The issue of scaling the sales and support of made in Nigeria products is very hard and authorities are getting exhausted with various approaches used to gain the trust of the Nigerian populace. As the GDP generated from locally made and sold products drops rapidly, there must be a way the vast stream of Nigerian SMEs who are producing locally made goods should benefit for their hard-work. But then, there is the problem that looms, it has shattered the hope of the common and average sized production companies locally. Whats the hope for made in Nigeria products?

According to Trading Economics, Imports to Nigeria surged 45.8 percent from a year earlier to NGN 1042 billion in June 2019, boosted by purchases of manufactured goods (100.5 percent); raw materials (38.5 percent); agricultural goods (1.6 percent) and solid minerals (86.9 percent). Among major import partners, purchases rose mostly from China (78.7%), India (70.2%), Japan (92.2%) and the US (181.6 percent); but fell from the Netherlands (-23.1%) and Spain (-34.6%). Imports in Nigeria averaged 234304.14 NGN Millions from 1981 until 2019, reaching an all time high of 2209385.78 NGN Millions in August of 2018 and a record low of 167.88 NGN Millions in May of 1984.

In a bid to boost local sales and production, President Muhammadu Buhari directed the Central Bank of Nigeria to block food importers’ requests for foreign currency in a bid to boost local agriculture in Nigeria.

It is a continuation of a policy that the president began after coming to office in 2015, when he banned the use of foreign exchange to import dozens of items including the staple food, rice. Since then, domestic production has increased, but the policy has been criticised for not taking the low capacity of local farmers into consideration. The policy has also coincided with a rise in food & product prices, which has been blamed on insecurity in some of the country’s main food producing areas.

To enable you understand this issue, lets consider the following pointers:

What is Made in Nigeria Product?

A made in Nigeria product is a product (goods or even services) that is produced locally in Nigeria. This means that the product (goods or services) was not imported. The materials used for the production of such goods and services were obtained locally.

What are the Challenges of Made in Nigeria Products?

For the average to the large sized Nigerian production businessess, there worries are numerous. They include:

Corruption

One of President Buhari’s top priorities is to root out corruption. A recent poll conducted by NOIPolls and LEAP Africa revealed that 85% of adult Nigerians believe that the prevalence of corruption in the country is responsible for the bottlenecks that characterize the difficulty of doing business in Nigeria. Reasons given for the prevalence of corruption in Nigeria included weak government institutions (24%) and poverty (18%). Well-connected business people gain from anti-competitive practices that shield Nigeria from market forces. The Government of Nigeria has sought to address corruption through the Economic and Financial Crimes Commission (EFCC), the Independent Corrupt Practices and Other Related Offences Commission (ICPC), and the Extractive Industries Transparency Initiative.

Power Supply

A lack of a consistent access to reliable power costs businesses and the economy as a whole. Even with access to energy, unreliable power makes operating a business even more challenging than usual. Nigerian business and manufacturing enterprises experience power outages. As a result, firms lose sales revenues in the informal sector. Where back-up generators are limited, losses can be as higher. These losses have severe consequences for the health and growth of the wider economy, not to mention the dramatic impact in achieving other development objectives outlined by the sustainable development goals (SDGs).

Owners of small businesses in Nigeria seem to have adapted to the poor power and epileptic power supply in the country as they have resorted to alternative forms of getting electricity to power their businesses. Those that suffer most now are the SMEs and the micro operators that rely on generators, more so now that the fuel is not even available, their problems have been compounded. With a remarkable increase in operational cost and poor purchasing power of consumers, the manufacturing companies have had to lay off thousands in the last six months, with about three million still to go.

Selling Platforms

The average size and even large size Nigerian business relies on the facial selling pattern where the goods are bought at a cash rate during market sessions. The whole world are leveraging on different marketing schemes to help boost their business presence. Unfortunately, many SMEs who are into production of made in Nigerian goods are yet to catch the cruise.

The selling platforms such as Jumia, Konga, and even Amazon does not fully feature Made in Nigeria products as their strong points. Why? Policies, intents and objectives differ with respect to individual e-commerce companies. The platforms do not recognize the average Nigerian business on the streets. The average Nigerian production companies are in awe, as they see fellow citizens purchase foreign products that they can produce with more superiority and style.

Finally a Hope for Made in Nigerian Products!

The e-commerce scene is pretty much dominated, but there is a new kid on the block that promises to bridge the gap between foreign and made in Nigeria market. Launching on October 1st, Keanyi is the first indigenous e-commerce marketplace to sell strictly only made-in-Nigeria products! With a large database of vendors they seek to garner, it will definitely become a force to be reckoned with.

Currently, there are some vendors on the new platform. In time, the sore story of the poor selling process faced by Nigerian indigenous companies will become a history. Until then, we can only be optimistic as to what the future hold for Keanyi?—?Our Own!

Conclusion

The need to patronize made-in-Nigeria goods cannot be overemphasized as it is one major way to economic growth and development. The economy of any nation grows rapidly when locally made goods are promoted through patronage, first by its people then through export.

It is, however, dispiriting to know that we obviously have been growing other countries’ economies through our over-dependence on imported goods, especially those which have local substitutes. Nigeria can easily experience a breakthrough in the quest for local content development and a stable, strong and advanced economy if Nigerians would patronize made-in-Nigeria products.

Featured image  (source Nigerian News Direct)

I don’t know if the Federal Government is aware of the state of the Enugu-Onitsha Expressway. I believe that even senators and house members from this side of the country aren’t aware of it too. I mean, there is no way someone with authority can pass through that road and not do something about it. Believe me when I say that Enugu-Onitsha Expressway is a death trap. It is indeed a disaster.

The part of the road that is so bad right now is ‘Ugwu Onyeama’ to 9th Mile axis. This place is just an embarrassment to the nation. The last time I passed there I was asking if it was still an expressway or a cleared farm awaiting cultivation. To avoid this part of the road, motorists now pass through Milliken Hill into Ngwo and then burst out at 9th Mile. But heavy duty trucks and other long vehicles are barred from Milliken Hill, so they have to enjoy the Ugwu Onyeama axis.

Another section that is also very bad is the one that ran through Ugwuoba town. It looks like Ugwuoba has been mapped out to trap motorists every year, especially during the rainy seasons. When this area becomes so unbearable, a construction company will be hired to do a little patch work on it. By the next rainy season, everything would have been washed away, and the old story continues.

The only place that is good enough to be called an expressway is from Agu Awka to Amawbia Bypass, and then from Mkpu Odumodu, Umunya to Onitsha. Beside these ones, every other part of the road is a complete mess.

When I came down East in 2016, I saw RCC (Reynolds Construction Company) working on the road. I was like “Thank God o, at least RCC will do a good job there”. Months later, Niger CAT started on another section of the road. Well, people were sceptical about them because their works didn’t look so ‘solid’.

So, that was in 2016, about three years now, and our roads are still bad. I don’t know what’s going on but I noticed that these construction companies weren’t steady with their works. They may work this month and disappear for another two or three months, or even more. People kept speculating on the possible causes of this irregularity. Some said FG is owing them, others said the cost of materials has been affected by inflations so these companies couldn’t work with the old cost. Anyway, those were speculations.

Now, some parts of the road have been constructed – between Oji River and 9th Mile – but it is only in one direction, which has just two lanes. But for reasons best known to RCC, the section of the road they constructed is blocked so that motorists can’t use it, and it’s not as if they are working on it right now. In essence, the bad side of the road is still being used.

My concern about this road is that it carries heavy traffic. Vehicles of different sizes ply it. The road is ever busy. This is why I still wonder why it is in such a deplorable state.

I know a lot of people benefit from this bad road. Among such people are the hawkers. They take advantage of the bad state of the road to sell their wares. It’s as if they knew that travellers have stayed long on the road and will need some refreshments. But then, I don’t think these hawkers will want to be on that road in the night because of the high rate of accidents and thefts that happen there.

Honestly, I don’t know if the FG is waiting for a national disaster to happen before they do something. My question is why is that road still in that state? Since it has been awarded for construction, why is it still the way it is? What is the Federal Ministry of Works doing about that road? Has the road been written off? I mean, what is going on?

When people start talking about being marginalised they have a reason for that. But in this case, I believe it is not a case of marginalisation. I am seeing corruption written all over it, and nobody is saying anything about it.

Well, I hope the people concerned actually know what they have been causing innocent Nigerians because of the bad state of the road. The first problem motorist encounter, like I stated earlier, is accidents. There is no day you will pass that road without seeing one form of accident or another. Lives have been lost, vehicles have been damaged, bones have been broken and people have been sent to hospitals.

The people I pity most are the heavy duty trucks and tankers with merchandise that fall regularly. I know a lot of people have lost their business capitals on that road. I’m saying this because the rate at which heavy trucks fall and smash all that they carry is disheartening. There are some you’ll see and you know that the owner could recover some and sell, but some are totally damaged. I can’t just imagine what it feels like carrying your wares from a far distance only to lose them when you are closer home. Trust me, it is very painful.

The way motorists drive on this road so that they can meet up with time is quite appalling. The truth is that the journey that is supposed to last for an hour thirty minutes takes about three to four hours to complete. Because some drivers want to get to their destinations on time, they drive recklessly through the potholes and gullies. The problem with this type of driving is that it either causes accident or damages the car.

The body pains travellers experience after plying this road is worth mentioning. There is no day I pass that road that I don’t end up with headache and aching muscles. Some people even throw up inside the car. Honestly, you wouldn’t want to ply this road unless you have something important you are going for.

To be honest, I believe there is a reason why federal and the concerned state governments ignore this death trap called road. It is quite unfair that people have to pass through a lot just to go for their normal businesses. Federal Ministry of Works need to explain to Nigerians why a road, whose contract for reconstruction has been awarded for many years now is still the way it is. Truly, Nigerians need to make their public and civil servants accountable. They should stop taking us for granted.

The long awaited rehabilitation of Nigerian refineries is set to commence at last. With work at the Port Harcourt refinery kicked off in March, the GMD of Nigerian National Petroleum Commission (NNPC), Mallam Mele Kolo Kyari, said on Saturday that rehabilitation work will commence on the Warri and Kaduna refineries in January, and will be delivered at full refining capacity by 2022. He said this while touring the Port Harcourt refinery, and inspecting the progress of work going on there on Saturday.

According to the press release by the NNPC’s Publicist, Mr. Ndu Ughamadu, the visit of Mallam Kyari is an evidence of the national oil corporation’s determination to revive oil refining business in Nigeria by getting the refineries functioning again.

Mallam Kyari assured Nigerians that it’s not business as usual this time, that no stone will be left unturned until the refineries roar to life. And that will happen with every sense of urgency.

“We will stick to time; we will deliver this project by 2022. We will commence actual rehabilitation work in January. We will do everything possible between October and December to close out all necessary contracts for us to deliver on that project. I believe with the support we have from the shareholders – government of this country, the entire staff of this company and the contractors, I believe it is doable and we will deliver the project.” He said.

He also tasked the stakeholders of the project, Tecmmont, Eni/NAOC to be fastidious, reminding them that their reputation is on the line. The mandate is to deliver functioning refineries to over 200 million Nigerians by 2022.

“It’s no longer about business now, but a reputational issue. For the refinery, Tecmmont, Eni/NAOC and NNPC, let us be conscious of the fact that our reputation is at stake as far as this project is concerned. The NNPC leadership has promised this country that our refineries will work, therefore, we must work not to disappoint over 200 million Nigerian stakeholders.” He emphasized.

Reacting to his statement on urgency, the Tecmmont project Manager, Mr. La Mattina Carmelo, said that the inspection aspect of the work is at 91% while the final report and EPC proposal stood at 75%. He therefore, promised to deliver the first phase of the project in 3 weeks from now.

The representative of Eni/NAOC, Daniele Tamburini, also affirmed that the companies are following international best standards in executing the rehabilitation.

However, the news has been received by Nigerians with skepticism. Many are saying that it is another window dressing by the NNPC, designed just to loot public fund. The quest to rehabilitate the refineries have been a bone of contention that has endured through successive administrations, and each time, the project has failed to produce functional refineries.