Speaks
Dear Stakeholders,
Open Letter to Free Zones Stakeholders on Advancing Free Zones in Nigeria.
As we strive to harness the full potential of Free Zones in Nigeria, this year 2025, it is crucial to reflect on the significant role that training plays in the growth, sustainability, and success of this transformative economic scheme. As we are aware, free zones are critical drivers of industrialization, foreign investment, job creation, and export-led growth. However, the realization of their full potential depends on our collective understanding, synergy, and commitment to their proper implementation and management.
One of the recurring challenges facing the Free Zone scheme in Nigeria is the perception by some quarters, especially Nigerian Customs and FIRS, that it leads to revenue loss for the government. While these concerns are valid in a transparent democratic system, they often arise from a lack of understanding of the purpose, operations, and benefits of the Free Zone model. This highlights the urgent need for comprehensive training and capacity-building programmes
targeted not just at stakeholders within the Free Zone ecosystem but also to other key government agencies, policymakers, and the general public.
The Place of Training in the Growth of Free Zones:
1. Capacity Building for Stakeholders:
Effective management of Free Zones requires stakeholders possessing a thorough understanding of global best practices, regulatory frameworks, and operational dynamics. Training programmes tailored to zone operators, developers, investors, and administrators will equip them with the skills and knowledge necessary to maximize the benefits of the scheme while minimizing inefficiencies.
2. Inter-Agency Collaboration:
Free Zones operate within a complex regulatory environment that involves multiple government agencies, including Customs, the Federal Inland Revenue Service (FIRS), the Nigerian Ports Authority (NPA), and others. Regular training and sensitization for these agencies on the objectives and operational frameworks of Free Zones will foster collaboration, reduce friction, and enhance efficiency in service delivery. “ those informed are sympathetic
while those uninformed are hostile”.
3. Awareness and Advocacy:
Public perception plays a crucial role in the success of any policy initiative. Through targeted training and advocacy programmes, stakeholders can educate the public, media, and policymakers about the long-term benefits of Free Zones, including foreign direct investment, technology transfer, job creation, and diversification of the economy. A well-informed public is less likely to harbour misconceptions about the scheme.
4. Promoting Compliance and Reducing Criticism:
One of the primary criticisms of Free Zones is the notion that they create loopholes for tax evasion or revenue loss. Proper training on compliance with regulatory standards and the importance of transparency will ensure that free zones operate in alignment with national development goals. This will not only enhance credibility but also address the concerns of critics. It was shocking to me when a NEPZA rep, in one of the free zones said she has not had
training for the past five years. This is not good enough for the system.
Call to Action
To achieve these goals, we urge the Authorities and the zones to prioritize training as a strategic tool for growth. This involves:
✓ Developing a Composite Training Curriculum: Collaborate with local and international experts to design training programmes tailored to the specific needs of free zone stakeholders and government agencies.
✓ Regular Sensitization Programmes: Organize workshops, seminars, and interactive sessions to educate all relevant parties on the economic and social benefits of Free Zones. Engage experts at the management retreats to forge a new course of action for a new year and review the mid-year activities.
✓ Engagement with Policymakers: Advocate for policies change that support capacity building and knowledge-sharing as part of the Free Zone framework.
✓ Public Awareness Campaigns: Leverage traditional and digital media platforms to share success stories, train journalists on tenates of the scheme with case studies, and data-driven insights on the impact of free zones.
The MDs of the regulatory authorities should lead these. Since the inception of free zones in Nigeria, we are now experiencing more insulated MDs than the nation had ever engaged. This is not good enough for the system. I can do a 20 page seminar paper on the bad side of this to a scheme that has an international complexion. My colleagues in the media are complaining and I told them that I am not an exception.
Free Zones hold immense potential to reposition Nigeria as a hub for regional and global trade, but this vision can only be realized through a concerted effort to build capacity and understanding across all sectors. Let us work together to create a thriving free zone ecosystem that contributes meaningfully to Nigeria’s economic growth and development. With this all hands will be on deck. we must stop complaining of the wrong public perceptions when we have not done our bits. We can change the narratives.
Yours sincerely,
CHRIS NDIBE
MD Carlcon Consulting
