By Our Reporter
The Manufacturers Association of Nigeria (MAN) revealed on Wednesday that unsold goods in the manufacturing sector accumulated to N1.4 trillion in 2024. MAN President, Francis Meshioye, attributed this to inflationary pressures and the declining purchasing power of Nigerians.
Meshioye highlighted that the sector struggled with numerous challenges including high inflation, rising interest rates, a depreciating Naira, increased electricity tariffs, and security concerns. These factors led to a severe drop in demand and hindered profitability for manufacturers.
He also pointed to the steep rise in electricity tariffs, which surged by over 250%, making energy costs a major operating expense for manufacturers. Additionally, the devaluation of the Naira and the increase in interest rates further stifled growth in the sector.
Meshioye recommended that the government take immediate action, including the passage of tax bills, support for local products, and improvements in infrastructure, energy security, and policy consistency to revive the manufacturing sector.