Post by Trade facilitator on Feb 12, 2018 17:33:12 GMT 1
Analysts believe this is the reason why manufacturers, led by their umbrella body, the Manufacturers Association of Nigeria (MAN), need all the support possible to enhance the improvement they have brought to the country’s economy against all odds militating against them.
Interest rates, exchange rate and inflation volatility; low per capital income; failing infrastructure; rising insecurity; political and economic uncertainty; substandard products; smuggling and packaging of substandard commodities for export have been some of the challenges for years. Again, with the appalling state of power supply making Nigerian manufacturers operate at 40 percent production cost inefficiency, compared to their counterparts in other parts of the continent, it still beats the imagination of many.
Some glorious years past, few manufacturing companies like Michelin, Dunlop, Bata and others have trudged on to export their products to neighboring countries, but the story is now different.
In the last annual general meeting (AGM) of Manufacturers Association of Nigeria (MAN) held in Lagos, the former minister, and current MAN president, Chief Kola Jimodu appears unwilling to back down just yet in his apparent endless engagement with government on demand for better operating environment for manufacturers in Nigeria for better productivity that will ultimately enhance exportation of our country’s products to other part of the world, asking them to join hands to deal with the numerous challenges that the nation’s manufacturers face.
Apart from agricultural commodities, on a daily basis, thousands tonnage of Nigerian made products like birth-room sleepers, toiletries, fabrics, plastic wares etc, are exported by sea, air-freight or through our land boarders.
Therefore, power, according to the MAN president constitutes a serious treat that is affecting manufacturing in the list of many infrastructural facilities that require urgent attention by the government at improving our export trade. The dearth of alternative source of power has increased the cost of production tremendously and in addition to this the condition of our roads which have created constraints in the smooth movement of both raw materials and the finished product across the country, have not been helpful.
Interest rates, exchange rate and inflation volatility; low per capital income; failing infrastructure; rising insecurity; political and economic uncertainty; substandard products; smuggling and packaging of substandard commodities for export have been some of the challenges for years. Again, with the appalling state of power supply making Nigerian manufacturers operate at 40 percent production cost inefficiency, compared to their counterparts in other parts of the continent, it still beats the imagination of many.
Some glorious years past, few manufacturing companies like Michelin, Dunlop, Bata and others have trudged on to export their products to neighboring countries, but the story is now different.
In the last annual general meeting (AGM) of Manufacturers Association of Nigeria (MAN) held in Lagos, the former minister, and current MAN president, Chief Kola Jimodu appears unwilling to back down just yet in his apparent endless engagement with government on demand for better operating environment for manufacturers in Nigeria for better productivity that will ultimately enhance exportation of our country’s products to other part of the world, asking them to join hands to deal with the numerous challenges that the nation’s manufacturers face.
Apart from agricultural commodities, on a daily basis, thousands tonnage of Nigerian made products like birth-room sleepers, toiletries, fabrics, plastic wares etc, are exported by sea, air-freight or through our land boarders.
Therefore, power, according to the MAN president constitutes a serious treat that is affecting manufacturing in the list of many infrastructural facilities that require urgent attention by the government at improving our export trade. The dearth of alternative source of power has increased the cost of production tremendously and in addition to this the condition of our roads which have created constraints in the smooth movement of both raw materials and the finished product across the country, have not been helpful.
