Ogun, MAN task firm to boost economy, increase employment
For Nigeria to come out of poverty, manufacturing firms must revive the economy by increasing employment of more skilled locals where their businesses are cited.
These were the submissions of the governor of Ogun State, Dr. Dapo Abiodun and the Manufacturers Association of Nigeria at the weekend, during the commissioning of Jaro Industries Corrugation Factory in the state, which attracted the government, business associates from the private sector, traditional rulers and members of the community.
The governor, who was represented by the Managing Director of the Ogun State Property and Investment Corporation (OPIC), Ibiyemi Adesoye, said his core focus is on industrialisation, which would create more employment of skilled labour, thereby alleviating poverty, while the state revenue increases.
Abiodun said he is very particular about the organised private sector in ensuring they get conducive business environment for industrialisation and development of Ogun State, which would also boost more job creation and employment for people of the state.
To this end, Abiodun said he has signed into law, the Investment Promotion Act of Ogun State 2019 and the Security Trustfund, where hundreds of vehicles are donated to the police to ensure security of lives and properties, as well as business of both local and foreign investors to thrive.
The Director General, Manufacturers Association of Nigeria (MAN), Segun Ajayi-Kadir, said 60 per cent of Nigerians are youths, noting that the country is sitting on a ticking time bomb if the government and private sector do not get them employed.
He said while the private sector is allowed to establish in the country, they have added “something that is great to this country by creating jobs and giving government money to grow the economy through taxes.’
Ajayi-Kadir stressed that the government should give the private sector the freedom to run the business of the country, noting that all government-run businesses have literally collapsed, while he urged the government to partner with the private sector.
“Government needs to provide the enabling environment that will allow this critical sector to grow. Ogun State should continue to create an environment that would allow many more manufacturing firms to establish,” he added.
Meanwhile, the Chief Executive Officer, Deekay Group of Companies, Kavine Vaswani, said while there are many challenges posing threat to the survival of businesses in Nigeria, the new corrugated factory, which is worth about USD 12 million would take on board more volume of local human resources as its commitment to drive growth of Nigeria’s economy.
He said the human resources would be approximately 250 full-time employees and 350 contractually workers from within Ogun State, while the company seeks to increase employment to a total of 800.
Vaswani added that as part of the government’s effort to grow the economy with local production, the company leverages on 70 per cent of local materials and 30 per cent of imported materials, which cannot be sourced locally for the production of the packaging products in Nigeria.
“We are happy that we are able to source materials locally rather than being import dependent and going through those channels, which sometimes get frustrating.
“About 70 percent will be locally sourced and 30 percent of materials that we cannot get locally will have to come from abroad.
“We have two suppliers locally that is able to produce just in time for the main raw material of the craft line abroad. One is an India company while the other is a Chinese company, both within the vicinity,” he added.