The Nigerian Senate has approved a new bill requiring that all raw materials be at least 30 percent processed within the country before they can be exported. This move is aimed at boosting local manufacturing, creating jobs, and cutting down on heavy reliance on imported goods.
The bill, sponsored by Senator Onyekachi Nwebonyi of Ebonyi North, follows a report submitted by the Senate Committee on Science and Technology. It updates the Raw Materials Research and Development Council Act of 2022 to encourage value addition and improve Nigeria’s export standards.
Under this law, exporters who fail to meet the 30 percent processing rule will pay a 15 percent levy on the export value of the goods. They may also lose their raw material value addition certificate. The bill defines processing standards based on the type of material, technology used, and the quality expectations of the target export market.
The Raw Materials Research and Development Council (RMRDC) will issue detailed guidelines outlining what qualifies as 30 percent processing. These include standards for product safety, quality, and environmental care. Any raw materials exported without meeting the required processing level will be treated as smuggled goods and penalized under Customs laws.
Senate President Godswill Akpabio praised the bill, describing it as a bold step toward industrial growth. He said the law would help reduce imports of materials already available or processable in Nigeria. It would also encourage industries to adopt modern technologies that boost efficiency and product quality.
Akpabio noted that the law will attract more investors into Nigeria’s processing sector and protect local industries from unfair foreign competition. He added that it would support environmental sustainability and better use of the country’s natural resources.
By enforcing local processing, the Senate hopes to strengthen Nigeria’s trade position, create jobs, and promote long-term economic growth.
