An Assessment of the Role of the Nigerian Export Promotion Council in Export Promotion in Nigeria

CONTRIBUTED BY LILIAN EKU

INTRODUCTION

Export promotion is essential to modern economies, in which global trade stands central.^[1] In Nigeria, the challenge of diversifying the economy beyond its reliance on oil has been persistent, necessitating comprehensive efforts to enhance non-oil export promotion.^[2] To address this, the Nigerian Export Promotion Council was established with the primary objective of leading initiatives that foster the growth of export-oriented industries and facilitate the integration of Nigerian products into international markets.^[3] As a corporate entity with perpetual succession, the Council is designated as the primary agency for the promotion and development of export trade in Nigeria.^[4] Governed by a board of representatives from various key ministries, the private sector, and industry associations, the core responsibilities of the Council encompass the diversification of exports, the support of export-oriented industries, and the implementation of policies designed to simplify export procedures.^[5] Funded through government grants, levies, and other financial sources, its functions also include the administration of export incentives, the facilitation of research and training initiatives, and the annual submission of comprehensive reports that outline its activities.^[6] The operational aspects of the Council are overseen by an executive director, who is supported by a dedicated staff and state-level export committees.

This article provides an evaluation of the NEPC’s role in fulfilling its mandate, analyzing its structural organization, core functions, and notable achievements.

POWERS OF THE COUNCIL

The Council is endowed with the mandate to manage and secure vital resources to effectively accomplish its objectives and it may acquire trademarks, licenses, and other pertinent protections, both at the national and international levels, to bolster its export activities.^[7] Moreover, it is permitted to purchase or lease properties as necessary for the advancement of its operations, in accordance with the provisions of the Land Use Act, thereby ensuring a robust infrastructure to facilitate its undertakings.^[8]

In addition to its operational needs, the NEPC is empowered to invest in initiatives that foster export development and promotion and it has the capacity to seek funding beyond government appropriations, allowing for a diversification of financial resources to support its programs.^[9] Furthermore, the NEPC exercises disciplinary authority over its personnel, including the power of dismissal, thereby ensuring accountability and efficiency within its organizational structure.^[10]

THE ROLE OF THE COUNCIL IN EXPORT PROMOTION

The Council occupies a crucial position in facilitating the advancement and diversification of Nigeria’s export trade.^[11] Central to its mission is the promotion of non-oil exports, which serves as an essential strategy for diminishing the nation’s reliance on oil-generated revenue.^[12] The Council fosters the expansion of export-oriented industries by cultivating an environment conducive to their growth, which includes the establishment of export incentives and the implementation of federal export policies. It also coordinates and monitors export promotion initiatives throughout the country, ensuring these efforts align with overarching national economic objectives.^[13]

Going further, the Council functions as a vital resource center for critical information pertaining to export opportunities and market dynamics.^[14] It systematically collects and disseminates pertinent data regarding exportable products and trends within foreign markets.^[15] By offering technical assistance to exporters in areas such as export procedures, financing, packaging, and marketing, the Council significantly enhances the international competitiveness of Nigerian products. It also fosters Nigeria’s international representation by establishing connections with global markets through effective participation in trade fairs and exhibitions.

Furthermore, the Council is instrumental in developing human capital within the export sector. It either directly provides or collaborates with educational institutions to deliver training programs for its personnel and stakeholders, thereby ensuring the cultivation of a skilled workforce essential for the export industry. To bolster support for exporters, the Council administers grants, benefits, and facilities designed to enhance trade, including the establishment of permanent showrooms in strategically selected commercial centers abroad. These initiatives aim to elevate Nigeria’s visibility and accessibility in the global marketplace.

Finally, the NEPC engages in broader strategic initiatives to bolster the export sector. This encompasses conducting economic studies to inform governmental policy decisions, collaborating with various institutions to improve export financing and incentives, and streamlining export procedures. The Council also undertakes targeted promotional activities to advocate for Nigerian exports, simplifies documentation processes, and provides assistance to trade delegations. Collectively, these diverse functions underscore the NEPC’s role as a foundational element in Nigeria’s aspirations to cultivate a sustainable and diversified export-driven economy.

Over the years, the NEPC has reached noteworthy milestones in its pursuit to diversify the Nigerian economy through non-oil exports.^[16] A pivotal initiative was the launch of the Zero Oil Plan,^[17] aimed at fostering value chain development for various products such as soya beans, cassava, and shea butter, as part of the “One State, One Product” approach. The impact of these efforts was evident, as non-oil export earnings surged in 2019 to $10.4 billion, reflecting a remarkable 100% increase from the previous year.^[18]

Further advancing its mission, NEPC enhanced its service delivery through the introduction of the Nigerian Exporters E-registration Platform,^[19] which optimized the registration process for exporters, reducing processing times to under 24 hours. Strategic partnerships with international entities, including the International Trade Centre and the British Deputy High Commission, were instrumental in building export competencies and providing small and medium-sized enterprises with avenues to access global markets.^[20]

Capacity building was another crucial focus for NEPC. Several SMEs have received training on quality certification systems such as ISO and HACCP, and the Council conducted export audits and technical training for micro, small, and medium-sized enterprises to ensure compliance with international standards. Support for SMEs also included participation in international trade fairs and bilateral trade programs, thereby expanding their market reach.

CONCLUSION

The Nigerian Export Promotion Council has been instrumental in promoting Nigeria’s agenda for economic diversification through the enhancement of non-oil exports. By implementing strategic initiatives, offering capacity-building programs, and fostering international partnerships, the Council has effectively bolstered the competitiveness of Nigerian products within global markets. Its commitment to refining export procedures, supporting industries geared towards export, and managing export incentives underscores its dedication to nurturing sustainable economic growth.

SNIPPET

The Nigerian Export Promotion Council has been instrumental in promoting Nigeria’s agenda for economic diversification through the enhancement of non-oil exports. By implementing strategic initiatives, offering capacity-building programs, and fostering international partnerships, the Council has effectively bolstered the competitiveness of Nigerian products within global markets. Its commitment to refining export procedures, supporting industries geared towards export, and managing export incentives underscores its dedication to nurturing sustainable economic growth.

KEYWORDS

Export promotion, non-oil export, Nigeria export promotion council, Nigeria export promotion council Act.

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2. Riti, J. S., Gubak, H. D., & Madina, D. A, “Growth of non-oil sectors: A key to diversification and economic performance in Nigeria.” Public Policy and Administration Research; 2016; Vol.6; No.3; Pp 64 – 75 ↑
3. Chete, Louis N., John Olatunji Adeoti, Foluso M. Adeyinka, and O. Ogundele. Industrial development and growth in Nigeria: Lessons and challenges. No. 2014/019. WIDER working paper, 2014, available at https://www.econstor.eu/bitstream/10419/96311/1/776930508.pdf ↑
4. Section 1 of the NIPC Act. ↑
5. Section 2. ↑
6. Section 9 ↑
7. Section 5 (a) ↑
8. 5(b) ↑
9. 5(d) ↑
10. See generally Section 5. ↑
11. Abiola, Olawale. “Export diversification drive: The role of Nigerian manufacturing sector.” Available at SSRN 4723097 (2024) available at https://papers.ssrn.com/sol3/Delivery.cfm/SSRN_ID4723097_code3733618.pdf?abstractid=4723097&mirid=1 ↑
12. Section 4 (1). ↑
13. Ibid. ↑
14. Onuorah, A. C. “Role of non-oil exports in the economic growth of Nigeria.” Journal of Emerging Trends in Economics and Management Sciences 9, no. 3 (2018): 132-140. ↑
15. Section 4(2) ↑
16. See the Commission’s Annual Reports. ↑
17. See Nigerian Export Promotion Council; Repositioning Non-Oil Export as a Leading Revenue Earner: Government Plans and Programmes, 2020 available at https://nepc.gov.ng/cms/wp-content/uploads/2020/08/Zenith-Bank-Presentation-.pdf ↑
18. Nigerian Export Promotion Council; Annual Report & Financial Statement, 2019. ↑
19. Ibid. ↑
20. Ibid. ↑