President Bola Tinubu on Monday approved a ban on the importation of foreign goods by Ministries, Departments, and Agencies(MDAs) on goods or services available in the country, without a waiver from the Bureau of Public Procurement(BPE).
Tinubu said this at the Presidential Villa in Abuja through his Minister of Information and National Orientation, Mohammed Idris.
Idris said: “The Nigeria First Policy places our country at the centre of public procurement and business activity, with a strong focus on empowering local industries. It is designed to foster a new business culture that is bold, confident, and uniquely Nigerian.”
The new policy dubbed the, ‘Renewed Hope Nigeria First Policy’, aims at strengthening the domestic economy, promoting local content, and reducing Nigeria’s dependence on imports.
The minister said that the new policy mirrored the U.S. “America First Policy.’’
However, he warned that, “all MDAs must review and resubmit their procurement plans in line with the new policy,” and breaches would attract disciplinary action and possible cancellation of future procurement processes.
He cited Nigeria’s continued importation of Sugar despite having a functioning Sugar Council and several domestic producers as a prime example of inefficiency the policy seeks to eliminate.
He stated: “Government’s money must now work for the Nigerian people. And contractors will no longer be allowed to act as mere intermediaries importing foreign goods while Nigerian factories remain underutilised.”
The ‘Nigeria First’ policy is the latest of the many economic reforms under Tinubu’s administration, which include the removal of fuel subsidy and floating of the Naira.
The policy came as a surprise to experts, who told Sunday Telegraph that the Tinubu administration may have tacitly responded to the US President Trump administration’s ‘reciprocal’ tariff on Nigerian goods, which the experts said will bring to an the African Growth and Opportunity Act (AGOA), a U.S. trade act that provides eligible Sub-Saharan African countries, including Nigeria, with preferential trade access to the U.S. market, meaning certain goods can be exported duty-free or with reduced tariffs.
AGOA, which was enacted in 2000, is currently in effect until the end of this year.
Policy summersault on importation
The former President Mohammadu Buhari administration, in its effort to boost local consumption and conserve foreign exchange, stopped importers of 42 items from accessing foreign exchange from the Central Bank of Nigeria(CBN).
The policy, regarding the 42 import items banned for Foreign Exchange is that importers, who import these goods can no longer buy foreign currencies from the official windows (CBN, Commercial banks) to pay their suppliers abroad.
The Tinubu administration on assumption of office on May 29, 2023, reversed the policy, removed all the restrictions on importation of goods and unified the exchange rates of the Naira.
However, about two years later, the government is placing other restrictions on imports.
Ban could have unintended consequences-PETROAN
The Petroleum Products Retail Owners Association of Nigeria (PETROAN), has urged President Tinubu to be cautious with his proposed implementation of the ban on foreign goods imports.
This comes as PETROAN said the ban on foreign goods, which heralded the Nigeria First Policy, may lead to an increase in the prices of Premium Motor Spirit and other imported goods.
The National President of PETROAN, Gillis-Harry, disclosed this in a statement on Tuesday.
According to him, while he applauds the government initiative, he warned against unintended consequences in the implementation of the policy.
Gilly-Harry urged, “the government to ensure that the policy does not lead to shortages or price increases, particularly in the petroleum sector, where local refining capacity is still being developed.
“PETROAN advised that essential and sensitive products, such as petroleum products, pharmaceuticals, and other highly consumable goods, should be gradually phased out.
“This is because some products may not be readily available locally, or their local production may be insufficient to meet demand, leading to shortages and price hikes.”
He further identified two major challenges the ban on foreign goods may cause in Nigeria.
“Potential shortages: Banning imports can lead to shortages of essential goods, particularly if local production is insufficient or unreliable.
“Price Increases: Limiting importation can result in higher prices for consumers, as local producers may not be able to meet demand efficiently, leading to inflationary pressures.
“Our primary concern is the availability and affordability of petroleum products in Nigeria to meet the daily consumption volume of over 46 million litres of petrol and other petroleum products. We must ensure that our policies do not compromise energy security, as this could have far-reaching consequences for the economy and the well-being of Nigerians.”
Buhari’s import restriction failed to save economy
According to analysts, the former President Buhari administration’s “Buy Made in Nigeria” policy failed due to a combination of factors, including corruption, lack of funding, inconsistent policy implementation, and a lack of public awareness and engagement. Poorly designed policies, coupled with a weak implementation framework, further contributed to the policy’s failure.
President Buhari mouthed consumption of made in Nigeria goods, calling on Nigerians to patronise Made-in-Nigeria products and service but he and his government did not live by example.
He had said in a fair in Lagos: “We must accept our new reality of promoting locally-made products, as it is evident that this is where our new Nigeria will be realised.
“That is why I have constantly emphasised that we must be a nation where we grow what we eat and consume what we produce.”
Buhari said that the non-availability of white-collar jobs had made it imperative for Nigerian youths to embrace entrepreneurship development, which would make them become economically empowered.
He went ahead to issue a directive to the Central Bank of Nigeria (CBN) not to provide credit for food importation in 2021.
Speaking at the fifth regular meeting with the Presidential Economic Advisory Council on Tuesday, December 29, 2020, at the State House in Abuja, President Buhari directed that the CBN must not give money to import food. Already, about seven states were producing all the rice the country needed, according to him.
“We must eat what we produce,” he said. While taking note of the strides made in agricultural production following the programme of diversification from over reliance on oil instituted by his administration, Buhari wondered where the country would have found itself by then in view of the devastating economic crisis brought about by COVID-19, if the country had not embraced agriculture.
Govt patronage of made-in-Nigeria cars
Former Vice President and 2023 presidential candidate of the Peoples Democratic Party (PDP), Atiku Abubakar called on President Bola Tinubu to demonstrate commitment to his administration’s “Nigeria First” policy by replacing his foreign-made vehicles with locally manufactured ones.
In a statement released Wednesday by his Special Assistant on Public Communication, Phrank Shaibu, Atiku said practical actions by the presidency would have a greater impact than official pronouncements.
Atiku said the administration must move beyond declarations to concrete actions.
“The Tinubu administration’s latest Nigeria First mantra, paraded through the Federal Executive Council, is nothing but another tired PR stunt—designed to deceive, not deliver,” the statement read. “Nigerians have grown weary of hollow speeches. If this government is truly serious about local content and economic patriotism, it must start at the very top.”
Atiku challenged President Tinubu to stop using foreign luxury vehicles and switch to locally made brands.
“We challenge President Tinubu to stop the noise and trade in his beloved Escalade for an Innoson, Nord or any made-in-Nigeria car. That single act will do more to promote the local industry than a thousand policy memos,” he said. “Let’s see the ministers—those shameless Rolls-Royce connoisseurs—sweat it out in Nigerian-made vehicles, too. Or is Nigeria First only for the masses?”
Atiku also addressed what he described as double standards in the administration’s public messaging.
“It’s time Mr. President shelves his love affair with Paris and London. If he’s serious about patriotism, his next vacation should be at Obudu Cattle Ranch, Yankari Game Reserve, or Erin Ijesha Waterfalls. Nigeria is beautiful—unless, of course, the President thinks otherwise.”
He further called on the President to commit to using Nigerian hospitals for all medical care.
“The era of jetting off for medical tourism while preaching self-reliance must end.”
Organised private sector thumbs up policy
Meanwhile, the Manufacturers Association of Nigeria (MAN) and Nigeria Employers’ Consultative Association (NECA), have commended the ‘Nigeria First’ policy directive as a move capable of boosting local production and stimulating the economy.
Director General, Manufacturers Association of Nigeria (MAN), Segun Ajayi-Kadir, described the initiative as “a welcome development in the right direction”.
He described the policy as a cheering news and long-awaited relief to resilient Nigerian manufacturers, who, despite the tough economic environment, have demonstrated enduring faith in the potential greatness of the Nigerian economy.
According to him, MAN sees the initiative as a true and definite demonstration of the government’s commitment to promoting local industries, boosting economic growth, and creating jobs for Nigerians.
He said by giving preference to locally produced goods and services, the country can stimulate demand, increase capacity utilization, and attract investments into the manufacturing sector.
Director-General and Chief Executive, Nigeria Employers’ Consultative Association (NECA), Mr. Adewale-Smatt Oyerinde, described the policy as “a great move, a strategic economic imperative that the OPS has been clamouring for”.
According to him, over the past few years, NECA has urged the government to prioritise the patronage of made in Nigeria goods, as this will not only promote local production but will fundamentally reduce the pressure on foreign exchange (forex) demands.
He said the policy would stimulate local industrial growth and facilitate job creation and preservation among many others.
Ajayi-Kadir stressed the need for all tiers of government, private sector entities, and individuals to support this initiative by patronising made-in-Nigeria goods and services.
He said: “This is with a special focus on uniformed government agencies and institutions (including the military and police), the legislature and quite importantly, the Presidency.
“All government contracts should prioritise the patronage of made in Nigeria materials. So, the government needs to consult with manufacturers on the way forward to achieve effective and efficient implementation”.
Ajayi-Kadir said as the umbrella organisation for manufacturers in Nigeria, (MAN) earnestly looks forward to working with the Federal Government and other tiers of government, their agencies and private sector organisations and businesses to actualise the Nigeria First project.
