Nigeria has been ranked third among Africa’s top ten manufacturing countries, according to a comprehensive analysis by The African Exponent, a respected business information source for entrepreneurs and investors. The report highlights Nigeria’s pivotal role in key sectors and underscores its growing economic influence across the continent.
In the latest data reviewed, South Africa maintains its leadership as Africa’s foremost manufacturing powerhouse, contributing approximately 13 percent to its GDP. Nigeria follows closely, generating around 8.7 percent from its manufacturing sector—driven predominantly by food, beverage, and tobacco production—while Egypt leads with a robust 16.7 percent contribution .
Additional statistics reflect Nigeria’s sheer output volume. According to World Bank figures, Nigeria produced approximately US $55.7 billion worth of manufactured goods in 2023—second only to Egypt’s US $59.6 billion and ahead of South Africa’s US $48.8 billion .
This strong performance is attributed to the vitality of Nigeria’s automotive, food processing, and fast-moving consumer goods industries. State-led initiatives like the National Automotive Industry Development Plan (NAIDP) have attracted global brands such as Peugeot and Nissan, while local firms including Innoson Vehicle Manufacturing in Nnewi are strengthening domestic capacity .
Despite facing obstacles like rising production costs, exchange rate volatility, and energy shortages, the sector continues to draw increasing foreign direct investment (FDI). Experts emphasize that sustained growth hinges on improving infrastructure, access to finance, and supportive industrial policies .
Analysts believe that under the African Continental Free Trade Area (AfCFTA), Nigeria’s manufacturing sector is well-positioned to tap into a broader African market, supporting industrial expansion and economic diversification .
In summary, while Nigeria ranks third in Africa’s manufacturing landscape, trailing South Africa and Egypt, it stands firmly on the path toward greater industrial prominence—anchored in targeted reforms and enhanced integration with the continent’s emerging economic blocs.
