BUA, others to push manufacturing output to N7trn

New factories built by BUA Cement and African Glass Limited as well as five new paper mills that recycles wastepaper into carton drove up manufacturing output in Nigeria in the second half of last year, industry data has shown.

Manufacturing sector production output increased by almost 60 percent to N7.03 trillion in 2021 from N4.42 trillion in 2020, the Manufacturers Association of Nigeria (MAN) said in a new report on Thursday. It increased to N3.73 trillion in the second half of 2021 from N2.36 trillion in the same half of 2020.

MAN’s 2021 second-half economic review revealed that manufacturing investments soared by 83.2 per cent in 2021 to N217.22 billion from 118.52 billion in 2020.

Capacity utilisation in the sector averaged 58.9 per cent in 2021, up from 49.5 per cent a year earlier.

The increase in manufacturing capacity utilisation and investments was attributed to the gradual recovery of business and economic activities as efforts were intensified to contain the COVID-19 pandemic.

“In addition, there are increased capacities in the paper subsector brought in by five new paper mills that are into recycling of waste papers to produce cartons. Also are the additional capacities as BUA Group introduced a cement factory in Sokoko and the new African Glass Limited factory that produced glass products,” it said.

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