http://www.economist.com/node/21549956

In an alternate universe, it would be countries like Nigeria taking advantage of the higher costs of labor in China to gain market share.

Alas, we live in this one, where Nigeria doesn't even have electricity, talk less of manufacturing

Instead of complaining about what we don't have in Nigeria let's concentrate on doing what we can do with what we have. Every country in the world lacks one thing or the other.

That isn't a very good answer. It is fine to say that every country is lacking one thing or another. But you cannot use this as reason to ignore the fact that you lack something very basic (electricity), or understate how damaging this is.

You are making it sound more complicated that it really is. I am yet to read the article but going by the tone of your post, I think I have a good idea what the article is all about. Foreign investment! We ve discussed this topic ad nauseam on NL and electricity isnt just the only reason why Nigeria cant take advantage of the increasing standard of living of the Chinese workers. The main reasons are security and lack of talent. In this situation, talent refers to hard work. Unlike the Chinese, truth be told, we lack a large pool of hardworking workers. Most of them lack basic reasoning skills as well. It is the damn truth and it has to be told. Despite all the electricity issues we have, MTN, Multichoice, DSTV, Intercontinental, Sheraton et al, accompanied by their imported High-school educated expats, are doing well with reasonable ROI. The non-availability of steady electricity isnt going to be a big of a deal for companies like Apple, SJ, GM, Marks and Spencer etc. What scares these multinationals away from Nigeria is the state of security in the country and the dearth of civilized hard working workers.

dear Mr seun, the new outlook for your site, hurts the eye's. please revert to the old version, which is more user friendly. the user interface of this current outlay, truly is bad.thank you very much.

Henry120 :
dear Mr seun, the new outlook for your site, hurts the eye's. please revert to the old
version, which is more user friendly. the user interface of this current outlay, truly is
bad.thank you very much.

seconded

Security remains one of the main issues, why Nigeria is not attracting manufacturing companies. Electricity does play a role, but I feel that it is the security situation that causes international investors to pause before investing in Nigeria. Islamist groups such as Boko Haram and others are indeed making the situation worse. How do Nigerians expect companies to move their manufacturing capacities to Nigeria from China, when everyday in the West, they hear something negative about Nigeria? Most Western companies will simply move from China as the demand for higher wages continue to grow and go to its neighbor in the south, which is Vietnam. Until Nigeria tackles the security situation, international investors will remain skeptical about Nigeria's potential.

Why must we attract manufacturing companies? There are many many classes of industry in the world. If manufacturing is not attractive, let's look into other areas. Where our government is clearly failing, let's put pressure on them, but let's also be focused on doing what we can do without the government's cooperation.

because no manufacturing = no jobs = large-scale poverty and unemployment.......

That's not true. Services can employ a lot of people. Petty trading employs millions of people too. Anything productive that adds value to society can lead to employment. Employment is merely a side-effect of productivity, which is what we should be targeting. We don't have to be fixated on manufacturing if we don't have the infrastructure for that yet. We have to start from where we are today, which is better than many other developing countries, and progress pragmatically.

^^^

What you described cant employ people on the scale that manufacturing does. I dont think you understand the point of the article and Mr. Intellectuals point. No country has solved their unemployment problem without some large scale manufacturing stuff going on.

Someone needs to read more and travel more instead of coding all-day non-stop under olumo rock. Give yourself a break dawg. Do something more interesting; Hike through Europe, Go smoke LSD in India, S/h/a/g your friends wife, jump off GW bridge just do something and expand your very limited horizon.

If you are not fixated on manufacturing, then you are in fact fixated on poverty..

. . And which services are you going to export to employ a good percentage of your working class when you lack basic infrastructure?

Very few companies can afford to work beyond 6pm in Nigeria. Even petrol stations close after 8-9pm in Nigeria, that started in the 90's when basic security became a mirage.

It's funny you are quick to admonish the OP to not wait on government, unfortunately in our country, Government controls almost every sector. Nigeria has one of the hardest entry barriers on earth for enterprenuers and small businesses or any business at all. From stupid CAC red-tapism to govt supported monopolies like Dangote and PHCN it's hard to get a leg in around here.

Don't be confused, because one man broke even in Sango Ota does not mean Nigeria is open for sensible commerce. We are 160M for Sango's sake. For every Successful entrepreneur there are hundreds of thousands with no access, chance or opportunity to even start on their dream.

Seuns outllook is similar to that of the British who deemphasised manufacturing for service.It hasnt worked out very well for them even though they still seem to be ok, in comparative terms their economy and output (seuns indices) has shrunk from where it was some two and a half decades ago.Heck they lost their rating to china first about a decade ago then to
Brasil early this year. Guess what the upsurpers are into:manufacturing.

We actually need all sectors working at full steam. The extractive industry (mining & agriculture) needs to be at full steam to provide raw materials for manufacturing and employment for low skilled workers, manufacturing needs to be at full steam to provide tools for the service industry and to provide employment for low skilled, semi-skilled and highly skilled workers (the bulk of people in society) and the service sector needs to be at full steam to provide high end quality of life services and employment for highly skilled workers.

This thread reminds me of the thread that I created a few months ago:

https://www.nairaland.com/824175/story-behind-asian-tigers-nigeria

I first stated that Nigeria needs to find its Comparative Advantage. In addition, I added that the Nigerian educational system needs to be revamped. However, we can all agree that Nigeria's hindrances to success are many. That includes lack of security and basic infrastructure. I still believe that the security situation in Nigeria is the paramount problem, when trying to attract international investors. I do not know of any corporation that would want to invest a nation where security remains a problem.

Nigeria must contain the security situation in order to attract manufacturing companies. Once we are able to attract manufacturing companies, that would increase our manufacturing base, which would lead to more jobs and may also increase our nation's infrastructure.

naptu2: We actually need all sectors working at full steam. The extractive industry (mining & agriculture) needs to be at full steam to provide raw materials for manufacturing and employment for low skilled workers, manufacturing needs to be at full steam to provide tools for the service industry and to provide employment for low skilled, semi-skilled and highly skilled workers (the bulk of people in society) and the service sector needs to be at full steam to provide high end quality of life services and employment for highly skilled workers.

Service sector is mostly irrelevant at this point in time imo. Just won't create enough jobs.

India has Wipro, Tata consulting and all these fancy service companies and is still mired in poverty. While China is the factory of the world and rapidly becoming wealthier.

Agric, meh, I don't really care about that much personally these days, at least from a job creation perspective.

Mining is probably worthwhile and important though (might not create too many jobs, but highly profitable, so more than worth the effort.)

But the king is manufacturing.