Vice Chairman of the Tropical General Investments (TGI) Group, Farouk Gumel, has identified the pathway to accelerating Nigeria’s industrialization, noting that micro-industries have a vital role.
Speaking at a CEO Roundtable at the recently held 30th Nigerian Economic Summit (#NES30), held at Transcorp Hilton, Abuja, Gumel noted that while Nigeria is often seen as under-industrialized, micro-industries are, in fact, prevalent throughout the country. He delivered insights on the challenges facing Nigeria’s industrial sector, while he provided practical solutions to further unlock its potential.
“In every village, somebody runs a flour mill or a bakery. We have small industries everywhere, but we often ignore them because we’re focused on big factories and technologies that seem out of reach,” he noted.
Gumel emphasized that these small businesses play a vital role in local economies. Yet, they are rarely acknowledged in the broader conversation about industrialization.
He, however, highlighted challenges confronting the micro-industries, noting that “They are not doing well. They are surviving. In a hyperinflationary environment, staying afloat is an achievement, but it’s far from real success. If they were thriving, these local businesses would expand into neighbouring towns or become national brands.”
Mr Gumel also laid out a clear path for addressing these challenges, emphasizing that the solutions already exist but often need more utilized.
“There’s a plan, and it hasn’t changed. If you invest in green technology, there are incentives available. If you need financing, the Bank of Industry, Bank of Agriculture, and Nexim Bank are there to help. These tools exist, but we need to ensure they are accessible and effectively utilized by the right people,” he explained.
His solution-focused remarks offered a roadmap for the public and private sectors to better leverage existing frameworks to promote industrial growth.
The other panelists at the roundtable discussion were Chief Executive Officer, KPMG West Africa, Tola Adeyemi, and Chief Executive Officer, Bonita Foods Limited, Winifred Isichei, and was moderated by Olubukola Adubi, Chief Executive Officer, MicCom Cables & Wires Limited. The discussion reinforced the need for Nigeria to focus on scaling up micro-industries as a pathway to rapid industrialization.
While large-scale factories and advanced technologies are essential, empowering local businesses and enabling their growth is the key to transforming Nigeria’s industrial landscape.
With the proper support, these micro-industries can evolve into national brands, contributing to sustainable economic development and helping to realize Nigeria’s industrial potential.
