Local producers decry rising expenses on infrastructure, security services

The Association of Food, Beverage and Tobacco Employers (AFBTE) has decried the deplorable state of infrastructure and insecurity in the country, saying the challenges hamper growth of the food and beverage industry.

The employers called on the Federal Government to find a lasting solution, stating that despite efforts had been made in the past to address the problem, government has not accelerated the pace of development.

President, AFBTE, Patrick Anegbe, who made the appeal at the association’s 43rd yearly general meeting in Lagos, said the gap experienced has been a major drain on, resources member-companies, as they have had to fund their required infrastructure themselves.

He lamented that it was more disheartening that the efforts they have been making had not been recognised by the tax and other authorities by approving reliefs for the expenses their companies had been incurring in the face of government’s inability to adequately provide them.

According to him, businesses have continued to spend huge resources to put in place what normally the government should be responsible for.

“The implication is that resources that should be used to expand businesses are deployed to address the inadequacies that various taxes paid should normally take charge of. This situation needs to change if we are desirous of optimising our productive capacity as a country,” he said.

He also lamented the deplorable security situation in the country and urged the government to brace up to provide solutions to the challenge. He stressed that the absence of peace and stability have had its toll on investments in Nigeria.

This, according to him, is evidence is the poor inflow of Foreign Direct Investments (FDI) over the last couple of years.

“These developments have also impacted negatively on economic growth especially with respect to agriculture, the sector that provides part of the raw materials for businesses in our sector. Employment generation and market expansion, among others, have also been affected negatively,” he added.

The association also called on the government at all levels to prioritise the food and beverage industry by regular engagement with the sector, to discuss its challenges vis-a-vis what the governments could do to enhance their productive capacities.

This, the employers said, was because of the sector’s unique relevance to the welfare of the people. Anegbe frowned at a situation where member- companies are usually being harassed by local, state and federal authorities over multiple taxation.

According to him, “Issues concerning some of the activities of federal, state and local governments that we have consistently highlighted at our yearly general meetings have not changed. In many instances, they have assumed unimaginable dimensions, the impacts of which have been to the detriment of member- companies.

“The issues include the penchant of government officials not disposed to following the law. They have also reared their ugly heads in the indiscriminate imposition of taxes and levies, in addition to the disruption of some of our member – companies businesses, sometimes in a most uncivilised manner”