Reporting by *The Punch* indicates that the Manufacturers Association of Nigeria (MAN) has raised an alarm over severe structural headwinds threatening the national economy, as industrial growth slowed to 3.96 per cent in the second quarter of 2026 compared to 7.46 per cent in the corresponding period of 2025. Director-General of MAN, Segun Ajayi-Kadir, warned that the sector, which accounts for 17.23 per cent of national Gross Domestic Product, is struggling under high operating costs and structural bottlenecks.
The association highlighted that while capital-intensive sectors like oil refining experienced significant growth—reaching 43.94 per cent—labour-intensive segments such as textiles, apparel, and footwear contracted by 1.23 per cent. MAN cautioned that contractions in employment-heavy manufacturing segments present serious risks of job losses, declining real incomes, and persistent consumer inflation.
Validating the report, *Vanguard* noted that “the broader industrial sector is visibly suffocating under severe structural headwinds,” warning that a service-driven economy without a strong industrial core remains vulnerable. *Daily Post* also highlighted the industrial body’s demand, citing that MAN called on regulators to “immediately approve Eligible Customer status for contiguous industrial clusters, allowing direct bulk Power Purchase Agreements.”
Echotitbits take:
The disparity between capital-heavy refining and labor-intensive manufacturing reveals a divided industrial sector. If basic consumer goods manufacturing continues to contract, unemployment and inflation will persist despite overall top-line economic statistics, forcing the government to fast-track power and credit interventions.
Source: The Punch – https://punchng.com/man-warns-structural-challenges-crippling-industrial-sector/, September 4, 2026
Photo credit: The Guardian
