Nigeria is currently losing an estimated ₦674 billion every year to foreign paper mills due to the collapse of domestic production. Primary producers in the country have largely closed shop over the past 26 years, leaving the sector in a state of near-total decay.
The paper industry’s contribution to the Gross Domestic Product (GDP) remains stuck at a marginal 0.14 per cent. While demand for printing and packaging rises, Nigeria continues to spend its scarce foreign exchange on massive import bills.
Import bills soar as domestic production fails
Data from the National Bureau of Statistics (NBS) reveals that Nigeria’s paper import bill rose from ₦328.9 billion in 2021 to a staggering ₦1.11 trillion in 2025. Local manufacturers currently meet less than 10 per cent of the national demand, which exceeds three million metric tonnes annually.
In contrast, paper exports remain negligible, totaling only a tiny fraction of the volume brought into the country. This heavy reliance on imports exerts immense pressure on the naira and fuels inflation across the publishing and education sectors.
Mismanagement and obsolete technology kill the mills
Nigeria once boasted three large paper mills in Kwara, Ogun, and Akwa Ibom states that supported international exports. However, decades of mismanagement, lack of investment, and obsolete equipment have forced these facilities to cease operations entirely.
Experts estimate that the collapse of this value chain has cost the country over 300,000 potential jobs in manufacturing and logistics. Industry stakeholders are now calling for urgent policy reforms and significant investment to tap into abundant raw materials like bamboo and sugarcane bagasse.
