other way. We don’t even respect ourselves as a nation. But we love slogans.
The challenge can start with re-discovering that lost country and moving forward from that point. I mentioned services in addition to goods earlier. And I ask: how many Nigerians are satisfied with Nigerian services? Many families won’t even employ a Nigerian nanny or driver. They would rather look for people from Asia and West Africa. Builders won’t recruit Nigerian masons: they ‘d rather use artisans from Ghana or Togo. When foreign companies set up businesses in Nigeria, they bring staff from their own country, and violate the expatriate quota in collusion with our own people; they even import cement and other equipment from elsewhere and our officials look the other way. We don’t even respect ourselves as a nation. But we love slogans.
So, the matter is not as simple as just
buying Nigerian goods. It is not about trending hashtags, slogans or
propaganda, but a decision to move this country beyond the on-going
knee-jerk, desperate elite war of position within the political
spectrum, and see what can work for the people’s benefit. We want to buy
made in Nigeria goods, and yet every start up business in this country
is facing serious challenges; the more established manufacturing outfits
are groaning. Every election season, the private sector pretends to
support the political process, but once its chieftains are not allowed
access, control or influence, they become closet saboteurs.
I consider that to be a subject in the
heart of the future. What needs to be done is before our very eyes, but
its starting point must include the education system. Very few parents
these days still buy the services provided by Nigerian schools, the
private ones that receive better patronage train the children to end up
in foreign schools including schools in Ghana and Benin Republic. Nobody
is training quality artisans either, because all the Government
Technical Colleges of old have been shut down and many of our young men
are more interested in kidnapping and riding okada. So, where are the
critical young men and women and institutions to drive the renewal we
seek? The matter is so complex; it is the reason I don’t envy anyone who
is President of Nigeria.
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