MAN Expresses Worry Over High Cost Of Production

The Manufacturers Association of Nigeria (MAN) has expressed concern over the high cost of fund available for the manufacturing sector, noting that the precarious state poses threat as more jobs would be lost if nothing is done to address the situation in the country.

Indeed, the sector has the capacity to employ thousands of unemployed youths with the right policies and enabling business environment from the federal government.

The president, MAN, Dr. Frank Jacob, stated that the sector is going through a very difficult time, pointing out most manufacturers still have to depend on imports for their vital raw materials for production.

”We are going through a very difficult time and there has been a lot downsizing our work force, we are not happy downsizing our workforce but once things are beyond our control. Most of the manufacturers still import most of its vital raw materials into the country. We are trying to look inward to get some of our raw materials, but it is still not enough and even if we get them locally, they are expensive than the local ones,” he said.

 “With the issue of foreign exchange and you are aware that some items that have been banned. The 41 items by the Central Bank of Nigeria (CBN) and the companies affected by this policy are not finding it easy which means that they cannot get the foreign exchange to get their raw materials which means they have to find another means which are most times very expensive, but the new steps the CBN is taking we believe that we will begin to see light at the end of the tunnel.”

 “We are very resilient and we are determined because we know this is our country where other countries have experienced similar challenges in the past and they surmounted these challenges. I believe before the end of the year, something positive will happen in this country,” he added.

An economist, Mr. Henry Boyo, said the manufacturing sector should be the galvanising agent for investment expansion, economic diversification and employment of labour in Nigeria.

But unfortunately, the sector has not been able to satisfactorily perform these roles because of government misguided government policies. He said that the government is expected to provide the enabling environment for such positive participation of the sector.