NECA decries closure of Lagos factories over land dispute
Summarized and contextualized by DistantNews.
At a glance
- The Nigeria Employers’ Consultative Association (NECA) is concerned about factories closed due to a land dispute in Lagos.
- NECA urges government intervention to find a balanced solution protecting jobs and investments.
- The closures impact Nigeria's industrial output and economic recovery efforts.
The Nigeria Employers’ Consultative Association (NECA) has expressed serious concern over the prolonged closure of manufacturing and commercial facilities in Lagos's Dopemu industrial corridor. These closures stem from the enforcement of a warrant of possession by the Lagos State High Court Sheriff’s Department on July 30, 2026, related to a long-standing land dispute.
NECA is appealing to the Federal Government, through the Nigerian Investment Promotion Commission and the Federal Ministry of Industry, Trade and Investment, along with the Lagos State Government, to urgently convene all parties involved. The association seeks a balanced interim solution that safeguards jobs, protects investments, sustains industrial activities, and mitigates the growing socio-economic consequences of these shutdowns while the courts deliberate.
While reaffirming its unwavering respect for the independence of the judiciary and the rule of law, NECA urges the Federal Government, through the Nigerian Investment Promotion Commission and the Federal Ministry of Industry, Trade and Investment, together with the Lagos State Government, to urgently convene all relevant parties to explore a balanced interim solution that safeguards jobs, protects investments, sustains industrial activities and mitigates the growing socio-economic consequences of the closures, pending the final determination of the matter by the courts.
Director-General of NECA, Adewale-Smatt Oyerinde, emphasized that the association respects the judicial process but highlights the significant economic implications of these operational paralyses. He stated that preserving jobs, investments, and productive capacity should be a priority for all stakeholders, especially given that the affected corridor is part of the Lagos-Ogun industrial axis, which accounts for over 50 percent of Nigeria's industrial output.
Oyerinde warned that the disruption extends beyond the affected companies. At a time when manufacturers are already contending with high energy costs, volatile foreign exchange rates, elevated borrowing costs, and weak consumer demand, these prolonged shutdowns could further damage Nigeria's industrial competitiveness and hinder economic recovery. The situation poses a threat to the Federal Government's industrialization agenda and its commitment to promoting local manufacturing.
We fully respect the judicial process and are not seeking to interfere with ongoing court proceedings. However, there is an equally compelling public interest in ensuring that businesses employing thousands of Nigerians are not subjected to prolonged operational paralysis while legal issues are being resolved. The preservation of jobs, investments and productive capacity should remain a priority for all stakeholders.
Originally published by The Punch. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.