SMALL AND MEDIUM TIMBER BUSINESS AND ECONOMIC DEVELOPMENT IN NIGERIA

Abstract

The timber industry in Nigeria holds a prominent position within the nation's economy, making substantial contributions to employment generation, income generation, and foreign exchange earnings. The timber sector has witnessed the emergence of small and medium-sized enterprises (SMEs) that play a vital role in stimulating economic growth, promoting entrepreneurship, and facilitating regional development. The objective of this study is to investigate the role played by small and medium-sized timber enterprises in Nigeria's economic development as well as the obstacles they encounter in this context. Furthermore, it takes into account the effects of the timber industry on the generation of employment opportunities, the distribution of income, and the advancement of rural areas. The results underscore the favorable impacts of small and medium-sized timber enterprises on Nigeria's economic progress, encompassing the creation of employment opportunities, generation of income, and mitigation of poverty. Additionally, these enterprises also disclose a range of challenges encountered, including restricted financial access, insufficient infrastructure, fluctuating government policies, and apprehensions regarding sustainability. The study's findings inform the following recommendations aimed at facilitating the expansion and advancement of small and medium-sized timber enterprises in Nigeria. The proposed recommendations encompass various strategies aimed at enhancing the timber industry. These strategies involve facilitating access to financial resources through specialized funding initiatives, encouraging the adoption of technology and fostering innovation, strengthening connections between market participants, reinforcing policy frameworks, and promoting sustainable practices within the sector.