BUSINESS GROUPS SEEK LIMITS ON FOREIGN RETAIL TRADING

Business leaders and economists have called on the Federal Government to restrict the participation of foreign nationals in Nigeria’s last-mile retail trade, following protests by local traders over the growing presence of Chinese merchants in the sector.

The calls followed a protest by traders at the Lagos International Trade Fair Complex against the alleged involvement of Chinese nationals in retail trading.

The traders have argued that some foreign merchants who initially operated as wholesalers are increasingly selling directly to consumers. They said this gives them an advantage in pricing and access to goods because of their direct connections with manufacturers and suppliers abroad.

President of the Association of Small Business Owners of Nigeria, Femi Egbesola, said the government should protect local small and medium-sized businesses while maintaining an open trading environment.

Egbesola called for restrictions on the participation of foreign nationals in last-mile retail, arguing that small businesses could face greater pressure if foreign traders continue expanding into the segment.

The Centre for the Promotion of Private Enterprise has also raised concerns over the growing participation of foreign nationals, particularly Chinese traders, in Nigeria’s retail and distributive trade sector.

CPPE said the development could have implications for employment, competition, investment policy and compliance with immigration and business-permit regulations.

The concerns come amid wider debate over the structure of Nigeria’s retail market and the role of foreign businesses. Local traders have argued that direct-to-consumer sales by foreign merchants could bypass traditional distribution networks and reduce opportunities for Nigerian retailers.

The debate has also drawn calls for clearer regulation and enforcement of existing rules governing foreign participation in Nigeria’s domestic trading sector.