Business
Contribution Of Solid Minerals To GDP Too Low – Minister
L-R: Project Manager, Food Processing and Packing Machinery, Ms Martina Claus, Managing Director of Fairtrade, Mr Martin Marz, Technical Adviser (Youth and Gender) to the Minister of Agriculture and Rural Development, Mrs Mosumola Umar, Consular General, Embassy of France, Lagos, Mr Laurent Polonceaux, Project Manager, Subsaharan Africa Livestock and Genetics, Aude Roelly, and Economic Councillor, French Embassy, Francis Widmer, at the opening of Exhibition and Conference on Agrofood and Plastprintpack Nigeria in Lagos, yesterday.
Minister of Solid Mineral Development, Dr Kayode Fayemi, yesterday has said that the contribution of solid minerals to Gross Domestic Product (GDP) is low.
Declaring open a seminar on “The Role of Mining Sector in Diversifying the Revenue Base of the Nigerian Economy,” Fayemi described the situation as unacceptable.
The minister noted that in spite of the recognisable size of solid minerals in every local government in Nigeria, its contribution to GDP was too low.
The one day seminar was organised by the non-oil monitoring committee of the Revenue Mobilisation, Allocation and Fiscal Commission (RMAFC).
Fayemi, who was represented by the Minister of State, Mr Abubakar Bwari, said the contribution of the sector to GDP was as low as 0.34 per cent.
He said Nigeria had enough resources to make it one of the richest countries in the world but was rated among countries with the highest number of poor people.
Fayemi said that the present administration was determined to change that by ensuring that the solid minerals sector rivals the oil sector.
“In order to do that however, we must formalise the activities of our artisanal miners, repair moribund infrastructure and provide more respectable geosciences data.”
He said there was the need to also engage with foreign and domestic partners and work off an integrated roadmap that would emerge from a broad consultation process.
Fayemi also said that the Federal Government was focusing attention on agriculture because Nigeria was spending more than N1.5 trillion annually to import food, a situation that has put a heavy pressure on the nation’s foreign exchange.
He commended the RMAFC for showing great concern for wealth generation as part of its constitutional responsibility of monitoring revenue accruals into the Federation Account.
He said that its recommendation to upgrade the mines and inspectorate department of the Ministry into an agency was being adopted.
The department is responsible for exploitation and exploration activities as well as collection of operational fees.
Acting Chairman of the commission, Mr Shettima Abba-Gana, in an address said that the commission’s efforts geared towards generating revenue from the sector enabled it to contribute N12 billion into the federation account in 2015.
From this, he said 13 per cent derivation was paid to the states where the solid minerals were gotten from for the first time.
He, however, said that the key problems bedevilling the sector were “dominance of the mining sector by foreign companies, especially the Chinese companies and illegal mining activities by artisanal and small miners all over the country, resulting in environmental devastation and loss of revenue to government.”
Mr Ajibola Fagboyegun, a federal commissioner at the RMAFC told newsmen that the factors hindering mining exploration were being looked into.
“A situation where an individual will have title license covering very large area of land but will not be seen and the prospective investors will find it difficult to come in and work is now being redressed.
“Soon the atmosphere will be conducive for mining business with friendly policy that will encourage investors to come in.
“We are sure many people want to make money and Nigeria is a very good environment for investors to make their money,” he said.
The seminar was geared towards developing new initiatives on how to diversify the economy from crude oil to solid minerals to boost revenue.
In a concerted effort to tackle racketeering and reduce inflated transportation costs in the Nigeria’s seaports, Trucks Transit Parks Ltd. (TTP) has trained Licensed Customs Agents and Freight Forwarders on the use of its Ètò electronic call-up system.
The training was held recently at Customs Processing Centre (CPC) Auditorium, Apapa, Lagos, in collaboration with the Nigeria Customs Service (NCS) and supported by the leadership of the Joint Association of Licensed Customs Agents and Freight Forwarders (JALCAFF), Apapa Command.
Speaking at the event, Comptroller Babatunde Olomu expressed appreciation to TTP for facilitating the training and emphasized the need for customs agents to take personal ownership of the Ètò booking process.
“I want to thank TTP for this impactful training. I encourage all customs agents to begin doing their own bookings directly. By doing so, they can take back power from the unscrupulous elements exploiting their lack of knowledge, selling tickets at highly inflated prices,” Olomu declared.
He noted that empowering agents with hands-on training was key to dismantling racketeering networks that have plagued access to the ports and frustrated efficient logistics processes.
Also speaking, the Chairman, Apapa Chapter of the Association of Nigerian Licensed Customs Agents (ANLCA), Chief Emeka Chukwumalu, said the engagement was critical to the ongoing push to reduce cargo transportation costs and ease business operations at the Apapa Port.
According to a freight forwarder, “The training is basically for us to have awareness of the operations of the Ètò call-up system through TTP. We also want to brainstorm on ways to reduce the high cost of cargo transportation in Apapa Port.
“This training opened our eyes to how simple it is to book tickets ourselves. We now know the right steps to follow and how to avoid falling victim to fraudsters.”
Earlier, Head of Operations at TTP, Mr. Irabor Akonoman, talked on common misconceptions about ticket pricing, reaffirming that the cost of Ètò bookings had remained consistent since its inception.
“The official price remains the same since inception. What people are paying higher amounts for is the manipulation by racketeers”.
Towards strengthening small businesses and promoting a more supportive regulatory environment, the Nigeria Employers’ Consultative Association (NECA) says it will hold the 2025 edition of its flagship MSMEs Fair on Tuesday (May 6, 2025).
The event, themed, “Galvanising MSMEs for Economic Growth and Stability”, will take place at NECA House in Lagos.
According to NECA’s Director-General, Mr Adewale Smatt Oyerinde, the fair seeks to provide micro, small, and medium enterprises with essential tools, resources, and strategic networks to thrive in Nigeria’s challenging business climate.
He emphasised the vital role MSMEs play in national development, describing them as the “lifeblood of Nigeria’s economy.”
Oyerinde noted that the fair is designed to offer entrepreneurs practical solutions to navigate economic uncertainties, regulatory hurdles, and business scalability issues.
A major attraction of this year’s event is the keynote address by the CEO of FATE Foundation, Mrs. Adenike Adeyemi, a prominent advocate for MSME development.
She is expected to share transformative insights on innovative strategies for sustaining and growing small businesses in Nigeria.
A unique feature of the fair will be interactive sessions with key regulatory bodies. Entrepreneurs will engage directly with agencies responsible for licensing, compliance, taxation, and business registration.
NECA said these sessions aim to demystify bureaucratic processes and foster a more enabling business environment.
It also said the fair will provide a platform for entrepreneurs to exhibit their products and services, connect with potential investors, and explore new markets.
It added that participants would gain critical knowledge on digital transformation, access to finance, and strategies for sustainable business growth.
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· NECA stressed that the fair aligns with its broader mission of promoting enterprise development and economic resilience.
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· “By empowering MSMEs with the right support and information, the organisation aims to stimulate job creation, innovation, and long-term economic stability”, NECA said.
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· The 2025 MSMEs Fair is expected to attract a wide range of stakeholders, including financiers, tech experts, regulators, and industry leaders, all united in advancing the growth of Nigeria’s MSME sector.
The Lagos State Commissioner for Transport, Mr Oluwaseun Osiyemi, says over two million passengers have been transported on the Blue Line Rail since its launch, while state-run buses move an average of 42,000 commuters daily.
Osiyemi, who disclosed this during the Year 2025 Ministerial press briefing held at the Bagauda Kaltho Press Centre, Alausa, on Tuesday, noted that the Lagos State Transport Policy, launched in May 2024, was now in its implementation phase, focusing on inclusivity, safety, affordability, and sustainability.
“On rail development, Phase One of the Blue Line (Marina to Mile 2) has served over two million passengers, with Phase Two (Mile 2 to Okokomaiko) in progress.
“Phase One of the Red Line (Agbado to Oyingbo) is now operational with eight stations and additional rolling stocks procured, while Phase two (Oyingbo to link Blue Line at National Theatre) is underway”, he said.
The Commissioner said in the state-owned bus operations, over 60 million commuters have been served since 2019, with daily ridership exceeding 40,000.
He also said plans were on to deploy new buses with Quality Bus Corridors under construction, adding that the Abule=Egba Bus Terminal had also been commissioned.
“For water transport, 15 locally-built Omibus Ferries have been launched and are in operation, with the Ijegun Egba Terminal now open.
“The OMI EKO project, in partnership with the French Development Agency (AFD), will deliver 25 terminals and 78 electric ferries.
“Over 280,000 passengers have used ferry services in the past year, and 12 boats have been upgraded to meet safety standards”, he said.
On road infrastructure and traffic management, the Commissioner said 49 junction improvement projects had been completed, including ongoing ones at Ikorodu, Iju, as well as Allen-Opebi-Toyin axis.
He added that solar-powered Traffic Signal Lights, road markings covering 67.9km, new medians, laybys, and 3,941 parking lots had also been provided.
Additionally, Osiyemi announced that the deployed Automatic Number Plate Recognition cameras had detected over 470,000 traffic violations and that the Vehicle Inspection Service issued over one million roadworthiness certificates.
He also said that the Lagos State Drivers’ Institute trained more than 32,000 drivers in the past 13 months.
The event marked the second anniversary of Governor Babajide Sanwo-Olu’s second term, showcasing major strides in the transport sector under the THEMES+ agenda.
Nkpemenyie Mcdominic, Lagos