Developing local content key in revamping Nigeria's economy

As Nigeria continues to deepen its diversification drive in revamping the economy, one of the key strategies that has taken center stage is the development of local content across all sectors. CNBC Africa recently caught up with Greg Ogbeifun, the president of the Ship Owners Association of Nigeria, to shed light on the challenges and potential solutions in this regard. Local content development has become pivotal in engaging stakeholders affected by economic realities to mitigate their effects and ensure that gains are not lost. Ogbeifun emphasized the importance of diversifying activities and skills in various organizations to increase local content participation. He cited the example of floating a tank fleet to participate in crude affretements, providing employment opportunities and boosting revenue for the country. However, he also highlighted significant challenges faced by Nigerian players, such as unfavorable importation laws that put them at a disadvantage compared to foreign competitors. In addressing these challenges, Ogbeifun suggested the need for the government to review policies, including fiscal policies, to support indigenous players. He advocated for initiatives like tax holidays to encourage local initiatives and asset acquisition supported by Nigerian content. Despite the current economic constraints, Ogbeifun stressed the importance of creating platforms for collaboration and analyzing the benefits of making concessions to support local industries. He emphasized the need for the Nigerian Content Development and Monitoring Board (NCDMB) to engage existing and potential players in ship repairs and building to reduce capital flight and enhance local capacity. Ogbeifun expressed optimism in the potential for growth in ship repairs and building in Nigeria, highlighting the necessity of focusing efforts on existing ships in the country that require constant maintenance and repair to meet statutory requirements. Overall, the development of local content in Nigeria's maritime sector presents significant opportunities for growth and economic revitalization, requiring collaborative efforts between government agencies, industry players, and stakeholders.