.Urges high custom duty to curb trend
By Chris Ochayi
ABUJA: Producers of Aluminium have cried out over unregulated Importation of Aluminium profiles into the country, lamenting that the practice is killing local production of the product.
The Vice Director, Rongtai Aluminium, Joneay Lei, who disclosed this while speaking with newsmen in Abuja, said there is a huge number of importers who bring in the product and sell below cost price.
This uncontrolled importation, Lei said, is not helping local production.
Besides, he said the huge number of small importers of the product is affecting the quality of the product that litters the market.
The Vice Director who spoke at the two year anniversary of the company, opined that lack of protection for local producers can hurt the market and thereby discourage new investors from coming into the business.
He said, “The challenge we are facing is that there are too many importers, especially the small-scale ones, they group together to bring just 1 or 2 containers in a month, and in order to pay off the money they owe their suppliers from China for the goods in time, they would sell way below market price, which is affecting the market order in a serious way.”
He however said plans are already on to discuss the challenges with the Manufacturers Association of Nigeria (MAN) so as to seek possible solutions.
“We are trying to make approaches to MAN (Manufacturers Association of Nigeria) to see if there’s any possibility to increase the customs duty for importation of Aluminium profile, they replied that they’ll try and make suggestions to Nigerian Customs, so as to maintain a good order in the local market,” he said.
On the capacity of local producers to meet the country’s demand, Lee said Rongtai Aluminium with 50,000 production annually, has 80% of the local demand covered.
He also said the company which started business with just two machines two years ago now has 18 pressing machines, with a total workforce of more than 600.
On the two year anniversary of Rongtai Aluminium product-Solid King, he said the product is already in every part of the country.
The company which has its headquarters in Benin city, Edo state also distributed education materials and cash to two schools as part of the company Corporate Social Responsibility (CSR).
Lei said, the company owes the society and so the need to support children in paying their school fees and bring smiles to their faces.
In his remark, the Chairman of the distributors of Rongtai Aluminium, Abuja chapter, Chief Donald Chiwetalu said the company in the last two years has shown commitment and strength.
He also said the company has set a standard in aluminium in the country, which has made it the number one producer of aluminium profile.
Another distributor, Igwe Emmanuel Chidozie commended the company for its quality and also humanitarian work in the country.
He also encouraged the company to continue to maintain its standard, which he said many have attest to as the leading producer of aluminium profiles in the country.