The contribution of the manufacturing sector to the nation’s Gross Domestic Product rose to N6.616bn in the third quarter of last year, statistics from the National Bureau of Statistics indicated.
An analysis of the nine month revenue showed that the sector added N2.141bn to the economy in the first quarter; N2.125bn in the second quarter; and N2.35bn in the third quarter.
The figures also showed that the manufacturing sector surpassed the oil and gas industry by N1.93bn during the nine month period.
For instance, while the report, which was obtained on Friday, indicated that the manufacturing sector contributed N6.616bn in the months under review, the oil and gas added N4.677bn to the economy.
However, this is in contrast with the output of the oil and gas industry in 2014, which added N7.574bn, an amount that was N1.093bn higher than the contribution of the manufacturing sector for that year.
The manufacturing activities captured in the data are the oil refinery, cement, food, beverage and tobacco; textile, apparel and footwear; wood and wood products; pulp, paper and paper products; as well as chemical and pharmaceutical products.
Others are the non-metallic products; plastic and rubber products; electrical and electronics; basic metal, iron and steel; motor vehicles and assembly among others.
But the major revenue earners for the sector were given as food, beverage and tobacco, which contributed N3.15bn during the first three quarters of 2015.
It was reported that the exploration of petroleum and natural gas was becoming unprofitable due by the declining price of crude oil in the international market, which was almost equal to the cost of production.
Since the gradual fall in the price of crude oil in the international market from $114 in June 2014 to around $29 per barrel currently, the revenue generation ability of the industry has been in jeopardy.
Despite this gap between the two sectors, the organised private sector lamented that the 2015 financial year was one of the most challenging as difficulties in the business environment. Experts listed some of the problems as insecurity in parts of the country, weak infrastructure, foreign exchange restrictions, funding constraints, policy inconsistency and the quality of regulatory institutions.
The Lagos Chamber of Commerce and Industry said that the sector lost about N1.46tn in stalled business activities in the fast moving consumer goods, steel, furniture, pharmaceuticals and manufacturing sectors due to forex shortages.
The Manufacturers Association of Nigeria also identified the high cost of credit, poor power supply, high cost of alternative energy and non-availability of local input material as major challenges to the growth of the sector.
It stated, “The average cost of borrowing charged to manufacturers during the period was high and at double digit, which is discouraging to further investment or re-tooling in the manufacturing activities.”
The Director-General, Nigeria Employers’ Consultative Association, Mr. Olusegun Oshinowo, urged the government to give more attention to refining the petroleum products to improve the performance of the manufacturing sector.
In spite of the poor state of the economy, he said that government should not abandon any of its business-enhancing policies.
“For example, we used to have backward integration programme in Nigeria. The purpose of which is to encourage industries to source raw material from the economy, but the government has abandoned that policy and everyone is importing. Irrespective of the state of the economy, you must be clear about the quality of your policy, the outcome of your policy and stay consistent to your policy.
“The local content law in the oil and gas has positive impact. If in the same vein the government had come up with a policy that will promote forward integration in the oil and gas, the output from that sector and its contribution to the GDP would have been significant. Years back, if we had embraced a policy of refining our crude oil, it would have expanded and created more employment than what we have now. It would have saved foreign exchange and earned more for us.”
Lagos State to Support Businesses Looted by Hoodlums
Lagos State to Support Businesses Vandalised and Looted by Hoodlums
Lagos State has announced plans to support businesses looted and vandalised by hoodlums last week.
The Deputy Governor of the stated, Obafemi Hamzat, made this known in a series of tweets put out on Friday.
He directed businesses vandalised in the state to fill a form attached through the link below.
“If you are a Lagos based business and your store got looted/vandalized this week, please fill this form by @LSETF https://t.co/lwPiXvFzTp. Let’s do what we can to support you,” he tweeted.
This was after Governor Babajide Sanwo-Olu said the state had activated the process of healing the destruction and massacre that happened earlier in the week when security operatives in army uniforms opened fire on armless #EndSARS protesters.
Sanwo-Olu said, “My heart bled after I went out today for a first-hand assessment of the destruction of assets of the Government and private properties. The level of destruction observed indicated that the violence was more than just a peaceful protest and agitations for police reforms. The proportion of devastation is a lot. This is not the Lagos that was handed over to me on May 29, 2019.
“Moving forward from the destruction, we have to continue the process of healing ourselves. We need to stop some of our citizens still using social media to instigate or incite the people. It will not be under my watch that we will lose the city that has the largest economy in the entire black nation. Enough is enough. I have moved around and I saw that our people want peace. On this, we are committed to bringing lasting peace back to the State.”
TVC Resumes Operations in Lagos Office Following Hoodlums Attack
TVC Commences Operations Less Than 72 Hours After Hoodlums Attacked and Destroyed the Company’s Lagos Office
Television Continental (TVC) station has resumed operations less than 72 hours after its Lagos office was attacked by hoodlums that hijacked the #EndSARS protest.
The television station was attacked on Wednesday by criminals would believe that the media platform was owned by one of the top Buhari supporters, Mr. Bola Ahmed Tinubu.
The attack followed the shooting of unarmed #EndSARS protesters, who had gathered to protest against the activities of the Special Anti-Robbery Squad (SARS) unit of the Nigerian Police Force (NPF) at the Lekki Toll Gate on Tuesday.
The peaceful protesters were shot by security operatives in Nigerian Army uniform before the commencement of curfew imposed by Governor Babajide Sanwo-Olu of Lagos State.
The killings now tagged Lekki Massacre attracted global attention as global leaders condemned the Federal Government or whoever ordered the shooting and called for an immediate investigation into the matter.
On Wednesday, criminals allegedly sponsored by interested parties to dislodge peaceful protesters took advantage of the situation to wreak havoc across Nigeria’s commercial hub, Lagos State, as several private establishments businesses were attacked and looted by these unscrupulous characters.
One of the establishments attacked was the National Newspaper also linked to Mr. Tinubu.
The hoodlums stormed TVC on Wednesday morning during a popular morning show, Your View, anchored by Mrs Morayo Afolabi-Brown, the programme did not end before the television station went off air as it was immediately set on fire.
However, Investors King gathered that TVC resumed operations on Saturday morning, although regular programs were yet to resume fully.
As at the time of writing, the station was airing promos of various programmes and from what we gathered, regular programming will return very soon especially from its Abuja office.
Ambassadorial Deal: Puma Names Wizkid as Brand Ambassador
Wizkid is Puma Latest Brand Ambassador
Puma, global sportswear, has named Nigerian superstar, Ayodeji Ibrahim Balogun popularly known as Wizkid as one of its global ambassadors.
Wizkid, 30, is the new Puma x JD ambassador for the relaunching of the Puma Suede Classics range.
Speaking on the deal, Wizkid said “It’s an honour to be the face of the new JD x Puma Suede Classics campaign.
“Puma is a brand I’ve loved and respected growing up, and so the decision to become an Ambassador felt completely natural. The Puma Suede is a classic shoe that can be worn by anyone at any age and I think my fans will really connect with that.”Also speaking on the partnership, Puma’s Sportstyle marketing director, said “We’re thrilled to have Wizkid as the face of the new Puma x JD Suede campaign.
“A truly innovative and exciting artist in the music scene, Wizkid embodies the passion and hustle we look for in someone to represent Puma and we look forward to working with him for the AW20 season.”
Wizkid is a Nigerian musician and songwriter that has worked with Beyonce, Drake, Wale and other international superstars.
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