QUESTION

State five challenges facing Iron and Steel industry in Nigeria and give at least three
possible strategies for ameliorating these challenges.

The challenges include:

 Erratic power supply is one of the major factors inhibiting sustained steel
production in the country.

 Excessive Importation of raw materials is also one of the major factors inhibiting
sustained steel production in the country.

 Inconsistent government policies and the poor state of security.

 Lack of essential infrastructural facility such as good roads(majorly).

 Low capital due to high interest rate on bank loans.

Strategies for ameliorating these challenges:

 Government’s intervention via the provision of electricity will facilitate plans to

turn around the steel industry.

 Government’s intervention via availability of raw materials will facilitate plans to

turn around the steel industry.

 Government’s intervention via good roads will facilitate plans to turn around the
steel industry.

 Government’s intervention via policy on ban of imported steel products and

reduced interest rates on bank loans will facilitate plans to turn around the steel
industry.