Revamping the Nigerian Manufacturing Sub-Sector as a Panacea for Economic Progress: Lessons from South Korea

Open access


The study focuses on repositioning the manufacturing sub-sector in order to revive Nigeria from the problem of “growthelessness”. The expository study examined the situation of the Nigerian economy and overview of the industrial policies employed to encourage development since after independence. Many challenges such as lack of indigenous technology, excessive reliance on foreign raw materials and manpower, inconsistence regarding policies and programmes, lack of linkages of production with domestic inputs among others were articulated to be responsible for the inability of the country to establish a reliable manufacturing sub-sector that is capable of harnessing idle resources, reduce unemployment and develop the economy. The study also examined an overview of industrial policies employed by South Korea which gave the country its success story. Lessons considered to play significant role to change Nigerian manufacturing sub-sector were drawn there from, among which include: reviving the economic environment with infrastructure and public service system so as to make the country industrial production compliance; consistent, persistent and perseverance on the part of resource controllers in spite of all odds toward goal attainment, adoption of appropriate indigenous technology, monitoring, evaluation and restrategising to improve the sector. This study has shown that Nigerian situation is capable of changing for better if what worked in South Korea manufacturing sub-sector is applied in Nigeria.

If the inline PDF is not rendering correctly, you can download the PDF file here.

  • Adofu I. Taiga U.U. And Tijani Y. (2015). “Manufacturing Sector and Economic Growth in Nigeria (1990-2013)” Donnish Journal of Economics and International Finance 1(1): 001-006

  • Adeoye B. W (2005). Industrial Development in Nigeria in the Context of Globalization. Nigerian Institute of Social and Economic Research (NISER) Ibadan.

  • Ayodele A.I and Falokun G. (2003). The Nigerian Economy: Structure and Pattern of Development. Nigeria: JODAD Publishers.

  • Barro Robert J (1989). “A Cross-Country Study of Growth Saving and Government “National Bureau of Economic Research working paper No. 2855 February

  • Chete L.N Adeoti J.O Adeyinka F.M and Ogundele O (2015). Industrial Development and Growth in Nigeria: Lessons and Challenges. Brookings: African Growth Initiatives Learning to compete work paper 8

  • Central Bank of Nigeria (CBN) (2012) Statistical Bulletin Vol.23. Abuja Nigeria: Research Department.

  • Central Bank of Nigeria (CBN 1989). Annual Report and Statement of Accounts Lagos: CBN.

  • Central Bank of Nigeria (CBN 1995). Annual Report and Statement of Accounts Lagos: CBN.

  • Central Bank of Nigeria (CBN 2017). Performance Manager’s Index Survey Abuja Statistics Department.

  • Central Bank of Nigeria (CBN 2016). Performance Manager’s Index Survey Abuja Statistics Department.

  • Dagogo Daibi W (2014). “Nigerian Industrial Development between 1943 and 2013: Challenges and Opportunities” International Review of Research in Emerging Markets and the Global Economy 1(3) 132-148

  • Ekpo U. N (2014). “Nigeria Industrial Policies and Industrial Sector Performance: Analytical Exploration” IOSR Journal of Economics and Finance (IOSR-JEF). 3(4) 01-11

  • Fakir Aouatif El (2016). “South Korean System of Innovation: From Imitation to Frontiers of Technology Successes and Limitations.” Retrieved on May 29 2018 from

  • Hirschman A. O (1964). The Strategy for Economic Development New Harren: Yale University Press

  • Iwuagwu O. (2011) “The Cluster Concept: Will Nigeria’s New Industrial Development Strategy Jumpstart the Country’s Industrial Takeoff?”Afro Asian Journal of Social Sciences 2 (2).

  • Igwemma A A and Nwoko I. A (2007).” An Evaluation of Nigerian Industrial Sector and Economy 1982-2005” The Enterprise International Research Journal for Development 9(2) 238-254.

  • Jones Leroy P. (1975). Public Enterprise and Economic Development: The Korean Case. Seoul: KoreaDevelopment Institute Press

  • Luedde-Neurath Richard (1986). Import Controls and Export-Oriented Development: A Reassessment of the South Korean Case. Boulder: Westview Press

  • Microsoft Encarta Reference Library (2005) ‘Nigeria’ USA: Microsoft Corporation.

  • National Bureau of Statistics (2014). Nigerian Manufacturing Sector Summary Report 2010-2012 Abuja: NBS

  • Nolan Marcus (2011). Korea’s Growth Performance Past and Future East-West Centre Economic Series No 123 1-40

  • Nurkse R (1957). Problems of Capital Formation in Underdeveloped Countries Cambridge: Oxford University Press.

  • Nyor Gabriel A and Chinge A Dodo (2014). “The Impacts of Industrial Policies on the Manufacturing Sector inNigeria: An Assessment” Research on Humanities and Social Sciences 4(21) 111-120

  • Lucas Robert E. Jr. (1988) “On the Mechanics of Development Planning” Journal of Monetary Economics 22(1) July 3–42.

  • Naude Wim and Szirmai Adam (2012) The Importance of Manufacturing in Economic Development: Past Present and Future Perspectives UNU-MERIT Working Papers 041

  • Newman C Page J R and J Shimeles A Söderbom M and Tarp F (2018). Manufacturing Transformation: Comparative Studies of Industrial Development in Africa and Emerging Asia Oxford Scholarship Online Retrieved on May 25 2018 from (

  • Obasanjo O (2000) Economic Direction: 1999-2003 Lagos. Dawn Functions Nigeria Limited.

  • Okonjo-Iweala N & Osafo-Kwaako P (2007) Nigeria’s Economic Reforms: Progress and Challenges. Washington DC. The Brooklings Institute.

  • Onuba Ifeanyi (2017). Manufacturing sector’s contribution to GDP shrinks by N80bn retrieved on March 31 2018 from

  • Osuka B.O (2016). “An Overview of the Development Planning Experience in Nigeria” in Planning for Economic Development eds Onwumere J.U.J & Ozoh F. O Lagos: Don-Vinton Ltd

  • Ozoh F. O (2006). ‘The Vicious Circle of Poverty Thesis and the Big Push Argument’ in Economic Development and Management eds. Onwumere J. U. J Ige C. S & Ozoh F. O Lagos: Don Viton Limited.

  • Ozoh F. O (2006). ‘Balanced and Unbalanced Growth Models: An Appraisal’ in Economic Development and Management eds. Onwumere J. U. J Ige C. S & Ozoh F. O Lagos: Don Viton Limited.

  • Romer P. M (1986). “Increasing Returns and Long-Run Growth” Journal of Political Economy 94(5) October 1002−1037.

  • Romer Paul M. (1990) “Endogenous Technical Change” Journal of Political Economy 98(5) October Part II 71–102.

  • Rosenstein-Rodan P (1947). ‘Notes on the Theory of Big Push’ in Economic Development of Latin America ed. Ellis H. S & Wassiah W W

  • Sola O Obamuyi T M Adekunjo F. O & Ogunleye E. O (2013).”Manufacturing Performance in Nigeria: Implication For Sustainable Development”Asian Economic and Financial Review 3(9):1195-1213

  • Torty D (2004) Strategy BZ. Establishing & Managing Small Business As A Strategy For Economic Empowerment And Poverty Eradication. Lagos: Sky blue publication.

  • Ukaegbu C. C (1991).” The Structure of Nigerian Industries and the Utilization of Scientific and Technological; Manpower” The Nigeria Journal of Economic and Social Studies 33(1) 22-34.

  • Westphal Larry E (1990). “Industrial Policy in An Export-Propelled Economy: Lessons from South Korea’s Experience”. Journal of Economic Perspectives. 4(3) 41-59 Retrieved on May 29 2018 from

  • Westphal L.E Rhee W. Y and. Pursell G (1985). Sources of Technological Capability in South Korea. In: Technological Capability in the Third World eds K. King and M. Fransman.279–300 London: Macmillan.

  • World Bank Commission on Growth and Development (2008). The Growth Report: Strategies for Sustained Growth and Inclusive Development

  • World Bank (2014). Nigeria Country Overview Retrieved on May 25 2018 from

  • Zalk N (2014). What is the Role of Manufacturing in Boosting Economic Growth & Employment in South Africa? Retrieved on March 31 2018 from