Nigeria’s Industrial Development:
Issues And Challenges In The New Millennium
Author(s)
D. D. Ajayi
Abstract
Perhaps one major problem facing Nigeria today that has received little or no
attention remains her low industrial base. Indeed, apart from South Africa and
Egypt, both of which are outside tropical Africa, the contribution of
manufacturing to the economy of Nigeria, places Nigeria far behind the Newly
Industrializing Countries (NICs) of the South East Asia. Manufacturing in
Nigeria has largely been dominated by a valorization of raw materials and
import-substitution type that are capital intensive rather than labour intensive. In
addition, the absence of heavy industries and car manufacturing has militated
against effective transfer of technology hence the heavy investment in
manufacturing. There is the general low level of inter-industry linkages-failure
on the part of industries to utilize the products/by-products of other industries
especially in the production process. Studies on manufacturing in Nigeria have
focused on small-scale industries and some behavioral aspects of manufacturing
at the regional level. In some cases, explanations have been offered in terms of
factor endowments. The last three or four decades have largely witnessed a
reorientation in industrial geography and especially in a globalizing economy
whereby a lot of emphasis is placed on inter-industry linkages, and especially
networks of production subcontracting in the development of industrial activities
and the economy as a whole. This paper thus seeks to examine the extent to
which Nigeria’s manufacturing has been affected by inter-industry linkages, and
especially production subcontracting, and the challenges for Nigeria’s
manufacturing/industrial development in the new millennium.
Keywords: import-substitution, valorization, privatization, commercialization,
inter-industry linkages, production subcontracting.
Keywords
import-substitution, valorization, privatization, commercialization,inter-industry linkages, production subcontracting.
Related Book
Other papers in this volume
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