The Federal Government has reaffirmed its commitment to ending Nigeria’s long-standing practice of exporting raw minerals without local processing, as a proposed law mandating at least 30% value addition nears presidential assent.
Speaking to journalists, Minister of Innovation, Science and Technology, Kingsley Tochukwu Udeh, said the legislation will require companies operating in Nigeria to add a minimum of 30% value to any raw material before export. The law aims to retain more wealth from the country’s natural resources, boost local industrial capacity, and create jobs.
“Before any of our natural wealth leaves Nigeria, at least 30% value shall be added to such resources. This improves local content, enhances the capacity of Nigerians, and increases our ability to depend on our own innovators and engineers,” Udeh said.
He cited lithium as an example, noting that Nigeria currently exports the mineral in its raw form. Under the new regime, lithium will be processed into concentrate and salt locally, generating employment, infrastructure, and industrial growth. He also referenced cocoa, lamenting that Nigeria exports beans cheaply and imports finished chocolate at higher costs—a practice the law seeks to end.
Describing the 30% mandate as one of Nigeria’s most significant industrial reforms, Udeh said it will reposition the country from an import-dependent economy to a globally competitive exporter. He explained that the percentage requirement will vary by mineral, determined by technical experts, and dismissed concerns that the law could deter investors.
“Some critics say it will discourage investors. It will rather attract them. Investors want a country where value chains are protected by law,” he added.
Companies previously exporting raw minerals will now be incentivised to establish processing plants in Nigeria, expanding the industrial base and creating new markets. Government agencies, including NEXIM Bank, will provide infrastructure and financial support to ensure successful implementation.
Strict sanctions, including fines, economic penalties, and imprisonment, will apply to defaulters once the law is enforced. Udeh described the proposed legislation as a national asset aligned with President Bola Tinubu’s industrialisation agenda, noting that it will deepen domestic production, expand employment opportunities, and strengthen national sovereignty.
“Whatever leaves Nigeria from now on must have value. That is dignity and sovereignty for us as a nation,” he concluded.
