NEWS
Nigeria’s Leather Industry can Generate over $1bn by 2025 – NACETEM
The National Centre for Technology Management (NACETEM) on Wednesday said that Nigeria’s leather industry had the potential to generate over one billion dollars by 2025.Mrs Maryanne Onyejekwe, the South-West Zonal Coordinator, NACETEM, made this known at its Research Output Conference 2024 held in Lagos.
The theme of the conference was, “Leather Sector Assessment and Local Content Policy Studies. ”Onyejekwe said that Nigeria was the highest producer of leather and finished leather products in Africa. She added that Nigeria was not only the largest producer of leather in Africa, but that its leather ranked among the highest quality leather found globally.According to her, the industry generates about $600 million to $800 million annually, hence, the subsector can be a key driver of Nigeria’s economic growth and development.“Also, the leather processing and fabricating industry aligns perfectly with national goals by actively contributing to the country’s industrialisation efforts.“To unlock its growth potential and overcome challenges, the leather processing and leather fabricating industry in Nigeria can explore international collaboration and investment opportunities.“Technology transfer and collaboration with international partners can facilitate the transfer of advanced tanning technologies and best practices.“International collaboration can help leather processing firms gain access to the global market, partnerships with foreign distributors and retailers can open doors to new customer base,’’ she said.Speaking about local content in the subsector, Onyejekwe noted that its development and utilisation in all sectors of the nation’s economy would increase employment ratio geometrically.Onyejekwe, who was also a director in NACETEM, said that local content would stimulate value creation and addition, and also improve the per capita income of the critical mass of its labour force.According to her, it is in the light of the benefits of local content that the Federal Government passed into law the Petroleum Industry Act (PIA) and by extension and most germane to the discourse, the Presidential Executive Order 5.She said that the Presidential Executive Order 5 was to develop, promote and enforce local content and Made-In-Nigeria Goods and Services (MNGS).She said that local content development was critical for economic growth and development of the nation, adding that it was more aptly so in the face of dwindling economic fortunes and increasing unemployment.The director noted that Nigeria was more committed to its industrialisation efforts and reducing its dependence on Oil.Onyejekwe said that local content in terms of manpower, raw materials, technologies and machinery for Made-In-Nigeria Goods and Services (MNGS) offered the required trajectory to becoming an industrialised nation.“It will also ensure a major shift from a consuming to a producing nation, thereby increasing import substitution and the nation’s Gross Domestic Product (GDP), entrenching economic diversification, and impacting foreign exchange.”In her presentation, Mrs Olayemi Dickson, Assistant Chief Research Officer, NACETEM, said that Nigeria’s Leather was highly demanded in Italy, Spain, India, China, among others.Dickson said that leather exporting companies in Nigeria produce over 8,000 jobs with export value of about $272 million in 2022.According to her, in order to meet up with international and local demands, the leather firms in Nigeria require a high level of technological capability.“Technological capability include firm level technological capability and national level technological capability.“Firm level capability includes a firm’s specific collection of equipment, skills, knowledge, attitudes and aptitudes needed to choose, install, operate, maintain, understand, adapt, improve and develop technologies.“On the other hand, national level technological capability is the collection of individual firm-level capabilities,” Dickson explained.In his presentation, Assistant Director, Research, NACETEM, Dr Victor Sobanke, said that the leather industry made up about 24 per cent of the Agricultural Sector’s contribution to Nigeria’s GDP.Sobanke said that unfortunately, despite the potential of the industry, the productivity of the sector was decreasing with unsophisticated technology resulting in substandard and low-quality leather products.He said: “In fact, Nigeria is a net importer of finished leather products of about $500 million annually.“Nigeria needs to convert its leather resources to fashionable finished products that are competitive in the world’s fashion markets.’’Assistant Director, NACETEM, Dr Mirabel Omoruyi, in her presentation, highlighted the importance of awareness to local content practices in Nigeria.Omoruyi said that Ministries, Departments and Agencies (MDAs) had average to high-level awareness; while private firms are mentally aware but lacked in-depth understanding of its working details.She recommended that relevant MDAs and stakeholders embark on vigorous creation of greater awareness about local content policies and its provisions, to sensitise public and private sector organisations.Also, the Head, Media and Publicity, NACETEM, Dr Olutunde Babalola, said in his presentation that the biggest challenges to local content adoption are low technical expertise, inadequate infrastructures and obsolete local technologies in the MDAs.Babalola said that private firms had low technical expertise, low industrial capacity, substandard quality of made-in-Nigeria goods, superior substitutes, etc.He said that other challenges were multinational corporations favouring foreign substitutes, bureaucracy in obtaining permits and licenses, substandard quality, obsolete local technologies, inadequate infrastructures among others.Babalola emphasised the need for awareness, while recommending building the capacity of Nigerian experts or workers and providing adequate industrial and infrastructural facilities.The head of media said that other recommendations included improving the quality of Nigerian goods and services and developing a stronger industrial culture with complementary forward-looking regulations.He reiterated the need to create awareness of local content policy and its benefits.The Director-General, NACETEM, Dr Olusola Odusanya, said that some of the analysis done in recent times indicated that among a community of nations with similarities with Nigeria, one error Nigeria committed was lacking an industrialisation focus and export orientation.Odusanya said that as a result of which most industries in Nigeria started facing problems when the local economy started facing problems.According to him, if Nigeria has an industrialisation plan and focus on export, it will have a sustenance mechanism that allows its industries to thrive.The NACETEM boss said: “If, we had a export and industrialisation focus with the rubber industry, we would have ensured and had a situation where tyres, truck tyres, inner tubes and all the auxiliary materials produced from rubber will have been international products rather than local products.“So, there is a need for an aggressive reorganisation of the entire industrialisation system of Nigeria.”Report says that the highlight of the event was the launch of a book by the NACETEM research team. (NANNEWS
Yuletide: Bode George Urges Tinubu to Reduce Petrol Price
Chief Bode George, a former Deputy National Chairman of the Peoples Democratic Party (PDP), has urged President Bola Tinubu to reduce the price of petrol to N300 per litre ,to make things easy for Nigerians during the festive season.
George, the Atona Oodua of Yorubaland, made this plea at an interactive session with newsmen on Wednesday in Lagos.
The price of Premium Motor Spirit, popularly known as petrol, is currently above N1,000 per litre.
According to the elder statesman,Nigerians are going through hardship, the President should give an order to reduce fuel price, specifying time frame the people will enjoy such window of relief.
He said that the federal government as well as well- meaning individuals and businesses could bear the cost of such price slash , to bring happiness to all Nigerians.
The PDP leader, who noted that December and January are special months , said that such gesture could start from the middle of December and run through January.
“I have been thinking, as a Nigerian, what can we do because the anger and the hunger are almost equal on the streets of Nigeria.
“What am I suggesting is that Mr President should sit down with his managers and give an order that from the middle of December to the end of January, the cost of petrol will be N300 per litre.
“The government can absorb the losses in the interest of the suffering people.
“If they (government) want others to contribute, let us know how much that is going to cost and ask people to donate, to bear the cost.
“We will be sending a lot of messages of happiness across the tribes and homes.
“Everybody in Nigeria will be happy because it will positively impact on this period of the year. It is a challenge and he (Tinubu) can do it.
“We need this in this December and January to put smiles on the faces of Nigerians, ” George, a PDP Board of Trustees (BOT) life member, said.
Advising the President to take further measures to bring relief to the people, he said that the gesture would crash prices of essential commodities and services for the benefit of all .
He said that government’s efforts should be concentrated on reducing high inflation rate, unemployment, poverty and youth restlessness in order to create a better future for Nigerians
Speaking on the recent presidential election in Ghana, George noted that Nigeria’s electoral system needed reforms to guard against electoral frauds and manipulations.
According to him, the nation will continue to grope for development if the system fails to encourage best candidates to emerge.
Stating that election must reflect the wishes of the people and be devoid of religious and tribal sentiments, George said that Ghana election should be a wake up call for Nigeria.
“INEC performance must improve. The commission must make sure that the voice of the people is heard in elections.
“Electoral offenders should be made to face the music and sent to jail. We must be very firm about due process, credibility and transparency in elections,” he said.
Urging the President to revisit resolutions in the 2014 Constitutional Conference, George said that the current constitution was not federal in principle and practice.
“We should not deceive ourselves, the constitution is a problem. It is a military constitution, it is not democratic,” he said.
George called on the National Assembly to ensure devolution of powers and electoral reforms that would do away with manual collation of election results and mandate electronic transmission of election results from polling units.
George disagreed with political watchers saying no vacancy in presidency in 2027.
On the dwindling strength of the former ruling party, George, who noted that all organisations had its ups and downs, said that selfish interests and disregard for party rules remained PDP’s major challenge.
He said that PDP could bounce back and win presidential election if the leadership decided to elevate national interest above selfish interests and adhere to the party’s constitution.
“We will tell ourselves some serious old truth. We messed ourselves up. ” he said.
Stating, however, that the PDP was not dead, George said that lack of justice, equity, fairness and the inability to adhere to the party’s zoning and rotational principle cost the party victory in 2023.
Calling on the party’s founding fathers alive to wake up and rescue the party, George said that Nigerians were still waiting for the former ruling party to take over power and put things right. (NAN)
NEWS
Tinubu Set for Groundbreaking of Renewed Hope City in Lagos
President Bola Tinubu, is set to perform the groundbreaking of 2,000 housing units of the Renewed Hope City in Ibeju Lekki, Lagos, in the next few weeks.
Mr Ahmed Dangiwa, Minister of Housing and Urban Development, announced this during an official assessment visit, on Wednesday in Lagos
Dangiwa said Lagos would represent the South-west, while the president would do that of the North-West in Kano, before doing that of the four other regions.
“Arrangements is already on ground, we have gotten sites, and work has commenced for 2000 houses in the Renewed Hope City that we intend to build in Ibeju-Lekki,” he said.
Towards achieving the set goal, the minister said the visiting team also paid a courtesy visit to Gov.
Babajide Sanwo-Olu to discuss area of collaboration between the federal and state governments.He disclosed that the federal and Lagos state governments had agreed to set up a Tripartite committee and ensure all the issues of concerns between the parties were resolved amicably for the benefit of all.
Earlier, the Minister embarked on an assessment visit of deplorable Federal Government buildings and assets across Lagos state in a bid to commence rehabilitation on them in a few months.
Dangiwa said the rehabilitation was necessary as the deplorable buildings posed a challenge and security concerns to the Lagos state government. (NAN)
NEWS
Gov. Alia Presents N550.1bn as 2025 Budget Estimate to Benue Assembly
Gov. Hyacinth Alia on Wednesday presented the sum of N550.1bn as the 2025 appropriation bill to the Benue State House of Assembly for consideration and passage into law.
Alia told the lawmakers that out of the total budget size, N175.4 billion is for recurrent expenditure while the N374.
7 billion is for capital expenditure.The governor said that the total estimate represented a 47.
5 per cent increment over the 2024 revised and approved figure of N373 billion.He stated that the appropriation bill tagged “Budget of Human Capital Development, Food Security, and Digital Economy” was to consolidate the gains made in 2024.
Alia further explained that the proposed recurrent expenditure of N175.
4 billion was 13.55 per cent higher than the previous year.According to him, budgeted capital expenditure of N374.7 billion represents a 71.5 per cent increment on the 2024 revised capital expenditure.
“The budget breakdown indicated that the sum of N212.2 billion, representing 38.52 per cent is for administration; N196.6 billion, representing 35.68 per cent is for the economy; law and justice will take N26.6 billion, representing 4.84 per cent while social welfare will gulp N115.5 billion, representing 20.96 per cent.
“We have the vision. We have the will. And most importantly, we have the people ready to work alongside us to turn this vision into reality.
“Together, we will build a state where every citizen has the opportunity to succeed, where food is plentiful, and where the digital economy opens new frontiers of opportunity for all,” he said.
The governor said the intention of the government was to stay within the limits of its recurring revenue to build the state without accruing unnecessary debts for generations unborn.
He, however, said that since the 2025 budget was a deficit one, it proposed a borrowing plan of a conservative sum of N26bn, representing a modest 4.7 per cent of the proposed aggregate expenditure for 2025.
“This is lower than the state’s debt-to-GDP ratio of 8.2 per cent which is within the benchmark of the 25 per cent debt sustainability threshold.
“Despite these favourable debt ratios, I want to reiterate that borrowing will only be considered as a last resort and for regenerative investment purposes,” he added.
Alia stated that the problem of Internally Displaced Persons (IDPs) remained a challenge, adding that they have reasonably improved their living conditions.
He said the Bureau of International Cooperation and Development has elicited substantial grants from donors, totalling N85bn. (NAN)