Nigerian manufacturers using more local inputs could make everyday products less vulnerable to every naira crisis The share of locally sourced raw materials used by Nigerian manufacturers rose from 51.5% in 2021 to 57.1% in 2024, according to Manufacturers Association of Nigeria data. That may look like a small percentage-point change, but the real-life implication is bigger. When a factory depends heavily on imported sugar, chemicals, packaging, machinery components or other inputs, every naira depreciation increases its production costs. Forex shortages can also delay imports and force factories to slow production. Local sourcing acts partly as an FX shield. If a food company can buy more agricultural inputs locally, or a pharmaceutical manufacturer can source more materials within Nigeria, fewer parts of its production process are directly exposed to dollar shortages. There is another benefit: money that would have gone to foreign suppliers can instead support Nigerian farmers…