Nigeria loses N585bn yearly leather revenue to other countries – Minister
Nigeria loses at least N585 billion of yearly leather product revenue to other countries, an estimated 90 per cent of the N650bn revenue stream, the Minister of State for Science, Technology and Innovation, Barrister Mohammed Abdullahi, has said.
Abdullahi disclosed this when the Nigerian Institute of Leather and Science Technology (NILEST) graduated 165 Nigerians on footwear manufacturing and leather goods processing/production in Abuja on Thursday.
“The market share of the Nigerian manufacturers in recent times has increased by 10 per cent, about N65bn leather and leather products transactions were estimated to have increased in excess of N450bn for footwear and N200bn for other finished leather products; the export value on the average was N189bn – N252bn, mainly leather.
“However, the reality about these developments is that 90% of the benefits goes to foreign countries while 10% goes into domestic accounts,” the minister said.
He however said the federal government, through NILEST, is making frantic efforts to reverse the huge capital flight by putting together the first-ever standalone National Leather and Leather Products Policy in Nigeria and its implementation plan.
Abdullahi said the industry formed one leather of the vibrant sectors in national economic development, contributing enormously to the Gross Domestic Products (GDP) of the country.
The director general of the institute, Prof Mohammed Kabiru
Yakubu, in his welcome address, said the first-time trainees were simultaneously camped in different zones for effective coaching and mentoring and the training programme was 80 per cent practical and hands-on.