Connect with us


Nigeria spends $3.3bn every year importing metals –Minister



Buhari issues marching order for completion of Ajaokuta steel

Nigeria’s annual spending on importation of metals currently stands at $3.3 billion, the Minister of Mines and Steel Development. Olamilekan Adegbite, disclosed on Monday.

He made the declaration during his remark at the handing over ceremony of the steel plant assets of Standard Metallurgical Company (SMC) Limited in Sagamu, Ogun State to KAM Steel Integrated Company Limited.

KAM Steel, which is a subsidiary of KAM Holding, acquired SMC at N60 billion.

The minister, who was represented at the event by Olu Adedayo, his Senior Special Assistant, Technical, said Nigeria was not producing liquid steel in spite of the rapid development of the country’s economy.

“The Nigerian economy with a Gross Domestic Product of about $440bn is one of the fastest-growing economies in Africa without the production of liquid steel.

“Although Nigeria has over 30 steel manufacturers, it can only produce 2.2 million tonnes per annum using scraps and billets imported mainly from China.

Read also: Buhari’ll end fuel importation in Nigeria —Sylva

“It is on record that Nigeria spends an average of about $3.3bn importing metals annually,” he said.

Adegbite lauded KAM Steel for its efforts at steel production in Nigeria.

Iyadunni Yusuf, Chairperson of KAM Holding, stated that the move to take over SMC was part of plans to expand the capacities of KAM Steel in iron and steel production.

She added that firm would generate 10,000 jobs and enjoined the Nigerian government to back local manufacturers in enhancing indigenous capacity in the steel production industry.

“The steel industry being a very important integral part of the nation’s economy necessary for speedy economic growth and socio-infrastructural development, there is need for government to focus more on the sector, recognize and declare iron and steel as national products to boots our foreign exchange earnings in the face of dwindling price of oil in the global market,” she said.

Join the conversation


Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now