The Nigerian Society of Economic Geologists (NSEG) has urged the Federal Government to prioritise local mineral processing, industrial development and technical capacity to ensure the country derives greater economic benefits from its natural resources.
The society made the call amid growing concerns that exporting minerals in their raw form limits job creation, industrial growth and the value Nigeria retains from its mineral wealth. It also stressed the need for responsible exploration, credible investment and stronger regulatory institutions to support a sustainable mining industry.
The call aligns with discussions at the second Africa Raw Materials Summit 2026, held in Abuja on October 19 and 20 under the theme, “From African Feedstock to African Factories.” The summit brought together policymakers, researchers, investors and industry representatives to explore ways to turn Africa’s natural resources into higher-value products through local manufacturing.
Stakeholders at the summit argued that continued dependence on unprocessed commodity exports deprives African economies of industrial jobs, technical expertise, foreign exchange and opportunities to build competitive manufacturing sectors.
They called for investment in processing infrastructure, technology, logistics and research to connect mineral extraction with domestic industries. Improved access to finance and stronger partnerships between government and private businesses were also identified as important to expanding local value chains.
The push for value addition comes as Nigeria considers a proposed 30 per cent minimum local processing requirement for raw materials before export. The bill, which seeks to amend the Raw Materials Research and Development Council Act, is intended to encourage domestic manufacturing and reduce reliance on exporting primary commodities. On October 19, Senate Committee on Science and Technology Chairman Aminu Iya Abbas said the president was expected to sign the measure in November. The legislation had not yet received presidential assent at the time of the report.
Local processing could create opportunities in mineral refining, manufacturing, equipment production and related services. However, expanding these activities will require reliable electricity, transport infrastructure, skilled workers, access to finance and predictable regulations.
Nigeria has previously announced policies intended to link mining licences with plans for local processing. In 2024, the Federal Government said new mining applicants would be expected to demonstrate how they intended to add value to minerals domestically, although implementation details were still being developed at the time.
Beyond investment and industrial capacity, stakeholders have also raised concerns about unauthorised mining, environmental damage and the displacement of residents from ancestral lands. Kaduna State Governor Uba Sani has called for responsible exploration and stronger institutions, while the Emir of Zazzau highlighted the need to protect host communities.
For Nigeria, moving beyond raw mineral exports would require more than restricting exports. It would depend on developing commercially viable processing facilities, enforcing environmental and mining standards, and ensuring that host communities benefit from economic activity.
NSEG’s position adds to wider calls for Nigeria to transform its mineral resources into an engine for industrialisation, skilled employment and economic diversification rather than relying primarily on the sale of unprocessed commodities.
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