Prince Shuaibu Abubakar Audu, minister of steel development, has signed a $1bn memorandum of understanding with India’s Rashmi Metaliks Group as Nigeria intensifies efforts to revive its steel industry.
The agreement was signed Tuesday in Kolkata following the minister’s tour of the company’s steel plant. He praised its integrated operations and advanced production systems, describing the facility as a model for efficient, modern steel manufacturing.
Audu said the deal signals growing investor confidence in Nigeria’s steel sector under President Bola Ahmed Tinubu’s economic reforms.
He noted that the industry has attracted over $2.2bn in foreign direct investment, positioning it as a key driver of industrialisation, job creation and foreign exchange savings.
He added that Nigeria is shifting from exporting raw minerals to building a value-driven industrial base. The country holds more than three billion tonnes of iron ore, with high-grade deposits, while domestic steel demand is estimated at $10bn annually.
The government is targeting crude steel production of 10 million tonnes per year by 2030 as part of its long-term industrial strategy.
Recent investments include a $400m steel plant in Ogun State, a $300m integrated facility in Kaduna by African Industries Group, and a $500m mini-LNG project in Ajaokuta to support energy supply for the sector.
Audu invited more Indian investors to explore opportunities in steel production and value chain development, assuring them of policy stability and incentives.
Sunil Kumar Patwari, vice chairman of Rashmi Metaliks Group, said the company is committed to delivering on the agreement, subject to continued government support.
The minister is expected to meet India’s steel minister, H. D. Kumaraswamy, to deepen bilateral cooperation before returning to Nigeria
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