CPPE Chief Warns Against Premature Value-Addition Policies in Nigeria's Economy

Dr. Muda Yusuf, the Chief Executive of the CPPE, cautioned against premature compulsory value-addition policies in Nigeria.

He highlighted the risks of distorting commodity markets and undermining non-oil export growth. Yusuf stressed the need for a realistic approach to industrialization, job creation, and export diversification, with a focus on domestic value addition.

He explained that enforcing compulsory domestic processing before ensuring the competitiveness of domestic processes could lead to market distortions and hardships for actors within the value chain. Yusuf noted the challenges faced by Nigeria's manufacturing sector, including high production costs due to poor power supply, weak infrastructure, logistical challenges, and multiple taxes.

He emphasized the importance of sustainable value-addition policies based on efficient and competitive domestic processes to support long-term economic growth and development.