Dr. Zacch Adedeji, Chairman of the Nigeria Revenue Service (NRS), has said that Nigeria’s reliance on exporting raw materials and a narrow product base limits the country’s economic growth and integration into global value chains.
His remarks were made during the maiden Distinguished Personality Lecture of the Faculty of Administration at Obafemi Awolowo University, Ile-Ife, Osun State.
Speaking on the theme “From Potential to Prosperity: Export-led Economy”, Adedeji described Nigeria’s export structure as concentrated in a few products and noted that the country added only six new products to its export basket between 2008 and 2023.
He said this reflected persistent stagnation in diversifying Nigeria’s export base despite its abundant natural resources.
Adedeji said Nigeria’s economic structure is characterised by a “high-tech oil and gas sector” coexisting with a broader economy dominated by low-productivity informal activities and limited industrial capacity, which he said constrains value addition and job creation.
He referenced data from the Harvard Atlas of Economic Complexity, noting that current productive capabilities give Nigeria few immediate opportunities to diversify exports without investment in new sectors.
Adedeji emphasised that moving beyond raw commodity supply toward producing more complex goods is key to sustained growth.
Adedeji cited examples of countries including Vietnam, Indonesia, Bangladesh, Brazil and South Africa, highlighting that several have pursued strategies to build industrial complexity through deeper participation in global value chains.
He said these countries’ experiences illustrate the importance of deliberate policy choices to enhance productive capabilities.
In his lecture, Adedeji said Nigeria’s export performance over decades shows limited progress in upgrading its export basket even as peer countries adopt strategies to diversify and strengthen manufacturing and value-added production.
He noted that reliance on natural resource exports, without corresponding increases in productive complexity, has left the economy vulnerable to commodity price shocks.
According to Adedeji, expanding the range of exportable products and integrating into global production networks is necessary to shift economic momentum toward sectors that generate jobs and contribute to inclusive growth, rather than remaining primarily a supplier of unprocessed commodities.
His remarks come against a backdrop of ongoing national discussions about export diversification and industrial policy, including recent legislative proposals on local processing of raw materials before export as a means to deepen value addition.
Adedeji’s address underscores the view that broadening Nigeria’s industrial base and export composition remains central to long-term economic transformation, a theme that continues to feature in policy and academic discourse on the country’s development trajectory.
