The Manufacturers Association of Nigeria (MAN) has thrown its weight behind the Federal Government’s recent approval of a 15 per cent import tariff on petrol and diesel.
The association however called for transparent, efficient, and well-coordinated implementation to ensure the benefits of the policy reach both industry and consumers, safeguard competitiveness, and prevent unintended cost burdens.
MAN described the move as “a strategic step and patriotic policy” that aligns with the “Nigeria First” agenda, noting that the import tariff aligns with the association’s long-standing advocacy for local content development and patronage of made-in-Nigeria.
Director General, Manufacturers Association of Nigeria (MAN), Mr. Segun Ajayi-Kadir, in a statement yesterday said the association believes that the 15 per cent tariff on petrol and diesel will accelerate the country’s journey toward energy sovereignty, industrial competitiveness, and sustainable economic growth — all anchored on the strength of made-in-Nigeria.
He called for transparent price monitoring, insisting that government and regulators such as PPPRA, NMDPRA and FCCPC should closely monitor domestic pricing to prevent excessive mark-ups or anti-competitive behaviour.
MAN further pushed for a stable transition period, pointing out that in the initial months of implementation, “the government should support local refiners to ensure adequate fuel availability and prevent supply shocks or speculative hoarding, particularly with the festive period approaching.”
The association said the proceeds from the import duty to be reinvested into energy infrastructure, refinery efficiency, and power support schemes for industries, including credit facilities for industrial energy transition and renewable adoption.
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MAN called on government to provide targeted incentives or rebates for small and medium manufacturers reliant on diesel-powered generators during the transition period.
The association noted the need for government to create an enabling environment and provide targeted incentives to attract investment in additional modular and conventional refineries, noting that this will strengthen domestic refining capacity, promote competition, and ensure long-term energy security.
MAN also stressed the need to ensure stakeholder harmony in the energy sector.
“The government should foster continuous engagement among refiners, marketers, regulators, and consumers to prevent disputes, ensure policy coherence, and sustain market stability,” Ajayi-Kadir said.
He also urged full and speedy privatisation of government-owned refineries.
According to him, it is evident that we may never succeed in restoring them to functionality under the current dispensation. Selling off the refineries will stop the commitment of our scarce financial resources to an evidently irredeemable venture.
Ajayi-Kadir, while acknowledging the policy as a major step in the implementation of Nigeria First policy, reaffirmed MAN’s commitment to supporting the Federal Government’s Nigeria First policy direction, especially on local content development and home grown industrialisation.
He said it is heartening that the policy came less than one month after the 53rd Annual General Meeting (AGM) of MAN with the theme: Nigeria First: Prioritizing Patronage of Made in Nigeria Products.
He stated that the strategic policy has reassured domestic manufacturers that government is attentive to the imperatives of growing indigenous manufacturing.
He said: “It exemplifies government’s commitment to halting the perennial bleeding of our patrimony; asserting the sovereignty of the great country; guaranteeing energy sufficiency and security, and improving the overall wellbeing of Nigerians in this regard.
“This is a sure step in the promotion of local value addition, strengthening domestic refining capacity, conserving foreign exchange, and advancing Nigeria’s long-term industrialisation objectives”.
He added that this will also ensure the naira- for-crude arrangement that will guarantee effective and reliable supply of crude to the local refineries and reduce the pressure on scarce foreign exchange.
He said: “It will also attract more investors, including the holders of the 30 refinery licenses to commit resources in the sector”.
Ajayi-Kadir emphasised that there is no better path to fixing Nigeria’s economy than protecting local industries, encouraging local patronage, fostering value addition, and promoting industrial development anchored on local content.
While pointing out that Nigeria is blessed with enormous oil resources, the MAN DG, however, said it is unfortunate that scarce forex in billions of dollars is still being spent on importing refined petroleum.
“Supporting local refining capacity through appropriate policy tools will conserve scarce foreign exchange, improve the stability of the Naira, and foster a more favourable macroeconomic environment for investment,” he insisted.
MAN said it recognises the importance, significance, and necessity of the approval of the 15 per cent import tariff on petrol and diesel.
The association acknowledged that “the tariff is a rightful, deliberately designed policy instrument intended to protect and encourage domestic producers, curb dumping, and create a stable environment for local refiners to thrive.”
It noted that the tariff will accelerate operational readiness of domestic refineries, thereby reducing disruptions and stabilising energy supply to industries.
MAN said it supports the 15 per cent import tariff as an industrial policy instrument that will encourage the utilisation of local refining capacity and promote backward integration across the energy value chain.
It also anchored its support for the policy on the need to conserve foreign exchange by reducing the nation’s dependence on imported refined petroleum products, and strengthen the manufacturing base through a more stable and predictable fuel supply.
The association also said the policy will generate employment opportunities, build technical expertise, and strengthen industrial linkages between refineries and manufacturers.
Besides, it will promote local content development and stimulate demand for Nigerian engineering, fabrication and logistics services.
“MAN views this policy as a vital step in achieving energy independence and industrial sustainability, both of which are prerequisites for Nigeria’s economic transformation,” Ajayi-Kadir said.
