Nigeria has the potential to become the economic powerhouse of the African continent. Much of this potential and the possibility rest on the shoulders of Nigeria SMEs. SMEs driving massive economic growth has been proven times and again. The examples of the Asian economies quickly come to mind. There are many hindrances to this possibility of Nigeria attaining this economic power hub status.
I will single out QUALITY now.
There are over 20 million SMEs in Nigeria. They produce items ranging from food, clothing, simple machinery, pharmaceuticals, services, and many other kinds of stuff. All the ‘Made in Nigeria’ stuffs are competing with a huge retinue of imported products. A high percentage of Nigerians have a good taste for quality, hence their preference for imported goods. Instances, where you have local products of high quality, are well received and rewarded with good patronage. Every adult Nigerian have had many bad experiences with substandard products.
Beyond just reducing Nigeria’s dependence on imported goods, improving the quality of locally manufactured goods will increase the export potentials for the country. Many African countries with smaller economies are also suffocating under the burden of importation of products from the West and even Asia. Having a vibrant SME economy with QUALITY discipline can provide African substitutes for these Western products.
Moreover, Nigeria can attract high-value real sector FDIs, if there are QUALITY compliant SMEs that will support such MNCs. The example of the Chaebols of South Korea provides typical case studies. Samsung, Hyundai, LG, and the rest all depend on a very vibrant SMEs that feed them with components of their final products. This increases the volume of economic activities, GDP, and overall prosperity for the people.
Furthermore, there is a need for a policy-driven quality roadmap for SMEs, otherwise, the cry for patronizing made in Nigeria goods will never yield any significant result.
