The Federal Government of Nigeria has enacted a new leather strategy, which aims to achieve $1 billion by 2025.
Nigeria is one of Africa’s top manufacturers of leather and finished leather goods. Vice President Yemi Osinbajo believes the sector has the potential to transform Nigeria’s economy by increasing foreign currency revenues, boosting growth, and creating jobs for young Nigerians.
These goals, according to Osinbajo, may be realized shortly with the correct planning and strategy, as well as the optimization of the value chain. In Abuja on Tuesday, the VicePresident spoke at the official launch and sensitization session for the National Leather and Leather Products Policy Implementation Plan. He went on to say that the proposal is the outcome of a review of the country’s national strategy on leather and leather goods.
By 2025, according to research conducted by the Nigerian Economic Summit Group (NESG), not only might the Nigerian leather sector increase its profits by 70%, but it also has the potential to generate more than $1 billion in revenue as well.
Mr. Osinbajo has said the leather and leather products industry could become one of the major items in Nigeria’s export basket. The Vice President made these remarks during a visit to the National Leather and Leather Products Association in Abuja. He said, “There is no question that properly organized, the leather industry could become one in the major exports basket.”
According to Yemi Osinbajo, the leather and leather products business presently employs over 750,000 people, with about 500,000 of them employed in the finished leather goods industry. Leather exports have increased steadily in recent years, hitting a high of $117 million in 2018. However, exports were down significantly in 2020, mainly as a result of the epidemic, but have recovered to the tune of $272 million to far.
Osinbajo claimed the country has not yet fully realized its potential in the leather industry despite exporting millions of semi-finished and completed leather goods to countries such as Italy, Spain, India, South Asia, and China. The Vice President said that the official introduction of the National Leather and Leather Products Policy Implementation Plan provides the government with ”a real opportunity to address specific challenges and shortcomings of the leather sector.”