Finance

December 19, 2011

Chinese manufacturers toying with Nigeria Industrial Standards

By Franklin Alli
SUSPENSE filled the air. The occasion was Standards Organisation of Nigeria Stakeholders’ interactive forum on generator importation and assemblage in Nigeria at Manufacturers Association of Nigeria House in Lagos.

In attendance were representatives of Binatone, Honda Manufacturing Nigeria Ltd, Citizens Electronics, Grand Products Nigeria Ltd, Jubaili Bros Engineering Limited, including Mikano International Limited, among other companies from different parts of the country.

No sooner the Director General, Dr. Joseph Odumodu, entered the hall, than he walked briskly to the high table, exchanged pleasantries with a couple of dignitaries and sat down.   All eyes were on him, and all ears were anxious to hear what he has to tell the stakeholders.

He started off  in a metallic voice: “I am unhappy that Nigeria is the biggest country in the world using electricity generator to run the economy.  It’s bad enough.”

“Distinguished stakeholders in the generator importation and assemblage business in Nigeria, this forum is, therefore, organised to chart a positive way forward for all of us in this sector where we earn our living.  The meeting has been necessitated majorly, by our observation of a high level of non-compliance to standards and codes guiding operations in your sub – sector. This interactive forum is to ensure that we as stakeholders collectively rub minds in plugging all identified loopholes in your sub-sector, which is involved in the import and assemblage of electricity generators.”

According to him, findings from samplings from the ports and borders, market surveys activity and complaints from customers on both low and high capacity generators in the markets, showed that over 50 percent of generators in the markets are rated above their actual capacity, while over 30 percent of low capacity generators failed overloads protection tests.

Furthermore, laboratory tests and analysis also showed that circuit breakers installed on most of the generators failed short circuit tests; most generators in the markets have very high level noise levels, including many so called sound-proof generators, a high rate of non-functioning oil levels switch.

It was also discovered that many high capacity generators overheat at about 80 percent load of maximum declared capacity, and there is high level of counterfeiting of genuine and known brands of generators was discovered including general low quality of winding wire for the coils in generators.

It was also discovered that the life cycle of generators in the market is usually less than expected thereby creating electronic –waste in the environment with its attendant health and environmental hazards.

“In view of the above findings, I have called this meeting to inform you that all generators coming into the country must be rated in accordance with Nigeria Industrial Standards. Unregistered importers of generators and assemblers must ensure registration of their products not later than one month from today, while those with old registration must renew their registration within one month,” he said.

He warned that all generators offered for sale in Nigeria must be properly rated in accordance with specifications in the applicable standards, stressing: “all generators offered for sale in Nigeria must meet the required sound levels in the applicable standards; that all imported and locally assembled power generators must meet the specifications in the applicable Nigeria Industrial Standards; importers of substandard generators will henceforth be prosecuted in addition to having their consignments seized.”

He further charged the stakeholders, saying: Don’t import all your life. Set targets, say, for instance, in three years time, I will stop importing and start assembling.  To become one of the top 20 economies by 2020, Nigeria should stop buying foreign products, and start selling to the world.”

“As a matter of fact, we should be talking about generator manufacture at this stage of our development and not wholesale importation.  One way to start is by ensuring the quality and durability of the ones which we have no option as at now, but sell.

SON is ready to render the required support to operators in this sector who desire genuinely to raise their trades in accordance with quality standards. A sanitized generators imports and assemblage sector is in the best interest of us as dealers and our country, Nigeria.”

Registration and re-registration, he said is to enable the Agency to create a robust data bank of genuine stakeholders in the sub sector. And they will be using the data bank to check import lists. Importers should obtain Nigeria’s Standards for generator and make it available to their manufacturers abroad so that none will claim ignorance.

“We are very serious with what we are saying; please keep to the law.  We need to clean up the system,” said Odumodu.

In their responses, the stakeholders collectively cried out that they are not responsible for the influx of substandard generators in the system.

In his submission, Mr. Chris Igbokwe, who represented Grand Products Nigeria Ltd; noted that failure for compliance was due to lapses on the part of SON.

He said that dealers have the problem of getting Chinese manufacturers to comply with Nigeria Industrial Standards.

Corroborating, the representative of Citizens International, asked SON to protect Nigerian dealers, noting that even though they give the standards to Chinese manufacturers, but they don’t comply.

SON, he said, should go beyond certifying importers, and b strengthening inspection from China.

The stakeholders further begged SON to give them three months moratorium to re register their products instead of one month so that they can advise their manufacturers abroad.