EU: Non-oil Export Key to Economic Diversification

• EU: Non-oil Export Key to Economic Diversification

The non-oil export sector must play a major role in Federal Government’s economic diversification agenda, the European Union (EU) in Nigeria has said.

The agenda, according to the government, is aimed at repositioning the country for sustainable growth and development

Its Head of Delegation in Nigeria, Ambassador Ketil Karlsen, stated this during a visit to the Executive Director/Chief Executive Officer (CEO) of the Nigerian Export Promotion Council (NEPC), Mr. Olusegun Awolowo, in Abuja, during the week.

According to Karlsen, the NEPC chief had one of the most important jobs in Nigeria given the Council’s enormous task and mandate to drive the diversification of the economy from dependence to oil to non-oil.

He said NEPC has been using the Zero Oil Plan (ZOP) to support government as it looks to stabilising the economy, its democratic governance and processes through diversification.

While acknowledging the strong partnership between NEPC and the EU Commission, Amb Karlsen said he was keen to learn about the progress of the ZOP.

Karlsen also touched on the EU’s Economic Partnership Agreement (EPA), which he said, has mutual beneficial opportunities for Nigeria and the EU.

He solicited NEPC’s support as a strategic partner in advancing wider understanding of the benefits of EPA.

Karlsen said the Continental Free Trade Agreement (CFTA) was also germane for increased trade among African countries and the EU, as it seeks to create a single market for goods and services, with free movement of business persons and investments.

Responding, Awolowo said the Council was more than ever before positioned to drive the diversification agenda of the government, using ZOP.

To underscore this, he said a National Committee on Export Promotion has been set up by the National Economic Council, headed by Vice President Yemi Osinbajo.

The NEPC chief said the Federal Government, through the Ministry of Budget and National Planning, had mainstreamed the ZOP into the Economic Recovery and Growth Plan (ERGP), with particular emphasis on boosting supply of foreign exchange from non-oil sector by driving growth in five key areas.

These, he said, were concentrated on generating $30 billion from 11 strategic products, exploring the competences within the comparative and competitive advantages of states through the ‘One-State-One-Product (OSOP) programme, review of trade agreements to prioritise Nigerian exports to 22 newly targeted export destinations.

Others are the domestic sourcing of products through the launch of first National Export Aggregator as well as strengthening of Export Development Fund (EDF) scheme to enhance competiveness of locally produced goods.

Besides, he said the Council, along with United Nations Industrial Development Organisation (UNIDO) and other relevant government agencies, are in the process of testing the outcomes of the National Quality Infrastructure Project (NQIP).

The NQIP, according to him, is aimed at improving quality, safety, integrity and marketability of Nigerian goods and services as well as removing technical barriers to trade.

This testing, Awolowo explained, would be a trial export of Nigerian beans following extensive work carried out by UNIDO and the Federal Government Inter-ministerial Committee on Zero Rejects, midwifed by NEPC in response to the EU’s ban on importation of Nigerian beans.