...Nigerian government is anti-industry, say manufacturers
By IKENNA EMEWU
Saturday, December 4, 2004

•Engr. Dr. Chukwiyekwu
displays two products from Nnewi industry and imported one.
Photo: Sun News Publishing

Nnewi, an emerging urban area in the South eastern part of Nigeria is fast turning into a mega-industrial belt that would soon merge with the already sprawling Onitsha commercial region to form a business triangle with Aba, all in the eastern region.

Saturday Sun conducted a week-long coverage of the activities of the area to come to the incontrovertible conclusion that the sloganeering of the federal government in the area of industrial growth is a mere joke that has no substance.

Although the manufacturers receive no encouragement from Nigerian governments at any level, the international community through the UNIDO are appreciative of the efforts of the Nnewi industralists to turn around the nation’s economy through job provision and product output, and has its presence in the town.

UNIDO facts
There are about 25 operating manufacturing industries of the medium to large scale rating in Nnewi. In addition to this are about 100 small ones whose wheels turn out products that enrich the nation’s economy. Their products constitute a reasonable and substantial bulk of the goods volume that adorn the shops in Nigerian markets. These products and the financial value they add to the nation’s market create a great impetus for the economy of Nigeria. The various industries employ at least 8,000-9,000 Nigerians. This is the position of not just any person or group but the United Nations Industrial Organisation (UNIDO) an agent of the World body confirmed this to Saturday Sun which Nnewi during a chat at “the fact-finding visit to the city. There are in addition 20 aluminum smelting/foundry companies, 15 machine shops and 6-10 others in manufacture of springs”, said UNIDO.

UNIDO findings on problems
An encounter with the UNIDO officer in Nnewi, Engr. Dr. Sam Chukwujekwu, National Expert-Cluster Broker, in his office at the premises of the Nnewi Chamber of Commerce, Industries and Agriculture was an eye-opener on what is biting the Nnewi industrial sector.
Chukwujekwu noted that UNIDO has carved out three industrial clusters in the nation, all in the east. Apart from the Nnewi Light Engineering Industrial Cluster, there are two others – Textile and Leather Clusters in Aba, Abia State. But he disclosed that “there are so many problems that stand in the way of the Nnewi industrialists barring them from attaining optimum capacity which includes the non restriction of importation of goods similar to those produced by Nnewi industries from the South East Asia and China. This big snag compounds the already depressing and threatening crisis of infrastructural unavailability. In pursuit of a solution to these problems, UNIDO has already commenced negotiations with NEPA, involving also the Manufacturers Association of Nigeria (MAN) and the Nnewi Chambers of Commerce and Industries to ensure NEPA builds a power station in Nnewi. Dr. Chukwujekwu disclosed that the execution of the project would entail the extension of a 132KV high tension power line that would generate 60MVA of power, a project that would gulp N1.2bn. Money or investable capital is one of the problems the industries face because the banks refuse to give them loans. The fear of the banks is that industrial business would hold their money for a long time before maturation and with a slim profit margin.”

How UNIDO assists industries
“The industries need to talk to each other as they talk to their customers. We found out that they see each other as competitors instead of partners in progress. So the centre of UNIDO activity here is to make them develop a relationship that would enable a closer interaction among them whereby one would rely on the other for one service or the other”, said Chukwujekwu.
UNIDO has also been busy organising industrial training for staffers, including one that held on Wednesday, November 24 at Otolo Nnewi. According to the UNIDO Nnewi chief, the efforts of the body are geared towards improving the quality of the products of the industries so that they could beat those imported from Asia. “To achieve this intention, we have always encouraged the improvement of quality of products to conform with Nigeria Industrial Standard (NIS) and the Standards Organisation of Nigeria (SON) as well as the International Standards Organisation (ISO) standards. We have also gone into agreement with the Federal Ministry of Science and Technology to conduct a course on Engineering Drawing for staffers to ensure proper training.” Since UNIDO opened shop in Nnewi last April and has some more time to spend in its three-year assistance in Nnewi, Dr. Chukwujekwu has high hopes there would be great improvement in in Nnewi soon.

 


 

 

 

 

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