Monday, February 22, 2010

Sparkling Future in Nigeria: Small World 2010.

It was merriment galore as the International Women's Organisation for Charity, organisers of the annual Small World put up their 15th fun-packed edition in Lagos with a theme, 'Sparkling Future'

Thirty Two Million Naira was realised from sale of tickets, corporate sponsorships and donations especially from the Expatriate and Foreign Residents communities in Nigeria to support charities sponsored by the various communities.

It was a night of national pride in flags parade and medley of cultures: choreography, costume, dance, drinks, food and fun as many look forward to the next edition, come February 2011. Would you be there?

Thursday, February 11, 2010


Are you considering entering the emerging market of Nigeria?

Do you seek agents and distributors for your products and services?

Do you seek joint ventures partnership with a Nigerian business?

Get your feet wet by attending one or more of the exhibitions and fairs holding in various locations in Nigeria in 2010.

Our company, Infoplus/IBG Nigeria is with you all the way as you plan your market entry strategies; and would deploy our knowledge of the conditions of the Nigerian market in assisting you.

Email or call our office on +234 1 8782864 for more information.

Below is a partial list of Exhibitions and Fairs approved by NACCIMA to hold in 2010.


Name: 31st Kaduna International Trade Fair
Date: Friday, 19th – Sunday, 28th February 2010
Venue: Kaduna International Trade & Investment Centre, Kaduna 1
Organiser: Kaduna Chamber of Commerce & Industry
KM 4 Kaduna-Zaria Road, Rigachikun
Kaduna State
Tel: 234-062-318794, 318795,080-33001361
070-23228908, 070-232285854
Fax: 234-062-318795
Nature: General

Name: 21st Enugu International Trade Fair 2
Date: 19th – 29th March 2010
Venue: International Trade Fair Complex, Enugu
Organiser: Enugu Chamber of Commerce & Industry
International Trade Fair Complex
P.O. Box 734, Enugu, Enugu State
Tel: 234-042-250575, 259511, 252186, 080-33489198
Fax: 234-042-252186
Nature: General

Name: 5th Abuja International Trade Fair 3
Date: 8th – 20th April 2010
Venue: Old Parade Ground, Area 10, Garki, Abuja
Organiser: Abuja Chamber of Commerce & Industry
Abuja International Trade Fair Complex, Airport Road
P.M.B 86, Garki, Abuja
Tel: 234-09-6707248, 080-36573696
Fax: 234-09-2348808
Nature: General

Name: Lagos International Trade Fair 2010 4
Date: 5th – 14th November 2010
Venue: Lagos International Trade Fair Complex
Badagry Expressway, Lagos
Organiser: Lagos Chamber of Commerce & Industry
1, Idowu Taylor Street, Victoria Island
P.O.Box 109, Lagos, Lagos State
Tel: 234-01-2701009, 2705386, 7746617, 7732305, 080-33335173
Fax: 234-01-5558554, 2705145
Nature: General

Name: 31st Kano International Trade Fair 5
Date: November/December 2010
Venue: Trade Fair Complex, Zoo Road, Kano
Organizer: Kano Chamber of Commerce & Industry
Trade Fair Complex, Zoo Road
P O Box 10, Kano
Tel. 064-976951, 977093, 977094, 963577, 080-36120058
Fax. 064-967273
Nature: General

Name: 3rd Odu’a International Agric Fair 6
Date: 9th – 18th October 2010
Venue: Trans Amusement Park, Ibadan, Oyo State
Organiser: Odu’a Chamber of Commerce & Industry
Commerce House, Ring Road, Challenge
Tel. 02-2311647, 2317223,
Mobile: 0805-5675654
Nature: General

Name: 16th North East Joint Domestic Trade Fair 7
(Bornu/Adamawa/ Yobe/ Taraba/ Gombe/ Bauchi )
Date: March 2010
Venue: Ramat Square, Maiduguri, Bornu State
Organizer: Borno Chamber of Commerce & Industry (BOCCIMA)
Sir Kashim Ibrahim Road
Opp Lake Chad Hotel, P.M.B. 987, Maiduguri
Borno State
Tel: 080-36055555, 080-23549788, 080-36889673
Nature: General

Name: Zamfara Trade Fair 2010 8
Date: 5th - 15th March 2010
Venue: Trade Fair Complex, Gusuoa
Organizer: Zamfara Chamber of Commerce/Exhibition and
Fair Limited
1, Yoruba Road, Challenge, Ilorin
Kwara State
Tel: 080-33265441
Nature: General

Name: Delta Domestic Trade Fair 9
Date: 1st – 10th April 2010
Venue: Permanent Trade Fair Complex, Osubi Near Effurun
Organizer: Delta State Chambers of Commerce & Industry
P.O. Box 302, Warri, Delta State
Tel/ Fax 053-253709, 080-34007805
Nature: General

Name: 1st Yenagoa Trade Fair 10
Date: 6th – 17th April 2010
Venue: Achievers Farm Grounds, Igbogene-Epie, Yenagoa
Bayelsa State
Organizer: Yenagoa Chamber of Commerce & Industry
Hajia Tura Yar’Adua Peace Commission Building
Imgbi Road, Amarata, Yenagoa, Bayelsa State
Tel: 080-72785303, 080-66701274, 080-30960585
Nature: General

Name: Lagos Mega Trade Fair 11
Date: 9th – 19th April 2010
Venue: LTV Channel 8 Complex, Blue Roof
Lateef Jakande Road, Agidingbi, Ikeja
Organizer: Osworld Associates limited
7, Babs Kazeem Street,
Ikorodu Road. Lagos
Tel: 08033335173, 01-8919896
Nature: General

Name: Port Harcourt Int’l Consumers/Brands Trade Fair 12
Date: 15th – 25th April 2010
Venue: Isaac Boro Park, Port Harcourt, Rivers State
Organizer: T-MATH Nigeria Limited
2, Adeyanju Street, Berger Yard Bus Stop
Apapa/Oshodi Expressway, Lagos
Tel: 080-37168324, 070-25515114
Nature: General

Name: 12th Abuja International Motor Fair 13
Date: 21st – 29th April 2010
Venue: Eagle Square Abuja
Organizer: BKG Exhibitions Ltd
252 Herbert Macaulay Way, Yaba, Lagos
Tel: 234-08055119260
Nature: Specialized

Name: 6th Gateway Trade Fair 14
Date: 23rd April – 6th May 2010
Venue: M.K.O. Abiola Trade Fair Complex
Organizer: Ogun State Council of Chambers of Commerce & Industry (OGUNCCIMA)
OGUNCCIMA Secretariat, trade Fair Complex,
Oke- Mosan, G.P.O. Box 2498
Tel: 08060652950, 08072666390
Nature: General

Name: Kwara Trade Fair 15
Date: 25th April – 5th May 2010
Venue: Baseball Park, Adewole Housing Estate
Ilorin, Kwara State
Organizer: Kwara Chamber of Commerce & Industry
Kwara Hotels Premises, Ahmadu Bello Way, Ilorin
Tel: 080-35888047, 080-39097405
Nature: General

Name: Water Africa & West Africa Building & Construction Expo 16
Date: 28th – 30th, April 2010
Venue: International Conference Centre, Abuja,
Organizer: ACE Events Management
C/o 1, Barrister Kolawole Street, Off Amoke,
Shoderu, Haruna, Ikorodu
Tel: 080-30635476, 080-23312888
Nature: General

Name: Computer Technology and Office Equipment ‘CTO 2010’ 17
Date: May 2010
Venue: Muson Centre, Onikan, Lagos
Organizer: American Embassy (Commercial Section)
2, Walter Carrington Crescent
Victoria Island, Lagos
Tel: 234-01-2610241, 4704693, 2610139
Fax: 234-01-2619856
Nature: Specialized

Name: 2nd Lagos Commercial & Industry Trade Fair 18
Date: 14th – 24th May 2010
Venue: Tafawa Balewa Square (TBS), Lagos
Organizer: T-MATH Nigeria Limited
2, Adeyanju Street, Berger Yard Bus Stop
Apapa/Oshodi Expressway, Lagos
Tel: 080-37168324, 070-25515114
Nature: General

Name: Sokoto Trade Fair 19
Date: May/June 2010
Venue: Sokoto Trade Fair Complex, Sokoto
Organizer: Sokoto Chamber of Commerce & Industry
Sani Abacha Permanent Trade Fair Complex
P.O.Box 2234, Sokoto.
Sokoto State.
234-08036007878, 08051339849
Nature: General

Name: Nigeria International Trade & Investment Expo
Date: 7th – 10th June 2010 20
Venue: Nicon Luxury Hotel, Abuja
Organizer: BKG Exhibitions Ltd
252 Herbert Macaulay Way, Yaba, Lagos
Tel: 234-08055119260
Nature: Specialized

Name: 8th Niger National Trade Fair
Date: 19th – 30th June 2010
Venue: Trade Fair Complex 21
Organizer: Niger Chamber of Commerce and Industry
Trade Fair Complex, Paiko Road
Minna, Niger State
Tel: 234-080-36128460, 080-73500685
Nature: General

Name: Food, Beverage and Drug Fair
Date: 26th – 30th July 2010
Venue: Trade Fair Complex, Lagos/Badagry Expressway 22
Organizer: Foods, Beverage & Drug Fair (ifbed)
61, Suberu Oje Road, Casso Bus Stop,
Lagos/Abeokuta Expressway, Alagbado, Lagos
Tel: 234-080-56111511, 080-38154089
Nature: General

Name: ITC (Internet, Telecom & Computer) Exhibition 23
Date: August 2010
Venue: Old Parade Ground, Area 10, Garki, Abuja
Organizer: Medalion Marketing Limited
9, Aderoju Adewuyi Street, Off Salvation Street, Opebi,
Ikeja, Lagos
Tel: 234-1-8971903, 080-27462911, 080-33300852
Nature: Specialized

Name: 2nd Nigeria International Power Expo & Conference
Date: 23rd – 26th August 2010
Venue: Nicon Luxury Hotel, Abuja 24
Organizer: BKG Exhibitions Ltd
252 Herbert Macaulay Way, Yaba, Lagos
Tel: 234-08055119260
Nature: Specialized

Name: 3rd EIT “The Innovative Technology Fair” 25
Date: 27th August – 5th September 2010
Venue: Tafawa Balewa Square (TBS)
Organizer: SM & LB Consulting Ltd
70a Bank Olemo Street
Off Akerele Road, Surulere
Tel: 01-7203121, 070-29421883
Nature Specialized

Name: Nigeria Consumer Goods Fair, Enugu
Date: September 2010
Venue: International Trade Fair Complex, Enugu 26
Organiser: Medalion Marketing Limited
9, Aderoju Adewuyi Street, Off Salvation Street, Opebi,
Ikeja, Lagos
Tel: 234-1-8971903, 080-27462911, 080-33300852
Nature: General

Name: Abia Trade Fair
Date: 24th September – 4th October 2010
Venue: Ibeku High School, Umuahia, Abia State 27
Organiser: Umuahia Chamber of Commerce & Industry
44, Azikiwe Road.
P.M.B. 7295, Umuahia, Abia State
Tel: 080-55252896, 088-35535271
Nature: Specialized

Name: 1st Nigerian Businesswomen Trade Fair
Date: 2nd - 11th October 2010 28
Venue: National Arts Theatre, Iganmu, Lagos
Organiser: NACCIMA Business Women Group
Tel: 080-20941203, 080-33193604
Nature: General

Name: Nigeria Consumer Goods Fair 29
Date: 14th – 24th October 2010
Venue: Old Parade Ground, Area 10, Garki, Abuja
Organizer: Medalion Marketing Limited
9, Aderoju Adewuyi Street, Off Salvation Street,
Opebi, Ikeja, Lagos
Tel: 234-1-8971903, 080-27462911, 080-33300852
Nature: General

Name: West African Health 2010 30
Date: 13th – 15th October 2010
Venue: Expo Hall, Eko Hotel & Suites
Organizer: Global Resources and Projects Nig. Ltd
40, Adegbola Street, Anifowose, Ikeja.
Tel: 01- 7647648, 08023378885
Nature: Specialized

Name: 6th Lagos Motor Fair
Date: 16th – 24th October 2010
Venue: Tafawa Balewa Square, Lagos 31
Organizer: BKG Exhibitions Ltd
252 Herbert Macaulay Way, Yaba, Lagos
Tel: 234-08055119260
Nature: Specialized
Name: Trade Promotion Fair for health and lifestyle 32
Goods and Services
Date: 17th – 23rd October 2010.
Venue: National Museum, Onikan
Organizer: Kellow West Africa (Nig.) Ltd.
38, King George V, Onikan, Lagos.
Tel: 234- 080-55322980
Nature: General

Name: Jos Trade Fair 33
Date: 20th – 30th October 2010
Venue: Trade Fair Ground, Jos, Plateau State
Organizer: Plateau Chamber of Commerce and Industry
16, Ibrahim Taiwo Road, GRA, Jos
Tel: 08036218534, 08035906341
Nature: General

Name: Packaging & Labelling Industries Exhibition 34
Date: 15th October – 24th October 2010
Venue: Trade Fair Complex, Lagos-Badagry Expressway
Organizer: Eastern Tycoon Enterprises Nigeria
20, Thomas Animashaun Street, Aguda
Surulere, P. O. Box 10548, Marina, Lagos
Tel: 081-23359336, 080-23268831, 080-33485759
Nature: Specialized

Name: 2nd Kogi Trade Fair 2010 35
Date: 18th – 27th November 2010
Venue: Olusegun Obasanjo Square
Lokoja, Kogi State
Organizer: Kogi Chamber of Commerce & Industry/
Exhibition and Fair Limited
1, Yoruba Road, Challenge, Ilorin
Kwara State
Tel: 080-33265441
Nature: General

Name: Nnewi National Auto Trade Fair 36
Date: 26th November – 6th December 2010
Venue: Gabros Football International Stadium
(Beverly Hills Hotel & Resort Limited)
Organizer: Nnewi Chamber of Commerce & Industry
31A, Nnobi Road
P. O. Box 1471, Nnewi, Anambra State
Tel: 234-0834024810, 080-33198265
Nature: General

Name: Edo Domestic Trade Fair 37
Date: 30th November – 14th December 2010
Venue: Permanent Trade Fair Complex, Aerodrome Close,
Benin City – Edo State
Organizer: Benin Chamber of Commerce & Industry
Trade Fair Permanent Site, Aerodrome Close,
Off Goodwill Road
P.O. Box 2087, Benin City, Edo State
Tel: 234-052:255761, 256979,08037112191
Fax: 234-052-256979
Nature: General

Name: 11th ACCIMA Made-In-Nigeria Trade Fair 38
Date: 24th November – 5th December 2010
Venue: Eyimba International Hotels Premises,
Ogborhill, Aba, Abia State
Organizer: Aba Chamber of Commerce & Industry
3, Umuimo Road, Off 142, Aba/Owerri Road
Umuimo, Aba P. O. Box 1569, Aba, Abia State
Tel: 234-08-33384369, 080-34330922
Nature: General
Name: Babies, Kids and Teens Fair (BKT 2010)
Date: 1st – 15th December 2010 39
Venue: International Conference Centre, Abuja
Organizers: Tenezoza Investments Limited
14, Bissau Street, Wuse 6, Abuja
Tel: 080-30875089, 080-23371605
Fax: 234-09-5235267
Nature: General

Name: Benue Trade Fair
Date: 4th – 14th December 2010
Venue: Benue Chamber of Commerce and Industry 40
Organiser: Benue Chamber of Commerce, Industry, Mines and Agriculture
Suite S7, IBB Square, High Level
P.M.B.102344, Makurdi , Benue State
Tel: 080-54439348, 080-36478026
Nature: General

Name: 5th Kwara Agric Show 2010
Date: 9th – 13th December 2010 41
Venue: Stadium Complex, Ilorin, Kwara State
Organizers: Exhibition and Fair Limited,
1, Yoruba Road, Challenge,
Ilorin, Kwara State
Tel: 080-33265441
Nature: Specialized

Name: 19th Port-Harcourt Trade Fair 42
Date: 10th – 19th December 2010
Venue: Isaac Boro Park, Port Harcourt
Organizer: Port-Harcourt Chamber of Commerce & Industry
ACB Building,
11 Azikiwe Road
P.O. Box 71 Port Harcourt, Rivers State
Tel: 234-084-752269,080-33166990,08037237660
Fax: 234-084-255015
Nature: General

Name: 15th Onitsha Trade Fair
Date: December 2010
Venue: All Saints Cathedral Field, Onitsha, Anambra State 43
Organiser: Onitsha Chamber of Commerce, Industry, Mines and Agriculture
Achike House 38, Oguta Road
P.O.Box.2578, Onitsha, Anambra State
Tel: 080-35414479,
Nature: General

Name: The CALCCIMA/International Carnival 44
And Festivals Conference And Exhibition
Date: 17th - 19th December 2010
Venue: TINAPA - Calabar
Organiser: Calabar Chamber of Commerce and Industry/African
76, Ndidem Usang Iso Road
Calabar, Cross Rivers State
Tel: 080-56880888, 080-37363308
Nature: Specialized

Name: The Nigeria International Travel and Tourism
Convention and Expo
Date: 21st - 24th December 2010 45
Venue: TINAPA - Calabar
Organizers: Calabar Chamber of Commerce and Industry/NITX-Nigeria
Tourism Expo Limited/Africa Convention
76, Ndidem Usang Iso Road
Calabar, Cross Rivers State
Tel: 080-56880888, 080-37363308
Nature: Specialized

Wednesday, February 10, 2010

NIGERIA: Investment Incentives

This is 2010 and I am sure you are thinking of where you can find help on investing in Nigeria. Do not look any further! The Federal Government has a one-stop agency set up to assist investors in the country. It is called the Nigerian Investment Promotion Commission (NIPC).

Also, several investment incentives has been put in place for the stimulation of private sector investment from within and outside the country. While some of these incentives cover all sectors, other are limited to some specific sectors. The nature and application of these incentives have been considerably simplified. The incentives include:


The Companies Income Tax Act has been amended in order to encourage potential and existing investors and entrepreneurs. The current rate in all sectors, except for petroleum, is 30 percent.


The grant of Pioneer Status to an industry is aimed at enabling the industry concerned to make a reasonable level of profit within its formative years. The profit so made is expected to be ploughed back into the business.

Pioneer status is a tax holiday granted to qualified or (eligible) industries anywhere in the Federation and seven-year tax holiday in respect of industries located in economically disadvantaged local government area of the Federation. At the moment, there is a list of 69 approved industries declared pioneer industries, which can benefit from tax holiday.

To qualify, a joint venture company or a wholly foreign-owned company must have incurred a capital expenditure of not less than five million Naira whilst that of qualified indigenous company should not be less than N150,000.00. In addition, an application in respect of Pioneer Status must be submitted within one year the applicant company starts commercial production otherwise the application will be time-barred.


1 Cultivation, Processing and Preservation of food crops and fruits Preserved canned foodstuff and fruits, tea, coffee, refined sugar, tomato puree/juice etc.
2 Integrated dairy production Butter, cheese, fluid milk and powder, ice cream (by products, livestock, minor edible products).
3 a) Deep sea trawling and processing b) Coastal fishing and shrimping Preserved sea foods, fish and shrimps, fishmeal
4 Mining lead, zinc, and iron and steel from iron ore Iron and steel products
5 Manufacture of iron and steel from Iron ore Iron and steel products
6 The smelting and refining of non-ferrous base metal and the manufacture of their alloys Refined non-ferrous base metal and their alloys
7 Mining and processing of barytes, bentonites and associated minerals Barytes, bentonites and associated minerals
8 Manufacture of oil well drilling materials containing a predominant proportion of Nigerian raw materials Barytes, bentonites and associated minerals
9 The manufacture of cement Cement, clinker
10 Manufacture of glass and glassware Sheet glass, pharmaceuticals and laboratory glasswares
11 Manufacture of lime from local limestone Lime
12 Quarrying and processing of marbles Marbles and processed marbles
13 Manufacture of ceramic products Refractory and heat insulating constructional products, laboratory ware
14 Manufacture of basic and intermediate i) Basic and intermediate organic chemical; ii) Basic and intermediate in-organic chemicals;iii) Fertilizers;iv) Petro-chemical;v) Caustic soda and chlorinevi) Pesticide and insecticide
15 Formulation and manufacture of pharmaceuticals Pharmaceuticals, health vitamins
16 Manufacture of yeast, alcohol and related products Yeast, industrial alcohol and related products
17 Manufacture of paper pulp Paper pulp
18 Manufacture of yarn and man-made fibres Yarn and synthetic fibres
19 Manufacture of machinery involving the local manufacture of substantial proportion of components thereof Office and industrial machinery, equipment and apparatus (whether or not electrical)
20 Manufacture of products made wholly or mainly of mental Pipes and tubes structure metal products
21 Manufacture of nets from local raw materials Fishing nets, mosquito nets and related products
22 Manufacture of gas cylinders Gas cylinders
23 The processing of local wheat flour materials Flour and Offal
24 Rubber plantation and processing Rubber
25 Gum/Arabic plantation and processing Gum Arabic
26 Manufacture of fertilizers Ammonia, Urea Superphosphate and nitrogenous fertilizers
27 Vehicle Manufacture Motor Vehicles and Motor-cycles, Tri-cycles and Automotive components
28 Oil palm plantation and processing Palm Oil, palm kennel and Offal’s
29 Manufacture of automotive and other components Automotive and other components.
30 Book printing Books
31 Large Scale Mechanized Farming Wheat, Maize, Rice and Sorghum
32 Cattle ranching and piggery of not less than 500 herds Cattle and pigs of not less than 500 herds
33 Manufacture of Gypsum Gypsum
34 Re-refining or re-cycling of waste oil Low power oil
35 Manufacture of electrical appliances/ equipment/components and parts Generators, transformers, meter, control, pressing irons, switch gears, test equipment, ballets/ starters/ lighters, discreet components, resistor/capacitors/coils/semi-conductors/ conductors
36 Ship building, repairs and maintenance of ocean going vessels Ships, boats and barges.
37 Manufacture of computer and computer chips Computer hard and soft ware chips
38 Manufacture of cameras, photographic equipment and other materials Cameras, photographic equipment or any component thereof
39 Diving and underwater engineers Underwater engineering services.
40 Local fabrications of machinery, equipment Machinery
41 Manufacture of tools Machines and hand tools
42 Installation of facilities for aircraft manufacture and maintenance of aircraft Aircraft maintenance and manufacture
43 Installation of scientific instruments and communication equipment Scientific instruments, radio, audio play-back/recorders, loudspeaker units, amplifying systems, microphones, video playbacks/ recorders, PBX, telephone handset, tele-printers, trans-receivers, autophones/aerials.
45 Manufacture of gas and distribution Gas and gas distribution
46 Manufacture of Solar energy powered equipment and gadgets Solar panels, refrigerators, water pumps, calculators, etc
Fish and shrimps
47 Large-scale inland fishing farms Fish and shrimps
48 Bitumen mining and processing Bitumen
49 Salt production Salt
50 Manufacture of fire fighting equipment and detection systems Fire fighting equipment and detection systems
51 Manufacture of cables Electrical, telephone and other cables
52 Manufacture of medical equipment X-ray, oxygen equipment, etc
53 Mineral oil prospecting and production Petroleum
54 Manufacture of lubricants Grease, hydraulic/engine oil, gear oil, etc
56 Manufacture of flat sheets Flat sheets
57 Manufacture of oven, cookers, cold rooms, refrigerators, fridges, freezers, air conditioner Oven, cookers, cold rooms, refrigerators, fridges, freezers, air conditioner
58 Manufacture of agricultural machinery and equipment Ploughs, harvesters, threshers, planters etc
59 Manufacture of materials handling and equipment Cranes, forklifts etc
60 Establishment of foundries Moulds, casting, etc
61 Manufacture of alum Alum
62 Manufacture of enzymes Enzymes
63 Manufacture of concentrates Food/fruits concentrates
64 Manufacture of welding electrodes Welding electrodes
65 Manufacture of nails Nails, related items
66 Manufacture of iron rods Rods from billets
67 Manufacture of hops Brewing hops
68 Information and communication technology (ICT) Manufacture/production of ICT equipment, hardware and software
69 Tourism Development of holiday resorts, hotels, sporting and recreational facilities
70 Real Estate Development - Rental income from residential and commercial premises;- Capital gains from any real estate disposed of within a specified period
71 Utility services - Independent power generation utilizing gas, coal and renewable energy sources;- All aspects of transportation such as rail, road and waterways- Indigenous telecommunications companies other than GSM operations

Other incentives include the following: relief for research and development
b. in-plant training
c. investment in infrastructure
d. investment in economically disadvantaged area
e. labour intensive mode of production
f. local value added
g. reinvestment allowance
h.minimum local raw material utilisation.

Hope this helped! Well, if you need more help, contact us on or visit the website of the Nigerian Investment Promotion Commission (NIPC) on

Monday, February 8, 2010

Nigeria in 2010, the Jubilee Year!

The New Year, 2010 started on a wrong foot.

For what has become a way of life, many Nigerians entered the New Year in darkness. The 6000MW of electricity promised failed to materialize. Long queues at the petrol stations were carried over on to the New Year as rumors of increase in the pump price of petrol became rife.

Shortly before the year 2009 ended, a new helmsman was announced as the Governor of the Nigerian Central Bank. His name is Mallam Lamido Sanusi. He introduced some radical reforms that witnessed the exit of several bank chiefs. The restructuring that followed in the commercial banks was met with massive sack of workers by banks.

As if the pains mete out to families as a result of power outages, scarcity of petroleum products and retrenchment of workers were not enough, the nation was slapped with a label as a ‘country of interest’ by the US as a result of a botched attempt by citizen AbdulMutallab to bomb a US bound plane. This put the nation’s rebranding project in crisis as the Ministers scamper to correct any negative impression that the incident may have generated.

Add these to the anxiety of the citizens on the health of its president undergoing medical treatment in faraway Saudi Arabia. You guessed right…!

These are challenging times… but the happy people of Nigeria cannot be forced into despair. Never! According to Matthew Ashimolowo of Kingsway International Christian Centre (KICC), 2010 is a Jubilee year!

A jubilee has been defined as a season or an occasion of joyful celebration, a specially celebrated anniversary, especially a 50th. Nigeria marks its 50th political independence in 2010. This year also marks the beginning of the electioneering campaigns leading to the 2011 general elections.

According to the World Bank, Nigeria’s macroeconomic performances over the past years have been commendable and include the following: growth in the non oil sector, reduced inflation rate, increase in international reserves, bank reforms, improvement in credit rating, adoption of common external tariff, liberalization and privatization.

In addition, stocks are once again experiencing a bullish trend (with public confidence gradually returning), oil prices have appreciated to an average of $70 per barrel from an abysmal level of below $40 in early 2009 in the international markets and amnesty to Niger Delta militants means that oil companies are returning to the region.

Business intelligence reports show that Nigeria remains a country to be beaten in sub Saharan African as an investment destination

Increasingly too, Nigerian states are competing with each other for investment, visitors, events and the like. As if guided by the pre-requisites offered by Baird’s CMC and the US Chamber of Commerce on African Business Initiative: having an educated workforce, a fair business environment, a stable political environment and improved infrastructure, several governors are working hard to create facts on the ground through infrastructure development and investments in critical sectors, especially those that they have comparative advantage.

Most states have deepened their internally generated revenue base as well as looking at sectors that may jumpstart their economies. Projects on ICT outsourcing and tourism; and programs on free trade zones and business parks development are receiving a boost. One stop investment centres are springing up in state capitals and towns for leverage. Going a step further, many are adopting safe city norms, gradually becoming an international standard in the choice of where to invest, live and to do business.

However, discerning business people see the problems in Nigeria as opportunities for investment. Only the daring make it in Nigeria! Are you?

There is not much difference between our recommended sectors in 2009 and 2010 other than that the financial sector has opened up for investment for those with the wherewithal and the acumen to ride the Nigerian business wave.

As in 2009, the sectors we have outlined as below have witnessed tremendous investment of capital by local and foreign businesspeople.

They are as follows:

Hospitality: Hotels are enjoying boom times despite their exorbitant rates (The Sheraton, Protea, Hilton chain to name a few are reaping huge profits). Oriental, continental restaurants and fast food eateries are all over the major cities while bars and night clubs are packed every evening by locals and foreigners. This is an opportunity for franchise fast food chains to take the plunge. Kentucky Fried Chicken (KFC) has just joined the fray. Beers and energy drinks companies are all smiling to the banks as a result of heightened patronage by revelers (Ask the Dutch, South Africans and Austrians). Car rental companies would find the market attractive (Avis is already making a ‘kill’).

Information and Communication Technology: Nigerians may be earning less than two dollars a day but their appetite for high end smart phones with 3G capabilities are high (Nokia and Blackberry are witnesses!). Mobile phone use is presently less than half the population of 150 million people, ample opportunity for mobile phone companies to set up local plants for new or refurbished phones, the Nigerian Communications Commission (NCC) permitting. Suppliers of computers, laptops and network accessories including wireless routers, switches and data security and encryption would find a ready market here.

Most banks have deployed electronic payment platforms and there is need to protect ATM users from identity and password theft. Most Nigerian banks consider expanding their offshore banking operations and need fraud and risk technologies solutions as they deploy. Surveillance cameras and panic alarms are in demand as financial institutions, companies and individuals install cameras in and around their property. Internet penetration is still low. Such services are worth considering as Governments may be encouraged to deploy e-government platforms to save administrative costs while providing access to the citizenry.

Agriculture: Subsistence agriculture is widespread in the country but unsustainable if the country must feed itself. Improved seedlings, modern farm equipment, herbicides, storage facilities and mills for food processing are necessary in the fight against hunger, exacerbated by the use of the crops for alternative energy development.

Governments are interested in partnering with companies that are willing to go into joint venture with them for aquaculture, livestock breeding and in the production of livestock feeds and fertilizers. These projects have the capacity to generate employment for the teeming youths in the various states. Manufacturers of farm equipment and consultants in these areas would make good sales.

Services (Outsourcing)-Repatriates or returnee Nigerians from Diaspora form a ready pool of skilled and experienced human resources for companies that seek best practice for their business as they consider locating in Nigeria. With exposure in management practice, health care, accounting, HR and schools, their expertise are of immense value as companies tap into the huge opportunities available in the country in these service sectors. SAT, GRE and GMAT testing remain attractive to families that desire top notch education in the US and the UK for their children. Companies in Nigeria prefer graduates from good overseas universities to local universities as the educational system have become comatose. Private primary and secondary schools are enjoying a boom and this is not likely to change soon. Preference for expatriate teachers and administrators are high, perhaps due to absence of many committed personnel in the country. This void has been filled by repatriates with adequate skill set and passion to succeed.

Construction: Public private participation in road construction by the way of concession, build, own, operate and transfer (BOOT) are avenues considered by the government at various levels to contain the hydra headed problem of road dilapidation in the country. Rapid economic development is enhanced when people and products are able to move from point A to B. Mass transit rail, water or bus service are looked at by various governments as solutions to the transportation problems in their states. Bullet proof cars are still in high demand by chief executives of companies, embassies and the politicians. Technologies for road repairs, bridge construction; signage and traffic control would be interesting to the Governments.

Affordable housing is still out of the reach of the teeming population; therefore economic housing projects for estate development are of concern to Governments, local developers and banks, with which strategic alliance could be formed. Demand for luxury and secured housing estates is high for the expatriate population, repatriates and middle class to upper- upper income class group therefore all the appurtenances for housing construction, fittings and interior decoration remain in demand. There is a huge attraction in the float glass sub-sector. Sand dredging especially in urban centres remains an attractive venture as more residential estates are built. Demand for security doors and locks remain high especially among the nouveau rich and the political class.

Energy: The search for reliable sources of power continues with many Governments contemplating Independent Power Plants (IPP), set up of small refineries and alternative sources such as wind, biogas and solar energy. Imports of generating sets remain high as the population subscribe to any appliance that provide them with some semblance of regular power supply. Homes and offices are in dire need of energy to power on their air-conditioners, office equipment and industrial machines. Though in the long run, the Government anticipates renewable and sustainable sources of energy development, any source of power is acceptable in near term.

Health and Medical Equipment: Many Nigerians still travel overseas for tests as routine as eye and laboratory testing and medical check up. Government hospitals and clinics are comatose and without drugs leaving the population with no choice but to seek alternative health therapy. Expatriates take leave of work to return to home country for treatable ailments such as malaria. Opportunities abound here for well equipped clinics and specialized centres for heart-related ailments, kidney problems etc. Good laboratories with modern diagnostics equipment would enjoy good patronage especially among the middle class and above, foreign residents and expatriates. Massage parlors and health spas to ease stress of living, rheumatic pains and arthritis remain a wise investment. Trading in generic drugs and syrups is a worthy investment once approval is given by National Agency for Drugs and Food Administration (NAFDAC). Consulting in alternative medicine such as acupuncture is not regrettable.

PS: Our Office can help you with issues that bother on the decision to do business in Nigeria. Email Ndudi Osakwe on