By Kikelomo Adeleye, 17th April, 2025
News SOCIETY WATCH following for you : In recent years, Nigeria has witnessed a historic industrial breakthrough—the successful construction of the $23 billion Dangote Refinery, one of the largest in the world. This milestone not only broke decades-long bottlenecks in the oil sector but also proved that Nigerian private capital can deliver on large-scale national infrastructure.
This brings us to a critical question: can Nigeria replicate this success in the steel industry?
It’s estimated that building another steel plant like Ajaokuta would cost between $8 billion and $10 billion. Considering that just four Nigerian billionaires could potentially pool these funds, this goal appears within reach—at least on paper.
So, why has no one taken that leap?
Is the global steel industry cartel more dangerous and restrictive than the petroleum cartel, making investors wary of putting their money in a notoriously complex sector? Or is there a possibility that Aliko Dangote himself is quietly laying the groundwork for a similar disruption in steel—just like he did with refining?
Regardless of who leads the charge, Nigeria needs a functional steel plant. Ajaokuta Steel, once the beacon of industrial hope, has become a drain on national resources. In the last ten years alone, the government has spent over N51.24 billion on salaries and operational expenses—without producing a single tonne of steel.
Meanwhile, Nigeria imports an estimated 7.1 million tonnes of steel annually, costing us around $4 billion. This massive capital flight weakens our currency, hampers industrial development, stifles job creation, and limits GDP growth.
The time for debate is over. We need to act—with bold investments, public-private partnerships, and the political will to see it through.
Steel is the backbone of industrialization, and until we fix this, we cannot fully unlock Nigeria’s economic potential.
Let the success of the Dangote Refinery inspire the next frontier: Nigeria’s steel revolution.
God Bless Nigeria.
