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MAN urges tax reform as manufacturers face heavy pressure

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MAN tax reform appeal highlights pressure on Nigerian manufacturers from multiple taxes, poor infrastructure, and rising production costs

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The Manufacturers Association of Nigeria (MAN) and industry stakeholders in Lagos on Monday, April 13, 2026, renewed calls for comprehensive tax reform, urging government authorities to harmonise and simplify Nigeria’s fragmented tax system amid rising pressure on industrial operators.

Also read: CBN Treasury Bills raise strong demand amid inflation drop

The appeal, captured in the MAN tax reform appeal, was made by the Chairman of the MAN Apapa Branch, Frank Onyebu, who warned that manufacturers are facing unsustainable operating conditions driven by multiple taxation, weak infrastructure and inconsistent regulatory practices across federal, state and local government agencies.

Onyebu stated that manufacturers are frequently subjected to overlapping tax demands, with officials from different tiers of government often converging on production facilities simultaneously to enforce separate levies.

He described the situation as disruptive, noting that in some cases factory operations are forced to halt during enforcement visits.

MAN tax reform appeal highlights growing frustration within Nigeria’s manufacturing sector, which stakeholders say is being stretched by rising production costs, unstable policy direction, limited access to foreign exchange and deteriorating infrastructure.

According to Onyebu, the presence of multiple tax agencies and even overlapping units within single government institutions has worsened compliance challenges, placing additional financial strain on manufacturers and reducing overall productivity.

He further noted that manufacturers remain easy targets for tax enforcement due to their formal structure, unlike operators in the informal sector who often escape regulatory scrutiny.

This imbalance, he said, undermines fairness in the tax system.

Industrial operators have also raised concerns about poor road networks and inadequate infrastructure in manufacturing corridors, which they say discourages investment and increases logistics costs.

Onyebu warned that continued pressure could push firms towards import dependency, weakening Nigeria’s industrial base.

Manufacturers call for urgent tax reform also criticised instances where enforcement actions disrupt factory operations for extended periods, describing such practices as counterproductive to national economic growth objectives.

Onyebu urged government authorities to urgently improve infrastructure, ensure stable electricity supply and establish a unified tax administration framework that reduces duplication and enhances transparency.

He stressed that the manufacturing sector plays a critical role in job creation, import substitution and economic development, and therefore requires policy support rather than excessive fiscal pressure.

Also read: Kebbi Assembly Speaker Muhammad Usman Zuru Is Dead in Egypt

Industry stakeholders maintain that addressing structural inefficiencies in the tax system is essential to improving competitiveness and sustaining local production in Nigeria’s evolving economic environment.

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Tinubu to Open Niger Delta Economic Summit in Port Harcourt

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Tinubu Niger Delta summit opens in Port Harcourt as investors and policymakers gather to drive investment, innovation and industrial growth

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Dangote Refinery Sets ₦525 Share Price for Landmark IPO

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Dangote Petroleum Refinery has set its initial public offering price at ₦525 per share, with the company seeking to raise about ₦2.15 trillion as it prepares to enter Nigeria’s public equities market.

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The Securities and Exchange Commission has approved the offer for 4.1 billion ordinary shares at ₦525 each. If fully subscribed, the offer would generate approximately ₦2.15 trillion, equivalent to about $1.6 billion at current exchange rates.

The offering is expected to open on 14 September 2026, according to Aliko Dangote, the president of Dangote Industries. The planned sale is positioned to become one of the largest equity offerings in Africa.

The IPO marks a significant step in Dangote Group’s plans to broaden ownership of the refinery and raise additional capital for expansion.

The refinery currently has a stated processing capacity of 650,000 barrels of crude oil per day. Dangote has said the company plans to increase that capacity to 1.4 million barrels per day as part of its longer-term expansion strategy.

The planned share sale follows a $1 billion underwriting programme completed in August, providing additional financial backing ahead of the public offering.

The refinery, located in the Lekki area of Lagos State, is one of Africa’s largest industrial projects and has become an increasingly important player in Nigeria’s fuel supply market since beginning operations.

The public offering will give Nigerian investors an opportunity to acquire shares in the refinery directly, while providing Dangote Petroleum Refinery with fresh capital to support its next phase of growth.

The company has also indicated ambitions to expand beyond its current Nigerian operations, with Dangote recently announcing plans for another refinery project in Kenya.

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Glo @23: Staff Unite for a Memorable Sports Celebration

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Glo marks its 23rd anniversary with a lively staff sports fiesta in Lagos, featuring football, games, prizes and celebrations centred on teamwork (more…)

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