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Africa-EU Cooperation: Nigeria

RESEARCH PUBLICATION: Africa-EU Cooperation

Nigeria

Africa-EU cooperation for Circular Economy can contribute to job creation and transformation, contribute to food security and leverage the key role of the informal sector. Nigeria is Africa’s most populous country and it is also the largest economy in the continent accounting for 18% of the GDP generated in the continent. Even though significant structural change has taken place in Nigeria over the last decades (especially a growth in the service sector), the country is still strongly dependent on oil production and exports for its national income and employment. The impact of COVID-19 on global oil prices has painfully exposed the risks associated with continuing oil dependence. The crisis could be the tipping point for shifting away from resource extraction as a primary contribution to GDP. A circular economy shift has, however, not been articulated in any recovery measures to date.

Post-harvest food loss is a threat to food security and economic development of small-scale farmers. A business model that can be a game changer for Africa is ColdHubs – solar-powered cold hubs in markets, for hire by market producers.

Even though the CE concept has not yet received a lot of attention in the private sector or the public discourse, Nigeria has several sectors that could benefit from the uptake of CE principles. The most promising areas for development of CE principles are agri-food, plastics/packaging, and waste management. The selection of sectors covered is based on the following rationale:

  • Relatively high contribution of these sectors to the national GDP and share of the labour force;
  • The existence of policies and strategies that support the transition to a CE in these sectors;
  • Dire and pressing waste management situation, in Lagos (Nigeria’s most populous city) in particular;
  • Identification of opportunities in these sectors that contribute to the achievement of CE goals.

TOMA-Now has a holistic, systems-based approach to research that leads to actionable outcomes and interventions. Comprehensive quantitative and qualitative search, including web-based market research, stakeholder engagement and in-depth value chain analysis, gives insight into impactful strategic interventions This has the potential to unlock investment in green and circular industries.

The outcomes of the research conducted provides insight and recommendations for North-South collaboration that will drive a just transition.

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