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After Spending Over $8bn On Ajaokuta, Nigeria Imports N837bn Steel
…stakeholders sceptical about plant’s concession
Steelmakers are sceptical about the planned concession of Ajaokuta Steel Company Limited after Nigeria imported iron, steel, and metals valued at N837.761bn in the third and the fourth quarters of 2021.
According to the National Bureau of Statistics, Africa’s most populous nation brought in basic metals, iron, and steel products with 6000mm in width, rolled, painted, varnished, and coated with plastics within the six-month period.
The total value of basic metal products imported within the two quarters was N748.529bn, while that of iron and steel was N88.232bn.
This is happening after the Manufacturers Association of Nigeria estimated that the country had spent over $8bn on the idle steel plant so far.
Key players in the steel sector are worried about the level of steel imports into the country as well as the lack of functionality of Ajaokuta Steel Company and the Aluminium Smelter Company, located in Akwa Ibom State. The smelter company is supposed to produce ingots for the production of roofing sheets in the country, but it is mired in a legal quagmire.
A former Chairman of the Manufacturers Association of Nigeria Steel Group and Chief Executive Officer of Qualitec Industries, Engineer Oluyinka Kufile, said, “They should tell us who imported the steel products because some people claim that they are producing but are simply importing.”
He noted that there was a possibility that the importers did not pay import duties or paid so little to jeopadise the local steel sector.
He lambasted the Federal Government for keeping Ajaokuta Steel for a long time without handing it over to competent managers, expressing doubts over the planned concession of the steel plant.
“Is there anything working in Ajaokuta? Is anyone benefitting from it since it was commissioned? Have they not done any concession before, which did not work? What makes anyone think it will work this time?”
On the Aluminium Smelter Plant, Kufile noted that Nigeria had not demonstrated enough will power to resolve the lingering issue.
“If your father created so many problems and you cannot resolve them, then you are not ready to move on,” he further said.
There has been a tussle between the Bureau of Public Enterprises and a Nigerian-American company known as Bancorp Financial Investment Group Divino Corporation.
In 2012, the Supreme Court had ruled that BFIG was the preferred bidder for the smelter plant, but the BPE is yet to hand over the plant to the company.
BFIG President, Reuben Jaja, claims that the BPE is frustrating the company’s attempts to take over ALSCON.
However, BPE Head of Public Communications Amina Tukur Uthman, in a statement sent to the correspondent recently, noted that the company defaulted in paying the initial 10 per cent of the bid price of $410m within 15 working days as stipulated in the Request for Proposal issued to bidders.
She said that BFIG also failed to provide the strategic business plan and the Annexure, which was the technical agreement with Daewoo.
“The transaction was frustrated by BFIG’s non-compliance with the terms of the judgment, mainly, being the bid price and the re-negotiation of the SPA,” she said.
On Ajaokuta Steel, Export Manager of the Lagos-based Aarti Steel, Okhai Ehimigbai, said that rather than concession Ajaokuta Steel, the government should privatise it completely.
The Federal Government recently engaged CPCS Transform Consortium for N853 million for consultancy services of Ajaokuta Steel Company, including the National Iron Ore Mining Complex in Itakpe.
But Ehimigbai said, “We have had this kind of arrangement in the past that did not work. Why not privatise it?”
He said that the inactivity in Ajaokuta Steel had crippled the steel sector in Nigeria.
“If Ajaokuta is working, we will not be importing hot-rolled steel for production today,” he said.
He warned that the plant should not be handed over to a company from countries where iron and steel products were being imported.
He said, “ If you hand it over the such a company, it will not like Ajaokuta to work, otherwise the country will lose business.”
The PUNCH had reported that Nigeria spent N20.4bn on Ajaokuta Steel Company Limited from 2016 to 2021 despite its idleness.
Economists, experts suggest unbundling the plant
Economists and experts have expressed shock at the level of mismanagement going on at Ajaokuta, suggesting an unbundling of the plant before the concession.
The Chief Executive Officer of Centre for the Promotion of Private Enterprise, Dr Muda Yusuf, said bureaucracy, political interference and corruption were key issues affecting the success of the plant.
Yusuf said, “I worked there for a few years. They have a massive housing project, a machine shop where machines are fabricated, and a section producing construction materials.
“There is a need to unbundle Ajaokuta Steel before concession because it is a massive project. Then get the private sector involved, that is, a company with the technical and financial capabilities to manage it. You can decide to concession the power plant, then the machine shop and other segments differently,” he said.
A professor of Ceramics Engineering, Patrick Oaikhinan, said, “Once the government is taking a big share in any corporation, the leadership is not always straightforward. Who were the experts that have managed Ajaokuta and why wouldn’t Nigeria be importing steel when competent experts are not allowed to manage it?”
An economist and accountant, who is also the Chairman of Manufacturers Association of Nigeria Export Group, Ede Dafinone, called for 100 per cent privatisation of the plant, rather than the proposed concession.
“Government can have a golden share, but the management should be free to make decisions on capacity and production issues,” Dafinone said.
He noted that the failure of Ajaokuta to produce flat sheets, which were strategic in Nigeria’s industrialisation drive, was affecting the Nigerian manufacturing sector negatively.
A retired General Manager at Ajaokuta Steel, Mr Kunle Aiyedun, said successive governments after late Shehu Shagari lacked the will power to resuscitate the steel plant.
“Ajaokuta needs a lot of money. You cannot abandon it only to continue resuscitation later. The audit you do this year would be different from the one you do next year. So, we need political will power to get it somewhere,” he said.
News
Gumi Defends Dialogue As Sole Solution To Nigeria’s Insecurity
Islamic cleric Sheikh Ahmad Gumi recently defended his past interactions with armed groups, stating he “took the bull by the horns” in 2021 as a necessary step to address Nigeria’s insecurity.
In a post shared on Facebook on Thursday, Gumi said decades of neglect of disadvantaged populations had created deep socio-economic inequalities, leaving many youths vulnerable to manipulation by external forces seeking to destabilise the country.
According to him, the widening gap between the rich and the poor has turned many young people into “ready-made foot soldiers” in cycles of violence that enable the exploitation of Nigeria’s resources.
He also criticised the political class for being largely unresponsive, while noting that the intellectual community is preoccupied with survival struggles.
Reflecting on his past efforts, Gumi said he “took the bull by the horns” in 2021 by attempting to reintegrate violent elements into society rather than allowing them to be further radicalised.
He wrote: “Nigeria for decades has ignored the underprivileged section of its society. There is a significant socio-economic discrepancy, and the society is stratified. This makes our teaming youth ready-made foot soldiers for any foreign interest trying to divide us and rule. To plunder our resources while we are involved in a vicious circle of violence.
”Unfortunately, the political class is unattentive while the intelligentsia is held hostage in the struggle for existence.
“In 2021, I took the bull by the horns in an attempt to bring some of these uncouth elements back to our fold rather than letting them be exploited by the devil.
“I still believe this is the only way out of our predicament. However, it needs the political will and determination to achieve.
“May Allah bring peace back to our nation.”
News
Court Clears Senator Ireti Kingibe To Remain Active In ADC
The Federal High Court in Abuja rejected an ex-parte application seeking to bar Senator Ireti Kingibe from participating in the activities of the African Democratic Congress (ADC).
Justice Peter Lifu declined the request from Wuse Ward leaders, ruling that such an order could not be granted without first hearing from the senator.
Instead, the judge ordered the ward leaders said to be loyal to the Minister of the FCT, Nyesom Wike, to put the senator on notice to appear in court to join issues with them on their grievances.
Justice Lifu in a ruling on Thursday held that discretion in such a request for prohibition from party activities and in political matters must be exercised judicially and judiciously.
The judge said justice would be met in the case of the plaintiffs only when the side of the defendant is heard on its merit, along with that of the plaintiffs.
Consequently, the judge ordered that Senator Ireti Kingibe should be served with all court processes by the plaintiffs to enable her become aware of the suit and to prepare her defense.
The judge fixed April 20, 2026, for the plaintiffs and the serving senator to appear before him for hearing of all applications in the matter.
Those who sued the senator in the suit marked FHC/ABJ/ CV/539/2026 are Okezuo Godfrey Anayo and Isaiah Ojonugwa Samuel, on behalf of themselves and ward members as plaintiffs. The senator is the sole defendant.
In their ex-parte application, Kingibe representing the FCT in the Senate was said to have been suspended on March 10, 2026 by her Wuse Ward executives following allegations of anti-party activities and disregard of your cnstitution of the ADC.
In the ex- parte application filed on their behalf by a Senior Advocate of Nigeria, SAN, Kolawole Olowookere, the aggrieved ADC members in Wuse Ward applied for an order of interim injunction restraining Kingibe from parading herself as a member of party, pending the hearing and determination of their motion on notice for interlocutory injunction.
They also asked the judge to restrain the senator from performing any function, attending meetings or performing activities reserved for ADC members or representing the party in any activities.
Besides, the Ward Executive Committee had asked that she be restrained from further interfering with the administration of the ward, ward register and other activities.
The suit was predicated on five grounds among which are that Mrs Kingibe was placed on suspension due to anti-party activities, gross misconduct and confiscation of the ward statutory records.
They argued that the suspension followed due process as enshrined in the ADC constitution and ratified by the two thirds majority of the EXCO members.
They averred that despite the communication of the suspension to Kingibe, she has continued to hold parallel meetings, issue press statements as an ADC member, and using her security details to intimidate the executive committee.
“Her actions constitute flagrant disregard to the internal mechanism of the party,” the plaintiffs stated.
Meanwhile, a lawyer, Abubakar Marshall who claimed to be representing the senator, announced that he had filed a preliminary objection against the suit. He added that it was served on M. S. Garba, who stood for the plaintiffs at Thursday’s proceedings.
News
COAS Shaibu Hits Jos To Restore Peace, Public Confidence
The Chief of Army Staff (COAS), Lieutenant General Waidi Shaibu, visited Jos, Plateau State, on Thursday, April 2, 2026, to lead a high-powered security assessment following recent security breaches.
The visit was aimed at strengthening public confidence and reinforcing ongoing efforts to stabilize affected communities.
Colonel Appolonia Anele, acting Director, Army Public Relations, said in a statement that the visit forms part of ongoing efforts to restore calm and entrench lasting peace across the state.
According to the statement, upon arrival, the COAS was received by the Executive Governor of Plateau State, Caleb Mutfwang, in a clear demonstration of strong civil-military cooperation and a shared commitment to addressing emerging security challenges.
The statement said the COAS received a comprehensive operational briefing from the General Officer Commanding 3 Division and Commander, Joint Task Force Operation ENDURING PEACE, Major General Folusho Oyinlola, who highlighted ongoing operations and proactive measures being implemented in synergy with other security agencies to contain threats, protect lives and property, and stabilise affected communities.
“As part of his engagements, Lieutenant General Shaibu also interacted with community leaders and residents, reassuring them of the unwavering commitment of the Nigerian Army to safeguarding all law-abiding citizens.
He urged residents to remain calm, vigilant and supportive of security agencies by complying with the curfew and cooperating fully with ongoing operations and investigations, while going about their lawful activities.
The chairman of Jos North Local Government Area, Hon. Dachung Bagos, commended the COAS for the timely visit, noting that the presence of the nation’s top military leadership would boost public confidence and reinforce trust in ongoing security efforts.
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