Ogun Manufacturers Urge Tax Harmonization to Cut Costs

The Manufacturers Association of Nigeria, Ogun State Branch, has called on the Ogun State government to harmonize multiple taxes and regulatory charges, warning that the current business environment is raising production costs and deterring investment. Outgoing Chairman George Onafowokan made this appeal on Thursday during the association’s 41st Annual General Meeting in Abeokuta, themed “Building a Resilient Manufacturing Sector: Surmounting the Challenges of Fiscal and Regulatory Policies and Tariffs.” Onafowokan highlighted challenges such as exchange rate volatility, inflation, rising energy costs, high lending rates, and multiple taxation.

He noted that while recent economic reforms have improved government revenue, they have also increased the cost of doing business. He emphasized that rising electricity tariffs and unreliable power supply have forced manufacturers to rely on self-generated electricity, further escalating production costs.

Onafowokan urged the government to revive quarterly engagement forums with manufacturers to address operational challenges and improve collaboration, while also calling for better coordination among regulatory agencies to ensure transparent enforcement of regulations.