VZCZCXRO5826
PP RUEHMA RUEHPA
DE RUEHUJA #2178/01 2831524
ZNR UUUUU ZZH
P 101524Z OCT 07
FM AMEMBASSY ABUJA
TO RUEHC/SECSTATE WASHDC PRIORITY 1171
INFO RUEHOS/AMCONSUL LAGOS PRIORITY 8059
RUEHZK/ECOWAS COLLECTIVE
RUCPDOC/DEPT OF COMMERCE WASHDC
RUEATRS/DEPT OF TREASURY WASHDC

UNCLAS SECTION 01 OF 02 ABUJA 002178 
 
SIPDIS 
 
SIPDIS 
SENSITIVE 
 
DEPARTMENT PASS TO USTR (AGAMA) 
TREASURY FOR RICHARD HALL/DAN PETERS 
USDOC FOR 3317/ITA/OA/KBURRESS AND 
3130/USFC/OIO/ANESA/DHARRIS 
 
E.O. 12598: N/A 
TAGS: ETRD ECON EINV EAID NI
SUBJECT: COMMERCE MINISTER PROPOSE DECEMBER TIFA; SEEKS INCREASED US 
INVESTMENT 
 
SENSITIVE BUT UNCLASSIFIED - PROTECT ACCORDINGLY. 
 
¶1. (SBU) Summary.  Minister of Commerce and Industry Charles Ugwuh 
proposed December 10-11 as possible dates for the Trade Investment 
Framework Agreement (TIFA) 2007 Council meeting in Abuja.  He said 
the Nigeria government (GON) is enthusiastic, but has yet to discuss 
an inter-agency approved agenda.  The Minister is seeking partners 
in the petrochemicals sector and advocated for U.S. companies to 
invest.  End Summary. 
. 
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TIFA 
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. 
¶2. (SBU) on October 9 Minister Ugwuh told Economic Counselor that he 
welcomes the TIFA Council meetings and appreciates the opportunity 
it provides for the U.S. and Nigeria to discuss trade and investment 
issues.  Ugwuh has yet to be briefed on the TIFA and postponed 
discussion of USG workplan and agenda.  He expects to have a 
dialogue with the private sector to get their views before 
discussion of the final GON points and hopes to include that sector 
in the TIFA Council program.  Regarding TIFA dates, Ugwuh suggested 
December 10 and 11 because he is traveling to Malaysia and other 
countries in November. 
. 
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Ugwuh's Industry Strategy 
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. 
¶3. (SBU) Minister Ugwuh wants to encourage the GON and foreign 
companies to invest in the petrochemicals sector because the raw 
materials are available in Nigeria and create jobs.  The idea was 
crystallized during his September trip to China and his observation 
of how the Chinese have been able to create jobs for their citizens. 
 
 
¶4. (SBU) Minister Ugwuh stressed that the GON is looking for 
partners in the petrochemical sector, including U.S oil majors such 
as ExxonMobil and Chevron.  The U.S. has the technology and Nigeria 
has remained a good ally of the U.S., and Ugwuh referred to the U.S 
partnership with Saudi Arabia in establishing its petrochemical 
sector in the 1970's.  He remarked "when someone says he is your 
friend and you are in doubt, a time will come when you will hold his 
hands and look into his eyes and ask if he is really a true friend". 
 "If the U.S. does not want to partner with us we may have to look 
elsewhere, possibly China". 
 
¶5. (SBU) To implement his vision, he plans to establish industrial 
clusters and industrial parks in the six Nigerian geo-political 
zones with the GON providing the requisite infrastructure.  Minister 
Ugwuh would lobby the cabinet and President for the GON to invest in 
providing infrastructure. 
. 
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Free Trader? 
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. 
¶6. (SBU) When asked about his trade philosophy, Ugwuh responded that 
he is not a protectionist and favors removal of trade barriers.  He 
hoped to remove trade barriers, but contended that Nigeria's weak 
local industrial base and poor infrastructure presented a dilemma. 
Before removing barriers, local producers needed competitive 
alternatives, otherwise he would fail in his goal of job creation. 
. 
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AGOA & Bilateral Relationship 
----------------------------- 
. 
¶7. (SBU) Minister Ugwuh commended the U.S. for providing market 
access to sub-Saharan African countries through AGOA and confessed 
that Nigeria is yet to take advantage of the benefits available 
under AGOA because it is yet to "put its house in order."  He 
emphasized the need for Nigeria to build capacity in order to 
benefit from AGOA. 
 
¶8. (SBU) On the relationship between both countries, Minister Ugwuh 
said he wants to see more U.S. investment in Nigeria, and "we want 
you to partner with us."  He contended that the relationship has 
gone beyond the U.S. pointing Nigeria in the right direction. 
. 
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Comment 
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ABUJA 00002178  002 OF 002 
 
 
. 
¶9. (SBU) The Minister was energetic and passionate about his vision 
for Nigeria and increasing U.S. investment in Nigeria.  As former 
President of Manufacturers Association of Nigeria, Ugwuh knows the 
commercial issues facing industry.  Whether he is a free trader is 
yet to be determined based on his short-time in office. 
. 
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Bio Note 
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. 
¶10. (U) Engineer Charles Chukwuemeka Ugwuh, an industrialist, was 
the immediate past president of the Manufacturers Association of 
Nigeria, and is Chairman of both Rokana Industries and Hydro 
Resources Industries Limited.  Embassy industry contacts consider 
him an active and successful industrialist, and believe he will be a 
strong voice for local manufacturers. 
 
¶11. (U) Ugwuh holds a Higher National Diploma in Mechanical 
Engineering and an Advanced Diploma in Power Engineering from 
Borough Polytechnic, London.  He also holds a Master of Science 
degree in Mechanical Engineering with a specialization in 
thermodynamics from Birmingham University, England.  Ugwuh was born 
on December 3, 1942. 
 
PIASCIK