The Manufacturers Association of Nigeria (MAN) has commended the Federal Government for its recent approval of a 15% import tariff on petrol and diesel, describing the move as a strategic and patriotic policy that aligns with the Nigeria First agenda. MAN views this development as a significant affirmation of its long-standing advocacy for local content development and the patronage of Made-in-Nigeria products. The timing of the announcement—less than one month after MAN’s 53rd Annual General Meeting themed “Nigeria First: Prioritizing Patronage of Made-in-Nigeria Products”—further underscores the government’s responsiveness to the needs of domestic manufacturers.
https://www.digital.zenithbank.com/ZEQ/ZEQ-jan-2026/index.html#p=1According to MAN, the new tariff policy sends a strong signal that the government is committed to halting the persistent erosion of Nigeria’s economic sovereignty, guaranteeing energy sufficiency, and improving the overall well-being of Nigerians. It is a decisive step toward promoting local value addition, strengthening domestic refining capacity, conserving foreign exchange, and advancing Nigeria’s long-term industrialisation objectives.
MAN has outlined its position in support of the policy, beginning with a call for the unfettered implementation of the domestic supply of crude oil as enshrined in the Petroleum Industry Act (PIA). This would enable a “Naira for Crude” arrangement, ensuring reliable supply to local refineries, reducing pressure on foreign exchange, and encouraging investment from holders of the 30 refinery licenses.
The association emphasized that there is no better path to fixing Nigeria’s economy than protecting local industries, encouraging domestic patronage, fostering value addition, and promoting industrial development anchored on local content. Despite Nigeria’s vast oil resources, billions of dollars in scarce foreign exchange continue to be spent on importing refined petroleum products. Supporting local refining capacity through appropriate policy tools will not only conserve foreign exchange but also stabilize the Naira and foster a more favourable macroeconomic environment for investment.
MAN recognizes the importance, significance, and necessity of the 15% import tariff on petroleum products. It acknowledges the tariff as a deliberately designed policy instrument intended to protect and encourage domestic producers, curb dumping, and create a stable environment for local refiners to thrive. The association believes the tariff will accelerate the operational readiness of domestic refineries, reduce disruptions, and stabilize energy supply to industries.
In its endorsement, MAN highlighted several expected benefits of the tariff. These include encouraging the utilization of local refining capacity, promoting backward integration across the energy value chain, conserving foreign exchange, strengthening the manufacturing base through stable fuel supply, generating employment, building technical expertise, and enhancing industrial linkages between refineries and manufacturers. The policy is also expected to stimulate demand for Nigerian engineering, fabrication, and logistics services.
MAN views this policy as a vital step toward achieving energy independence and industrial sustainability—both of which are essential for Nigeria’s economic transformation. However, the association also called for transparent, efficient, and well-coordinated implementation to ensure that the benefits of the tariff reach both industry and consumers, safeguard competitiveness, and prevent unintended cost burdens.
Specifically, MAN urged the government and regulators such as the PPPRA, NMDPRA, and FCCPC to closely monitor domestic pricing to prevent excessive mark-ups and anti-competitive behaviour. It also recommended a stable transition period during the initial months of implementation, with government support for local refiners to ensure adequate fuel availability and prevent supply shocks, especially with the festive season approaching.
MAN further advocated for the reinvestment of tariff revenue into energy infrastructure, refinery efficiency, and industrial power support schemes. This includes credit facilities for energy transition and renewable adoption. The association also called for targeted incentives or rebates for small and medium manufacturers reliant on diesel-powered generators during the transition period.
To strengthen domestic refining capacity, MAN urged the government to create an enabling environment and provide incentives for investment in additional modular and conventional refineries. It emphasized the need for continuous engagement among refiners, marketers, regulators, and consumers to ensure policy coherence and market stability. Additionally, MAN called for the full privatization of government-owned refineries, arguing that continued public investment in these facilities is unsustainable and unlikely to yield results.
In conclusion, MAN acknowledged the approval of the 15% import tariff as a major step in the implementation of the Nigeria First policy. The association reaffirmed its commitment to supporting the Federal Government’s direction on local content development and homegrown industrialisation. MAN believes that this tariff will accelerate Nigeria’s journey toward energy sovereignty, industrial competitiveness, and sustainable economic growth—all anchored on the strength of Made-in-Nigeria.
