Economy
LLF @5: Creating Opportunities for Leather Industry Players Across Sub-Saharan Africa
“The fast-evolving nature of the leather industry in Nigeria is quickly positioning the industry to become the next gold mine for our dear nation — that is, if it is properly explored and harnessed by both industry players and governmental bodies,” Femi Olayebi, CEO FemiHandbags, and Founder, Lagos Leather Fair opined at a leather industry stakeholder event.
Over the years, the Nigerian leather industry has continued to evolve and positively contribute to Africa’s economy both in revenue and in employment opportunities. According to the Nigerian Economic Summit Group (NESG), research shows that the industry contributes about 24% of the agricultural sector’s contribution to the GDP in Nigeria.
It is also one of the more significant employers of labour, with over 750,000 workers in the leather processing sector and about 500,000 in the finished leather goods sector. The Nigerian Economic Summit Group (NESG) has also projected that the industry could bring in earnings of about US$1 billion by 2025. Undoubtedly, the sector has the potential to metamorphose into the next big deal for Africa’s economy.
In order to make this prediction a reality, whilst simultaneously tapping into the enormous potential of the industry, select leading brands and industry thought leaders are taking up the responsibility — by forging alliances, and launching forward-thinking projects. One such project is the Lagos Leather Fair.
Creating opportunities for African Leather Industry Players
The Lagos Leather Fair (LLF) was created in 2017 by Mrs Femi Olayebi, the Creative Director of FemiHandbags — one of the continent’s leading leather brands. Having experienced, first-hand, the challenges that plague the sector, she was determined to provide a much-needed platform for leather designers to showcase their products, partner with stakeholders to grow the finished leather goods sector and change the narrative within an industry that holds an amazing potential to succeed as major foreign exchange earner.
Driven by these goals, the platform opened its doors to more than 6,900 individuals, businesses, partners, and other stakeholders from all across sub-Saharan Africa between 2017 and 2021. Each edition has created visibility for African leather-focused businesses and has featured revered thought leaders who equip industry players with the requisite knowledge necessary to navigate and grow within the industry.
Over the years, there has been steady growth within the leather industry. Nonetheless, there are prevailing challenges facing the industry.
Many local shoemakers, for instance, do not have access to the advanced technology needed to design high-quality wear for their teeming customers. This is a potential setback, especially when compared with their international counterparts. A large portion of the more established and advanced shoemakers in Lagos are those who design their shoes abroad and then import these shoes to the country for finishing.
Lagos Leather Fair has sought to tackle this challenge by investing in capacity building opportunities, through a series of training partnerships: seeking to bridge the skills gap in the leather and non-leather manufacturing industries; raise the standards; and equip young industry players with the requisite hard and soft skills to navigate the industry. LLF recently partnered with a training program called Kafawa.
The program was designed by My World of Bags in partnership with Mastercard Foundation, and it presents a holistic training experience from basic machine skills to specialised leather-crafting, to soft skills and entrepreneurship classes; since its launch in 2021, the program has directly impacted over 250 micro and small leather business owners across Nigeria. The 2022 edition of LLF will feature these recent graduate trainees within its Emerging Designers segment at the fair.
Made in Nigeria for Nigerians
Several reports have confirmed that many Nigerians have a preference for international brands because of their perceived higher quality than local brand output. A Stears business report revealed that if you ask 100 Nigerians to choose between local or international brands, 92 will choose the international brand, while 8 would be undecided.
In another blind brand experiment conducted amongst Nigerians, 98% claimed that they could differentiate between internationally-made and locally-made shoes. When the shoes were provided to them, however, only 32% could make a distinction. As a result, many companies across diverse industries have launched several consumer-focused campaigns to encourage local shopping, and the leather sector is no different.
Since its inception, the Lagos Leather Fair has curated over 30 masterclasses that have held conversations to change the narrative around made-in-Nigeria, for the leather industry and beyond. A call for Nigerians to shop local will not only develop the leather industry but will have a significant impact on the Nigerian economy at large. Lending their voices to the cause, respected thought leaders Alheri Egor-Egbe from Google, Giovanni Romano from Ithaki Paris, Laduma Ngxokolo from Maxhosa Africa in South Africa, Prof. Yvonne Watson of the Parsons School of Design, New York and a 3-D design expert Baboa Tachie-Mensa from Ghana, and dozens of others have joined in to drive this conversation with LLF over the years. These conversations are well paired with the fair’s spotlight on strong industry brands with premium quality products that have begun indeed to change the narrative.
2022 Outlook
“For us at LLF, the goal is to continue to drive value and draw attention to the leather industry. We believe that we have discovered a gold mine that will not only make our businesses successful but will increase the prosperity of our nation. We will not stop doing the good work until the industry is developed,” said Femi Olayebi, CEO FemiHandbags, and Founder of Lagos Leather Fair.
In 2022, LLF is set to host several initiatives in line with its overarching goals. In commemoration of its 5th anniversary, the platform is set to host another physical fair in Lagos, Nigeria — it will open its doors to leather enthusiasts, producers, manufacturers, lifestyle lovers, fashion experts, and the wider public to showcase leather products and services and keep the spotlight on the vast possibilities within the industry.
This year’s fair will take place at the Balmoral Convention Center at Federal Palace Hotel, Victoria Island, Lagos on June 11t and 12. This year, LLF will feature dozens of leather exhibitors, and create opportunities for brands to connect with prospective customers, their peers and other stakeholders; masterclasses to drive conversation; atelier sessions to expose the hidden tricks of leather crafting, and fashion runway showcase to further showcase brands.
LLF has also hinted at the launch of two initiatives that will further drive the industry forward: one is The Leather Portal — a platform that will serve as an e-directory connecting leather designer, brands, tanneries, and hardware suppliers across Nigeria and Africa; another is the Guild of Leather Designers (GOLD), a not-for-profit advisory body that will support the professional development of leather designers, promote best practices, facilitate access to business development tools and serve as a bridge between leather designers and various stakeholders to create an effective and sustainable ecosystem.
There is no better time than now for the government to begin to take a closer look at the leather sector. In 2021, the National Leather and Leather Products Policy Implementation Plan was launched to address specific challenges and shortcomings of the leather sector, with pragmatic strategies to permanently resolve these issues for optimal productivity. Whilst this is a commendable development, there is an urgent need to begin to put that plan to action, and a great first step would be to get a closer glimpse into the happenings in the industry by starting at this year’s Lagos Leather Fair.
Economy
LCCI Raises Eyebrow Over N15.52trn Debt Servicing Plan in 2026 Budget
By Adedapo Adesanya
The Lagos Chamber of Commerce and Industry (LCCI) has noted that the N15.52 trillion allocation to debt servicing in the 2026 budget remains a significant fiscal burden.
LCCI Director-General, Mrs Chinyere Almona, said this on Tuesday in Lagos via a statement in reaction to the nation’s 2026 budget of N58.18 trillion, hinging the success of the 2026 budget on execution discipline, capital efficiency, and sustained support for productive sectors.
She noted that the budget was a timely shift from macroeconomic stabilisation to growth acceleration, reflecting growing confidence in the economy.
She lauded its emphasis on production-oriented spending, with capital expenditure of N26.08 trillion, representing 45 per cent of total outlays, and significantly outweighing non-debt recurrent expenditure of N15.25 trillion.
According to Mrs Almona, this composition supports infrastructure development, industrial expansion, and productivity growth.
However, she explained that the N15.52 trillion allocation to debt servicing underscored the need for stricter borrowing discipline, enhanced revenue efficiency, and expanded public-private partnerships to safeguard investments that promote growth.
She added that a further review of the 2026 budget revealed relatively optimistic macroeconomic assumptions that may pose fiscal risks.
“The oil price benchmark of $64.85 per barrel, although lower than the $75.00 benchmark in the 2025 budget, appears optimistic when compared with the 2025 average price of about $69.60 per barrel and current prices around $60 per barrel.
“This raises downside risks to oil revenue, especially since 35.6 per cent of the total projected revenue is expected to come from oil receipts.
“Similarly, the oil production benchmark of 1.84 million barrels per day is significantly higher than the current level of approximately 1.49 million barrels per day.
“Achieving this may be challenging without substantial improvements in security, infrastructure integrity, and sector investment,” she said.
Mrs Almona said the exchange rate assumption of N1,512 to the Dollar, compared with N1,500 in the 2025 budget and about N1,446 per Dollar at the end of November, suggests expectations of a mild depreciation.
She said while this may support Naira-denominated revenue, it also increases the cost of imports, debt servicing, and inflation management, with broader macroeconomic implications.
The LCCI DG added that the inflation projection of 16.5 per cent in 2026, up from 15.8 per cent in the 2025 budget and a current rate of about 14.45 per cent, appeared optimistic, particularly in a pre-election year.
She also expressed concern about Nigeria’s historically weak budget implementation capacity, likely to be further strained by the combined operation of multiple budget cycles within a single year.
Looking ahead, Mrs Almona identified agriculture and agro-processing, manufacturing, infrastructure, energy, and human capital development as key drivers of growth in 2026.
She said that unlocking these sectors would require decisive execution—scaling irrigation and agro-value chains, reducing power and logistics costs for manufacturers, and aligning education and skills development with private-sector needs.
The LCCI head stressed the need to resolve issues surrounding the Naira for crude, increase the supply of oil to local refineries to boost local refining capacity and conserve the substantial foreign exchange used for fuel imports.
“Overall, the 2026 Budget presents a credible opportunity for Nigeria to transition from recovery to expansion.
“Its success will depend less on the size of allocations and more on execution discipline, capital efficiency, and sustained support for productive sectors.
Economy
Customs Street Chalks up 0.12% on Santa Claus Rally
By Dipo Olowookere
The Nigerian Exchange (NGX) Limited witnessed Santa Claus rally on Wednesday after it closed higher by 0.12 per cent.
Strong demand for Nigerian stocks lifted the All-Share Index (ASI) by 185.70 points during the pre-Christmas trading session to 153,539.83 points from 153,354.13 points.
In the same vein, the market capitalisation expanded at midweek by N118 billion to N97.890 trillion from the preceding day’s N97.772 trillion.
Investor sentiment on Customs Street remained bullish after closing with 36 appreciating equities and 22 depreciating equities, indicating a positive market breadth index.
Guinness Nigeria chalked up 9.98 per cent to trade at N318.60, Austin Laz improved by 9.97 per cent to N3.20, International Breweries expanded by 9.85 per cent to N14.50, Transcorp Hotels rose by 9.83 per cent to N170.90, and Aluminium Extrusion grew by 9.73 per cent to N16.35.
On the flip side, Legend Internet lost 9.26 per cent to close at N4.90, AXA Mansard shrank by 7.14 per cent to N13.00, Jaiz Bank declined by 5.45 per cent to N4.51, MTN Nigeria weakened by 5.21 per cent to N504.00, and NEM Insurance crashed by 4.74 per cent to N24.10.
Yesterday, a total of 1.8 billion shares valued at N30.1 billion exchanged hands in 19,372 deals versus the 677.4 billion shares worth N20.8 billion traded in 27,589 deals in the previous session, implying a slump in the number of deals by 29.78 per cent, and a surge in the trading volume and value by 165.72 per cent and 44.71 per cent apiece.
Abbey Mortgage Bank was the most active equity for the day after it sold 1.1 billion units worth N7.1 billion, Sterling Holdings traded 127.1 million units valued at N895.9 million, Custodian Investment exchanged 115.0 million units for N4.5 billion, First Holdco transacted 40.9 million units valued at N2.2 billion, and Access Holdings traded 38.2 million units worth N783.3 million.
Economy
Yuletide: Rite Foods Reiterates Commitment to Quality, Innovation
By Adedapo Adesanya
Nigerian food and beverage company, Rite Foods Limited, has extended warm Yuletide greetings to Nigerians as families and communities worldwide come together to celebrate the Christmas season and usher in a new year filled with hope and renewed possibilities.
In a statement, Rite Foods encouraged consumers to savour these special occasions with its wide range of quality brands, including the 13 variants of Bigi Carbonated Soft Drinks, premium Bigi Table Water, Sosa Fruit Drink in its refreshing flavours, the Fearless Energy Drink, and its tasty sausage rolls — all produced in a world-class facility with modern technology and global best practices.
Speaking on the season, the Managing Director of Rite Foods Limited, Mr Seleem Adegunwa, said the company remains deeply committed to enriching the lives of consumers beyond refreshment. According to him, the Yuletide period underscores the values of generosity, unity, and gratitude, which resonate strongly with the company’s philosophy.
“Christmas is a season that reminds us of the importance of giving, togetherness, and gratitude. At Rite Foods, we are thankful for the continued trust of Nigerians in our brands. This season strengthens our resolve to consistently deliver quality products that bring joy to everyday moments while contributing positively to society,” Mr Adegunwa stated.
He noted that the company’s steady progress in brand acceptance, operational excellence, and responsible business practices reflects a culture of continuous improvement, innovation, and responsiveness to consumer needs. These efforts, he said, have further strengthened Rite Foods’ position as a proudly Nigerian brand with growing relevance and impact across the country.
Mr Adegunwa reaffirmed that Rite Foods will continue to invest in research and development, efficient production processes, and initiatives that support communities, while maintaining quality standards across its product portfolio.
“As the year comes to a close, Rite Foods Limited wishes Nigerians a joyful Christmas celebration and a prosperous New Year filled with peace, progress, and shared success.”
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