The managing director of Three Points Industries Limited, Adefolaju Soetan, has called on the federal government to address the instability in the country’s economy which is of great concern to manufacturers.
Soetan made the call at the on-going 2020 Lagos International Trade Fair, urging the government to streamline the number of regulatory agencies which, according to him, is adversely affecting the time and finance of manufacturers.
Speaking to newsmen on the challenges confronting players in the manufacturing sector, he said, the instability in the economy was a concern to all manufacturers, adding that the challenge of insecurity, instability of raw and packaging materials and delivery in terms of transportation network was negatively affecting manufacturers which the federal government must deal with.
According to him, “If we are assured of government support in terms of fair regulatory agencies, definitely manufacturing industries will thrive. When I say fair, I mean every party involved must be fair so that we all enjoy the dividend of a stable economy.
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“There are so many regulators. If the number of regulatory agencies can be streamlined then the industries will be better for it. We are dealing with so many government ministries and agencies which at the end of the day perform one and the same task. They all come for the inspection and follow up.
“And of course, you have to ensure that you satisfy and meet up with so many demands. There is a need for the government to have a clear and simple regulation and a common regulator so that there will not be a case of three ministries and agencies performing the same function. This is affecting the manufacturing sector financially and time wise. It will affect the bottom line of any manufacturer.
“But in spite of these challenges, we as a brand keep afloat. All our products are manufactured in Nigeria. Our segment is the household cleaning sector. We have a different range of products from powdered insecticide to toilet bowl cleaners, hard surface cleaners and hot water fabric starch”.
Speaking further on the challenges, Tayo Ogunfowoke, Brand Manager, Three Points Industries Limited said the federal government needs to fix the epileptic power supply and grant financial support to manufacturers.
Ogunfowoke, stressed that the manufacturers were operating under a difficult condition in Nigeria that needs urgent assistance financially and otherwise, adding that the biggest challenges manufacturers are facing is epileptic electricity supply.
“I have to commend our local industry players who without support from the Federal government keep striving to produce quality products. With the condition we are in, I would say, manufacturers are doing well but it could be better. We need financial support especially with the foreign exchange.
“One of the biggest challenges manufacturers are facing is epileptic electricity supply. Almost all manufacturers run on PHCN. We are running on diesel and on generators to keep ourselves in business. We spend a huge amount on electricity generation alone and by the time the PHCN supplies electricity, it might not be high enough to carry the machinery.
“If the government could fix electricity and the foreign exchange comes down, it will be a huge relief for manufacturers. If the government gives a discount on tax relief, it will be fine. Our product removes all stains with minimal effort,” he added.