The manufacturing industry in Nigeria is an economic sector that brings approximately 10 percent of total GDP (Gross Domestic Product) each year according to Select Global Solutions. Manufacturing activity is concentrated in large cities like Lagos, Port Harcourt and Ibadan in the south of the country. Millions of people are involved in the production of household good, consumer products, automobiles, agriculture, mining, cement and building materials. The Nigerian manufacturing sector is dominated by the production of cement and building materials, food and beverages, tobacco, chemicals and fertilizers, wood and textiles. Three subsectors account for 77% of manufacturing output (food & beverage, cement and textile) generating the greatest value. In addition, breweries and flour mills contribute significantly to the manufacturing sector.
Sector’s Key Regulations & Principles
The manufacturing sector has only a few regulations that guide its sustainability operations which include the National Environmental Standards Regulations Enforcement Agency (NESREA) Act and the Environmental Impact Assessment (E.I.A) Act. This sector uses a lot of raw materials and thus has a key role to play in environmental sustainability. From using environmentally friendly materials to being cautious of its greenhouse gas emissions, each company in this sector has a key role to play towards sustainability. The NESREA Act empowers the agency to be responsible for enforcing all environmental laws, guidelines, policies, standards and regulations in Nigeria, as well as enforcing compliance with provisions of international agreements, protocols, conventions and treaties on the environment to which Nigeria is a signatory. The E.I.A Act on the other hand is an assessment of the potential impacts whether positive or negative, of a proposed project on the natural environment. It deals with considerations of environmental impact in respect of public and private projects. These Acts are regulations that are crucial to ensure that companies in the manufacturing sector are cognizant of their impact on the environment and their surroundings.
Sector Leaders
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Overall Leader | UPDC |
Top 5 | UPDC, Beta Glass Nigeria Plc, Lafarge Africa, Cutix Plc, Dangote Cement |
Leader per measurement index
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Human Rights | UPDC |
Ethical Economics | UPDC |
Innovation | Lafarge Africa |
Environmental Sustainability | Beta Glass Nigeria Plc |
Sustainability Management | Dangote Cement |
Sector break down
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Number of Companies Assessed | 15 |
Overall Sector Score | 8.15 |
# of Companies with a Standalone CSR/Sustainability Report | 2 |
# of Companies that responded to our data request | 0 |