President of the Nigerian-American Chamber of Commerce (NACC), Sheriff Balogun, has stated that economic diversification is necessary to shore up the country’s foreign direct investment (FDI).
Speaking at a press conference in Lagos as part of activities leading to the chamber’s Presidential Inaugural Dinner and Award Night scheduled for April 12 in Lagos, Balogun noted that key channels of foreign investment flow to Nigeria include agriculture.
Adding that Nigeria is blessed with over 84 million hectares of agro-land with barely 34 per cent cultivated, he said the soil can grow many crops to support other sectors.
“Nigeria is the largest cassava producer in the world and the raw material for most tablets is pharmaceutical grade cassava starch. This is an opportunity we can explore and harness. Looking at the production of electric cars and even renewable energy, Nigeria possesses strategic minerals like cobalt, titanium, lithium and manganese that are used in producing EV batteries, these are areas we should explore and play up.
“While we don’t want to export these in their raw form as it would give us very little value, we should partner with companies willing to set up here, refine these items and export them in a manner that would be beneficial to all,” he said.
Speaking on access to U.S. markets, he said local exporters still struggle to meet international standards and understand the market.
“Packaging is everything and we need to package what we have well for the international market. There are many sellers in these markets and if your product is not well packaged, it would be almost impossible to get buyers. We can also thrive in the services sector with the provision of international call centres; develop and harness our entertainment sector for export and boost our ICT sector for export,” he noted.
He noted that the trade balance between Nigeria and the U.S. is in Nigeria’s favour, but that this may reverse this year with Trump’s new policies.
“Tariff imposition has happened to other countries; we need to prepare as it might get to us. I am not sure AGOA will be renewed but there have been requests from some quarters to have it renewed. However, Nigerian businesses and manufacturers must become more competitive. I don’t know how this will happen though with all the challenges businesses face but that is the surest way to thrive in the market, with or without sanctions,” he noted.
Noting that the chamber has long been a beacon of excellence, fostering robust trade relationships and serving as a catalyst for economic growth, he said he remains committed to driving initiatives that foster economic development and create opportunities.
He added that the upcoming inaugural dinner would also mark the launch of their new headquarters on their permanent site.
Acting Director-General, Wofai Samuel, noted that their monthly breakfast meetings have become an important agenda-setter for not just the organised private sector but also the government and its agencies. “For the inauguration, we look forward to bringing together the largest of Nigeria’s corporate sector and public officials. We have always recognised and celebrated visionary leaders so during the inauguration, it would be an opportunity to award stakeholders who have contributed not just to the growth of the chamber but in bettering the economy,” she said.
