The Chairman of Dangote Group, Aliko Dangote, has called on Nigeria to increase local production and strengthen backward integration as key steps toward becoming Africa’s leading manufacturing hub. He said Nigeria must reduce its heavy dependence on imported goods if it wants to achieve sustainable industrial growth and long-term economic stability.
Dangote made this call during a fireside chat at the Lagos Business School Breakfast Club, an event that brought together senior business executives, policymakers, and industry leaders to discuss Nigeria’s economic future. According to a statement released on Monday, the session was held under the theme, “Challenges and Opportunities for Making Nigeria the Leading Manufacturing and Services Hub in Africa.”
The Lagos Business School Breakfast Club is a regular platform that convenes top-level executives and thought leaders for strategic discussions on national and continental economic issues. The recent edition focused on Nigeria’s prospects as a manufacturing and services hub within Africa, especially at a time when the continent is pursuing deeper economic integration through initiatives such as the African Continental Free Trade Area.
During the interactive fireside chat, which was moderated by Professor Olawale Ajai of Lagos Business School, Dangote stressed that backward integration remains a critical foundation for building strong and competitive industries. He explained that countries that rely too much on imports struggle to develop resilient manufacturing sectors, especially when faced with foreign exchange challenges and global supply chain disruptions.
“If Nigeria truly wants to become a manufacturing hub, we must produce more locally and reduce our dependence on imports,” Dangote said. He noted that backward integration helps industries control costs, improve supply chain stability, create jobs, and add more value within the local economy. According to him, Nigeria has the population size, natural resources, and entrepreneurial capacity needed to support large-scale manufacturing if the right policies and investments are in place.
Dangote also spoke on the opportunities created by the African Continental Free Trade Area, which aims to create a single market for goods and services across Africa. He said AfCFTA offers Nigerian manufacturers access to a much larger continental market, but warned that only efficient and competitive businesses would be able to take full advantage of the agreement.
“AfCFTA gives Nigerian businesses access to a large continental market, but only those that are efficient and cost-competitive will benefit,” he said. He added that Nigerian manufacturers must focus on improving productivity, reducing operating costs, and meeting international quality standards if they want to compete successfully with peers from other African countries.
The event also featured a presentation on Nigeria’s 2026 Economic Outlook by the Managing Director of Financial Derivatives Company, Mr Bismarck Rewane. In his presentation, Rewane analysed key macroeconomic trends, policy indicators, and market dynamics that are likely to shape Nigeria’s economic growth in the coming years. He highlighted issues such as inflation, interest rates, fiscal policy, exchange rate management, and investor confidence.
Rewane noted that Nigeria’s industrial expansion would depend largely on how well macroeconomic stability is aligned with policies that support productivity, private sector investment, and long-term planning. He said consistent policies and a stable economic environment are essential for manufacturers to make informed investment decisions and expand capacity.
Participants at the Lagos Business School Breakfast Club engaged in a question-and-answer session that touched on several critical issues affecting Nigeria’s manufacturing sector. These included supply chain resilience, access to finance, infrastructure deficits, innovation, and the role of the private sector in driving economic growth. Many of the discussions pointed to the need for better coordination between government policies, infrastructure development, and private investment to unlock Nigeria’s full industrial potential.
Commenting on the session, Professor Olawale Ajai said innovation, technology, and skills development would play a decisive role in determining Nigeria’s competitiveness within Africa. He explained that countries that invest in human capital and embrace innovation are better positioned to lead in both manufacturing and services.
“Technology, innovation and human capital will determine whether Nigeria leads Africa’s manufacturing and services sectors,” Ajai said. He added that educational institutions, businesses, and government agencies must work together to develop the skills needed for modern industrial production and service delivery.
Lagos Business School stated that by convening such high-level conversations on Nigeria’s economic future, the Breakfast Club continues to support the school’s mission of developing responsible leaders who can drive sustainable growth across Africa. The school said the platform allows business leaders to share insights, challenge ideas, and explore practical solutions to the continent’s development challenges.
The event received support from several corporate partners, including First Bank of Nigeria, Optimus Bank, Cowry Asset Management Limited, and Afrinvest Limited. These organisations, according to the organisers, are committed to advancing executive education and promoting a strong and competitive business environment in Nigeria and across Africa.
As Nigeria continues to seek ways to diversify its economy and reduce dependence on oil revenues, discussions around local manufacturing, backward integration, and regional trade are expected to remain central. Dangote’s comments at the Lagos Business School Breakfast Club reflect ongoing debates about how Nigeria can leverage its size and resources to become a leading industrial and services hub on the African continent.
