FG seeks German capital, technology to revive steel economy

The federal government is seeking capital, technology and equipment from German manufacturers as it moves to revive the steel industry and strengthen local mineral processing and manufacturing.

Shuaibu Audu, minister of steel development, disclosed this on Thursday, September 24, when he received a delegation of German Original Equipment Manufacturers (OEMs), led by Chux Onaa, head of VDMA-German Original Equipment Manufacturers, at the ministry’s headquarters in Abuja.

Audu said the government was seeking to deepen cooperation with German companies in steel production, mineral processing, equipment manufacturing, engineering services and technology transfer.

He said the engagement was aimed at translating discussions between Nigeria and Germany into investment opportunities across the steel and metallurgical value chains.

The minister recalled discussions at the 9th German-African Economic Forum in Dortmund earlier this year, where both countries explored opportunities in steel development, mining, mineral processing, engineering and industrial investment.

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Audu said Nigeria’s mineral resources and domestic market provide opportunities for German companies to invest in the country’s industrial sector.

“Nigeria possesses significant mineral and metallurgical raw material resources, alongside a large and growing market with substantial opportunities for industrial development,” he said.

He said the Ministry of Steel Development was working to create an environment that would support a technology-driven steel industry and contribute to infrastructure development, manufacturing, job creation and economic diversification.

Areas identified for collaboration include the deployment of production technologies, equipment supply and manufacturing, mineral processing, steel production, engineering services, capacity development and local value-chain development.

Audu also invited German OEMs to participate in ongoing and planned projects in Nigeria’s steel and metallurgical sectors.

The engagement comes as the Federal Government seeks to revive domestic steel production and reduce dependence on imported industrial inputs.

Nura Abba Rimi, permanent secretary of the Ministry of Steel Development, said the initiative was in line with President Bola Tinubu’s Renewed Hope Agenda and the government’s decision to establish a dedicated ministry to drive the development of the steel sector.

Earlier, Onaa said the delegation’s visit was aimed at advancing discussions on investment and technical cooperation in Nigeria’s steel industry.

He said VDMA-member companies have technologies that can support raw-material processing, including applications in the cement and building materials industries.

The ministry said the discussions are expected to identify specific areas of investment and cooperation as Nigeria works to develop an integrated steel and metallurgical value chain.