By Emmanuel Elebeke

The Raw Materials Research Andy Development Council (RMRDC) has revealed that the Council has received full ministerial approval to implement the long-anticipated guidelines for tax incentives dedicated to promoting Research and Development (R&D) and the utilization of local raw materials across Nigerian industries.

The Director General/Chief Executive Officer of RMRDC, Prof. Nnanyelugo Ike-Muonso, disclosed this on Friday in Abuja.

He said the Ministerial approval to implement Tax Incentive Guidelines for Research and Development and Local Raw Materials Utilization amounts to  policy shift and transformative moment for Nigeria

“This is more than a policy shift, it is a transformative moment for our nation,” Professor Ike-Muonso declared.

“It is a signal that the government is not only listening, but acting decisively to foster a climate for sustainable innovation and economic diversification.”

The approval, which followed the endorsement of the Minister of Finance and the  Minister of Innovation, Science and Technology, authorizes the Council to activate incentives that encourage Nigerian companies to invest in R&D activities while rewarding the use of domestically sourced raw materials. The initiative is expected to reduce dependency on imports, boost local value chains, and support indigenous suppliers and producers.

Under the new framework, eligible industries will benefit from tax relief when they: Utilize local agricultural inputs in agro-based manufacturing;Employ indigenous botanicals in pharmaceutical production; I will send iyüntegrate Nigerian minerals and agro by-products in chemical and polymer manufacturing;

Support local textile value chains, including homegrown cotton and dyes; and collaborate with startups, universities, and research institutions on innovative development.

“The incentive scheme is designed to lower the cost burden for industries bold enough to innovate with local solutions,” Professor Ike-Muonso noted, highlighting RMRDC’s demonstration plants as proof of the commercial viability of converting R&D outputs into market-ready products.

Prof. Ike-Muonso expressed deep gratitude to  Minister of Innovation, Science and Technology, Chief Uche Geoffrey Nnaji, and  Minister of Finance, Mr. Wale Edun, for their pivotal roles in supporting the policy framework.

He emphasized that the approval represents a successful model of inter-ministerial collaboration, aligning fiscal and innovation strategies in support of national development.

In alignment with President Bola Ahmed Tinubu’s Renewed Hope Agenda, he said RMRDC will soon roll out public guidelines, launch an online application portal, and initiate stakeholder engagements to educate manufacturers on how to access the incentives.

The Council, he said also plans to implement a robust monitoring and evaluation system to track impact and ensure accountability.

“This is a message to industry stakeholders across Nigeria: the government values your investment in our future.  “Let us build an economy driven by local innovation, raw materials, and pride,” he said.