The Federal Government has approved a ₦500m pilot initiative to strengthen Nigeria’s leather and footwear industry, with a focus on empowering women entrepreneurs. Endorsed by the Federal Executive Council, the initiative will be implemented through the Ministry of Innovation, Science, and Technology, with at least 50 percent allocated to women. Minister of Women Affairs, Imaan Sulaiman-Ibrahim, praised the move, stressing the industry’s potential to drive economic growth. She noted that the funds would provide starter packs for manufacturers, helping them scale production and boost Nigeria’s GDP. The pilot phase will begin in Ogun State.
Despite Nigeria’s role as a major supplier of raw leather to global brands, the industry remains largely underdeveloped. Sulaiman-Ibrahim pointed out that Louis Vuitton sources Nigerian leather, yet much of it is exported raw rather than processed locally. This limits job creation and economic returns, as local manufacturers lack the Infrastructure to compete globally. Strengthening the sector requires Investment in processing facilities, skills development, and policies that support value addition. Without these measures, Nigeria will continue missing out on the full economic benefits of its leather resources.
New Initiative will empower female entrepreneurs.
In addition to economic benefits, the initiative could enhance gender inclusion in industrial production. Many female entrepreneurs struggle with access to funding, markets, and technical training. If properly implemented, this intervention could provide them with the resources needed to scale their businesses and compete more effectively. However, success will depend on addressing systemic challenges and ensuring access to modern equipment, mentorship, and favourable Trade policies. A comprehensive approach that includes business incubation programmes could help bridge the gap between small-scale producers and large-scale industry players.
Moreover, the initiative’s impact will ultimately depend on its execution. Many government-backed projects in Nigeria fail mostly due to bureaucratic inefficiencies, corruption, and poor oversight. Without transparency in fund disbursement and a very well-defined implementation framework, this intervention could become yet another unfulfilled government promise. Strong monitoring mechanisms must be in place to ensure the funds reach intended beneficiaries and deliver measurable outcomes. Additionally, government agencies must collaborate with industry stakeholders to address potential bottlenecks.
Federal government must address infrastructure issues to aid success.
Furthermore, a major challenge facing the leather industry is weak industrial infrastructure. Frequent power outages, poor road networks, and a lack of high-quality tanning facilities hinder local manufacturers. While financial support is crucial, addressing these structural issues is equally important. Without reliable Electricity and transport systems, businesses will struggle to grow and compete globally. The government must prioritise infrastructure investments, including improved road networks to facilitate transportation of raw materials and finished products. Establishing industrial hubs with dedicated Power Supply for leather manufacturers could also help mitigate production challenges.
With Nigeria’s abundant Livestock resources, a well-developed leather industry could drive Economic Diversification and create numerous job opportunities. Instead of exporting raw hides, the country could build a thriving ecosystem integrating livestock farming, leather processing, and finished goods production, ensuring more value is added locally. Encouraging Private Sector investment and research into advanced leather Technology would further enhance Nigeria’s competitiveness, positioning it as a key player in the global market. Additionally, trade agreements that grant Nigerian manufacturers access to international markets could boost exports, create sustainable Revenue streams, and solidify the country’s standing in the global leather industry.
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Overall, for this initiative to have lasting impact, it must go beyond financial support and establish a sustainable framework for industry growth. A coordinated effort involving the government, private investors, and research institutions will be crucial in improving production efficiency and strengthening Nigeria’s position in the global leather market. By fostering a business-friendly environment and promoting innovation, Nigeria can transform its leather industry into a major economic driver. If properly executed, this intervention could empower women, create jobs, and contribute to long-term economic stability.