NEGLECTED MANUFACTURING INDUSTRY, A THREAT TO ECONOMY - NACCIMA
Nigerian Association of Chambers of Commerce Industry, Mines and Agriculture (NACCIMA), has warned that the neglect of the manufacturing industry is a threat to the nation's economy.
The National President, Dr. Herbert Ademola Ajayi , gave this warning at the just concluded Revenue Mobilization Allocation and Fiscal Commission Zonal Advocacy Workshop on 'Economic Diversification and Enhanced Revenue Generation', held recently in Asaba, Delta state.
Ajayi who spoke on 'Reviving the manufacturing Industries in Nigeria,' said the sector is still limping as it has suffered neglect, and thus contributing a paltry 4 percent to the Gross Domestic Product (GDP), and worse still, over 800 manufacturing industries have closed up between 2009 and 2011.
He lamented the non existence of feeder industries to the manufacturing industries, saying that it has inhibited the efficient production of intermediate inputs and spare parts, despite the simplicity of operations in the sector as a result of its usage of local process of manufacturing.
He blamed the continuous decline of the sector to both economic and political factors, which he said includes poor standardization of products, inadequate access to finance, multiplicity of taxes from the three tiers of government and increasing insecurity to lives and property, amongst others.
He, therefore, urged the Organised Private Sector, OPS, to revitalise the sector by developing a responsible working relationship with the government under the much canvassed Public Private Partnership (PPP) arrangement.