The contribution of the paper industry to the Nigerian economy increased to ₦398.8 billion in 2023, according to a report released by the Centre for the Promotion of Private Enterprise (CPPE) during the inauguration of World Envelopes Day in Lagos.
The report, presented by the CPPE’s Chief Executive Officer, highlighted the profound economic impact of the paper industry across various sectors of the economy, despite facing significant disruptions from digital technology, particularly in communication methods.
According to the National Bureau of Statistics data cited in the report, the value of the Nigerian paper industry was ₦356 billion in 2022, ₦363 billion in 2021, and ₦255 billion in 2020. However, when compared to Nigeria’s estimated GDP of ₦230 trillion in 2023, the paper industry’s contribution remains relatively small.
The CPPE boss, Yusuf, acknowledged that the paper industry has been largely in recession due to digital technology disruptions and other macroeconomic challenges, such as exchange rate depreciation, foreign exchange liquidity crises, high cost of funds, and escalating energy costs.
During the event, which also commemorated the 50th anniversary of envelope manufacturing firm FAE Limited, the company’s Managing Director, Funlayo Bakare, introduced World Envelopes Day as an annual celebration on April 16th. The initiative aims to raise awareness about the fundamental role envelopes play in daily communication, personal correspondence, business transactions, and creative expressions.
Maiden Ibru, the Publisher of The Guardian Newspaper, who chaired the occasion, emphasised the need to strike a balance between digitalization and physical paper production, particularly due to the indispensable role paper plays in cultural preservation.
Nigeria once had three operational paper mills: the Nigeria Paper Mill Limited in Jebba, Kwara State; the Nigerian Newsprint Manufacturing Company Limited in Oku-Iboku, Akwa Ibom State; and the Nigerian National Paper Manufacturing Company Limited in Ogun State. However, these mills are no longer operational, and the country has had to rely on importation to meet its paper demands. The Asset Management Company of Nigeria has taken over the management of the Nigerian National Paper Manufacturing Company Limited due to unpaid debts.