The Manufacturers Association of Nigeria (MAN) has raised concerns over the weakening industrial sector, despite the economy’s real GDP growth rising to 4.43 per cent in Q2 2026.
In its reaction to the National Bureau of Statistics (NBS) report, MAN said industrial growth fell to 3.96 per cent from 7.46 per cent in Q2 2025, revealing a widening gap between headline economic growth and real-sector performance.
The association attributed the decline largely to a 10.63 per cent contraction in electricity, gas, steam and air-conditioning supply, while manufacturing’s share of real GDP dropped from 9.57 per cent in Q1 to 7.72 per cent in Q2.
It noted that manufacturing growth was concentrated in oil refining, which rose by 43.94 per cent, and cement, which grew by 12.75 per cent, while labour-intensive sectors struggled.
Textiles, apparel and footwear contracted by 1.23 per cent, motor vehicles and assembly declined by 1.02 per cent, and food, beverage and tobacco grew by only 2.79 per cent.
MAN warned that the trend could threaten employment, worsen inflation and deepen Nigeria’s dependence on volatile commodity exports.
To reverse the decline, the association called for direct power purchase arrangements for industrial clusters, lower-cost credit, improved access to foreign exchange and stronger local procurement policies.
It also urged the government to enforce incentives for local vehicle assembly, support domestic farm-to-factory supply chains and strengthen industrial policy to promote sustainable production and job creation.
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