Managing Director, Berger Paints Nigeria Plc, Mr Peter Folikwe has called on the government to support the development of the Nigerian real sector by providing enabling environment for manufacturing companies to thrive.
Folikwe, who assumed the leadership position in Berger Paints in March, said Nigerian manufacturers are contending with several obstacles, which have reduced their competitiveness and limit their growth potential.
Folikwe urged the Federal Government to address the issues of foreign exchange rate, infrastructural deficit, multiple taxation and enforcement of enabling rules by the Standard Organisation of Nigeria (SON) in order to create the much-needed enabling environment for businesses to thrive.
“The real sector is the major sector that can drive economic growth and development. But in Nigeria, the sector has consistently suffered a setback in the scheme of things. The sector is bedeviled with myriad of issues which include infrastructural deficits such as bad road, epileptic power supply, multiple taxation, Naira exchange rate volatility and the extent to which the Standard Organisation of Nigeria (SON) is actually tracking and sanctioning those who compromise standard in their product quality. All these increase production cost and force producers to pass the cost to consumers who are already struggling with weak purchasing power. Government should address these issues without further delay,” Folikwe said.
He added that efforts should also be geared towards instituting a virile consumer advocacy framework in order to promote culture of quality products among manufacturers.
According to him, quality products are necessary condition for competitiveness in the global market and it enhances consumers’ loyalty and higher turnover.
He said Nigeria would compete more favourably in the global market if the country leverage on consumer advocacy approach through which consumers of products are made to know that while inferior products appear cheap, they are actually more expensive than quality products in the area of durability and utilitarian value.
He however assured shareholders of Berger Paints that the company would sustain its profitability noting that the performance of the company in the first half of 2015 indicates that the company has been waxing stronger despite the harsh operating environment for manufactures in Nigeria.
He pointed out that the company is setting up a multi-billion Naira factory to expand its operations while working on innovative products that would not only appeal to Nigerian consumers but the entire global markets.
Folikwe reiterated that his pre-occupation is to drive Berger Paints as a brand whose products would continue to define quality and acceptability in Nigeria.