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China-Africa Trade Information Service
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Nigeria is rich in mineral resources and is sufficient to support the development of the ceramic industry. However, the country expects imports of ceramic products this year will reach 800 million US dollars, higher than the 600 million US dollars in 2014.
The country is looking to double its ceramics imports to $2.1 billion, about N755 billion, by 2025, driven by rising domestic consumption, particularly in real estate market.
The global construction industry is said to be growing rapidly with a major contribution from emerging countries, including Nigeria, where urbanisation is expected to drive market demand for ceramic tiles over the forecast period.
For instance, in 2016, revenue generated by the global construction industry reached approximately $8.82 trillion, from $7.91 trillion in 2012. This is expected to reach approximately $14.98 trillion by 2025.
The emerging countries accounted for 51.9 per cent of total contribution in the construction industry in 2016, and are estimated to contribute approximately 62.5 per cent by 2025. The governments of these regions are investing significantly in residential homes, owing to rapid urbanisation.
Nigeria occupies eighth position among the top 18 emerging economies for ceramics trade. Unfortunately, Nigeria is the only country that does not export ceramics, in spite of the enormous solid mineral resources embidde in its soil.
Indeed, it has been a tale of woes for the local ceramics industry. The industry’s fortunes, which hitherto enjoyed a boom before the 1980s, have since nose-dived.
Then, ceramic companies such as Richware Ceramics (Lagos), Modern Ceramics (Umuahia), Nigergrob Ceramics (Abeokuta), Ceramic Manufacturer (Kano), and Quality Ceramics (Shagamu) held sway.
Out of 21 ceramics companies spread across the country, over 15 of them are moribund. Only four local ceramic manufacturing firms are in operation, producing mainly tiles and sanitary wares.
The few struggling firms are producing below installed capacity, because of shortage of professionals with generic and technical skills in ceramics manufacturing business coupled with dearth of infrastructure, particularly electricity supply.