The Nigeria Correctional Service (NCoS) has concluded plans to establish shoe, garment, and leather factories in Abia and Kano states through a Public-Private Partnership (PPP).
Chidi Izuwah, Director General, Infrastructure Concession Regulatory Commission (ICRC), said this during the presentation of certificate for the production of shoes, garments, and leather factories.
The News Agency of Nigeria (NAN) reports that the proposed PPP arrangement was between the NCoS and Erojim Investment Limited (a local company), and its technical partner, Poly technologies Incorporation, China.
This would be made using modern technology and quality inputs to produce high-quality shoe, garment and leather products to meet the demand of Ministries, Departments and Agencies (MDAs) in the country.
Izuwah said that his agency played a key role as part of her mandate to ensure that the Nation attracts the required private investment to build the country’s infrastructure stock.
He said that the project would bring an immediate investment of N5.089 billion made up of 80 per cent debt and 20 per cent equity with zero financial contribution by the government.
According to him, the successful startup of this PPP project will lead to the revitalisation of Nigeria’s shoe, garment and leather industries in line with the federal government’s local content policy.
He, however, encouraged MDAs to look inward in meeting their basic needs.
“The ICRC, upon careful review of the Full Business Case (FBC) report has issued this FBC compliance certificate to the NCoS for the project.
“The next stage towards actualisation of this project is for the CG through the Minister of Interior, Mr Rauf Aregbeshola to secure Federal Executive Council (FEC) approval.
“The approval will enable NCoS sign the PPP contract and achieve immediate take-off of the project upon financial close.
“The project would lead to creation of 1,290 direct jobs, multiple of indirect jobs locally and savings on foreign exchange demand to procure uniforms abroad among other significant benefits to the country,” he said.
Responding, the Controller General of NCoS, Mr Ja’afaru Ahmed, said that the service has never had anything close to the proposed project.
Ahmed said that the purpose of correctional service was to ensure rehabilitation, reintegration and reformation of inmates back to the society.
“I want to assure the ICRC that we will ensure that we reach out to other private sectors. This business venture we are entering will give room for training of staff and inmates.
“There is no budget for the NCoS to expand and establish what it want to establish, so we need to bring in private hands with capital in order to be able to establish this.
“And that was what informed us to be able go into this and there would be so many things we are going to do. We will be able to generate revenue for the country and even train the inmates that are out there,” he said. (NAN)