Franklin Alli
AHEAD of the nation’s 50 years of independence anniversary, Manufacturers Association of Nigeria (MAN)is examining the state of the manufacturing sector at its 38th annual general meeting, today, in Lagos.

Cement being loaded from ship into silo before being bagged at Dangote Cement Plants, Onne, Port Harcourt

“The theme of the 38th annual general meeting is “50 years of Nationhood: the status of the manufacturing Sector in Nigeria.”

It will be recalled that during their AGM last year , MAN revealed that many manufacturing firms in the country have either closed shop or suspended production and about 820 such companies have done this between 2000 and 2008 .

“In the last 12 months alone 37 companies have closed shop bringing the dismal corporate fatality to a disturbing 857 failed companies,” said MAN President, Alhaji Bashir Borodo

MAN has identified the twin problem of multiple taxation and poor state of infrastructure as the cancer killing Nigeria’s industries .

On a broader and more national scale however what has assaulted the performance of industry in Nigeria more than ever in recent times are the revenue generation drive of state governments, multiple taxation and duplication of taxation, absence of infrastructure and meaningful road rehabilitation in industrial areas in spite of the huge taxes and levies.

As a result the production and running costs of companies have become so high and grossly dislocated due to closures by government especially with regard to breaches of revenue driven effluent treatment and disposal requirements. Also there is the very costly problem for our industries of coping with the exorbitant price of raw materials coupled with the delays caused by the bureaucratic process of clearing raw materials through the sea ports.

According to John Aluya Chairman of Apapa branch of MAN there is urgent need for consistent government policies in the provision of power which is hardly available but which is the life line of industry, good road networks , improved transportation facilities, adequate and efficient security system, removal of obnoxious and illegal taxes and charges, as well as provision of special intervention funds for the revitalization of the sector.

Director General, Mr. Jike Mike, told Vanguard on Tuesday, that the Governor of the Central Bank of Nigeria, Malam Sanusi Lamido Sanusi, is the guest speaker for this year’s edition of the AGM.

Meanwhile, in an effort to stimulate the comatose manufacturing sector, the Central Bank of Nigeria (CBN) has granted a N150 billion life-line ,saying some 150 entrepreneurs and existing industries are to get N1 billion each to revive their operations.

The N150 billion is part of the N500 billion infrastructural revival fund packaged late last year for power and other baseline infrastructure revival.

The credit carries a 15-year tenure with an interest of seven per cent. The CBN Governor, Malam Sanusi Lamido Sanusi, who announced the good news in Abuja said plans had been concluded for the signing of agreement with banks that would be used for the disbursement of the funds .