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Tag: Industrial

  • Industrial & Medical Gases’ shareholders get N249m dividends

    Industrial & Medical Gases’ shareholders get N249m dividends

    Shareholders of Industrial and Medical Gases (IMG) Nigeria Plc have approved payment of N249.47 million as cash dividends for the 2023 business year.

    At the annual general meeting at the weekend in Lagos, shareholders unanimously approved payment of a dividend per share of 50 kobo for the 2023 business.

    Acting Chairman, Industrial and Medical Gases (IMG) Nigeria Plc, Aminu Ado said the company would sustain its performance in 2024 given its capital investment and optimisation of resources among other strategic initiatives.

    He said the company had a great year in 2023 with total revenue from the business growing from N5.33 billion 2022 to the N6.06 billion in 2023 while  profit after tax rose to N850 million from N440 million in 2022.

    “We intend to sustain the growth performance in 2024 by our capital investment, optimising the use of our resources, improving logistics, cost-cutting measures, generating new business prospects, and improving on employee training,” Ado said.

    Managing Director, Industrial and Medical Gases (Nigeria) Plc,  Ayodeji Oseni assured the shareholders of better future ahead.

    According to him, despite the prevailing national economic outlook, the future holds great promise for the company as it continues to consolidate and innovate.

    “We shall remain resolute in implementing our growth strategy as we navigate the challenging operating terrain that lies ahead, leveraging opportunities and production efficiencies plus our cost management drive towards sustainable profitability.

    “Our human capital remains the pivot of our transformation and future progress even at this trying time. We shall increase market presence and stakeholders’ engagement towards increased turnover,’ Oseni said.

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    Responding to a shareholder’s observation, the Finance Director, Adesina Alayaki, addressed some concerns about high electricity costs, saying some customers who rented cylinders had gone out of business.

    He also noted that IMG’s use of natural gas which is subject to volatility of forex costs had impacted the company’s operations.

    He, however, expressed optimism that IMG remained committed to its growth strategy.

    Shareholders praised the board and management of IMG for the performance in the 2023.

    President, Noble Shareholders’ Solidarity Association (NSSA), Mathew Akinlade, described IMG as a very liquid company with solid balance sheet.

    He noted that the company has capacity to pay higher dividend in the nearest future.

  • Experts seek youth involvement in industrial, agric sectors

    Experts have urged the Federal and state governments to ensure that youths are adequately informed of the available opportunities in the industrial and agricultural sectors of the nation’s economy.

    The experts stated that there is need for the Federal and state governments to get more youths involved is the nation’s ongoing industrialisation drive aimed at boosting productivity, attracting massive investments and creating jobs.

    Speaking with The Nation, an industrialist, Mr. Funso Ayeni, said there was an urgent need for the Federal and state governments to ensure that many Nigerian youths are allowed to play major roles in driving growth and progress in the country.

    The President Muhammadu Buhari-led administration, Ayeni said, needs to draft a National Policy on Youths Engagement in Investment and Development (YEID) to reduce the high rate of unemployment and boost the economy.

    He said the high number of youths that can be engaged in agricultural and industrial development justifies the need to create an enabling environment that will catalyse the engagement of many Nigerian youths in the investment market and trade.

    He noted that youth entrepreneurship and investments are often seen and hailed as drivers of economic growth and development and positive change in the world so, Nigeria should not be an exception.

    Ayeni further said: “The Federal and state governments must look into developing techniques and models that will enhance the rapid and positive involvement of the Nigerian youths in their industrial, agricultural and economic development programmes.

    “The government must realise that youths have a large stake in our economic growth because they are the engine room of every nation; this could be supported by their large number and the figures provided by the National Population Commission and the United Nations.”

  • Industrial court takes over mediation

    THE National Industrial Court has taken over mediation in the dispute between the Federal Ministry of Health and the striking health workers under the auspices of the Joint Health Sector Unions (JOHESU) with a view to ensuring an amicable settlement of the dispute.

    The court’s presiding judge, Babatunde Adejumo, however, asked the striking health workers to first go and obey the earlier ruling of the court by returning to work, while the process of mediation will resume.

    However, JOHESU asked the court to give it till Friday, June 1, 2018 to meet with their members and inform them of the court’s decision.

    An NGO, the Incorporated Trustees of the Kingdom Human Rights Foundation (KHRFI), had obtained a court order against JOHESU mandating it to suspend their industrial action on May 21, 2018.

    The NGO had also filed a contempt proceeding against JOHESU, which was to be decided yesterday. But the judge ruled that in the interest of the suffering masses, who need medical services, he would refer the case to the Alternative Dispute Resolution Division of the court to mediate.

    He directed that the Minister of Labour and Employment and the Minister of Health should appoint representation to the ADR team, who will mediate and ensure an amicable resolution.

    At the time of this report, JOHESU leaders were meeting to decide on the next line of action, but there are indications that the ongoing strike may be suspended to give the National Industrial Court the chance to mediate.

  • Nigeria ranks lowest in industrial GDP, says AfDB

    Nigeria may have lost her position as the biggest economy on the continent, according to a report by the African Development Bank (AFDB).

    The report, made available to The Nation, showed that South Africa is the highest in Industrial Gross Domestic Product (GDP) with 44.8 percent.

    It is followed by Egypt, with 30.1 per cent; Cote d’Ivoire, 29 percent; Kenya, 23.3per cent and Ghana 21 per cent.

    Others are Ethiopia 21 per cent, Cameroon 17.9 percent and Nigeria 13.1 percent.

    In the report titled: Industrialise Africa, the bank profiled the top eight countries on the continent and the contribution of industrial Gross Domestic Product (GDP) to their economies, noting that industrial GDP is low across the continent.

    AfDB President, Dr. Akinwunmi Adesina, said the bank has put some measures in place to help boost the continent’s industrial GDP by 13 percent in 2025 and drive overall GDP from $2.3 trillion to $5.6 trillion.

    He said: “To industrialise Africa, the AfDB is committed to mobilising capital, de-risking investments for the private sector, and leveraging capital markets. This is essential for moving Africa’s Industrial agenda forward and for building an Africa of the 21st century must be well positioned to take its place in global value chains.

    ‘’The bottom line is that we need to produce more and we need to produce better. Most of all, we need to add value to our resources and raw materials, and turn them into processed products,” he said.

  • Industrial manifesto for Africa

    Monday November 20  marked 2017 Africa Industrialization Day (AID). Declared by United Nations Industrial Development Organisation (UNIDO), it is  an annual  platform for  governments, businesses and organized labour  linked to industrial development to examine ways and means to stimulate Africa’s industrialization process. Given the impact on national development, employment, climate and living standard of the citizens,  industrialization and industrial policies are too important to be left to governments and businesses alone.

    Industrial global union organizes 50 million manufacturing workers along the global value chains in 140 countries including Africa and in over 650 trade unions. The global union has over a million members in Africa including six sectors in Nigeria, namely textile, petroleum  and gas, automobile, mines and solid minerals, energy and chemical and allied products. Sustainable  industrial policy is one of the five critical success goals of the global union. The global union has resolved   to constructively engage with African governments, businesses, investors and employers as well as development institutions central banks,  Bank of Industry, UNIDO on all issues aimed at promoting industrialization and beneficiation in Africa.

    Industry is a key driver of sustainable jobs and development for national economies and the foundation of good living standards.. It does not matter whether it is first industrial revolution, (Industry 1.0), Second Industrial Revolution (2.0) Third Industrial Revolution (Industry 3.0) or the Fourth Industrial Revolution (Industry 4.0), Africans must make what we wear (gold, rings and necklaces, clothes and textile), what we ride, (automobiles), what fuel our cars (petroleum products) what we build with (iron and steel), soaps we bath with (chemicals and allied products) and generate energy we consume. Africa must stop exporting raw cottons, crude oil, mineral resources, gold and diamond only to be importing finished goods from China, Europe and America. Either large small or medium scale enterprises, Africa must consume products it produces scale down or halt wholesale importation or smuggling as it is the case in Nigeria. United Nations Industrial Development Organization (UNIDO) had over the years shown  that manufacturing industry in Sub-Saharan Africa (SSA) lags behind other developing regions of the world. There  are three leading economies in Africa namely Nigeria which is worth some $406 billion,  Egypt $332.3 billion and South Africa  $294.1billion. Nigeria only leads in quantity GDP not quality in terms of manufacturing value added. Indeed  South Africa at 25 per cent is the highest, followed by  Egypt at 20 per cent and  Nigeria with less than five per cent. Ghana is even more industrialized at six per cent manufacturing value added (MVA). In  2015 Africa had as many as 1.2 billion population.  Millions of youths join the labour market annually without jobs making them voluntary slaves to Europe and America three hundred years after their forefathers gallantly fought against forced slavery by human predators in Europe and America. The cause of serial deaths on the  Mediterranean Sea  is wholesale de-industrialization of Africa. Only   industry can provide sustainable jobs and living wages and necessary revenues for government to provide the needed infrastructure for development. For  Africa to meet Sustainable Development Goal 2030, especially SDG 9 dealing with industry and innovation,  the continent must innovate and  industrialize.  Africa must copy China’s industrialization drive which has within 20 years moved over 250 million people out of poverty through manufacturing and industrialization. Africa must make what it consumes, otherwise it will be consumed by the rest of the world. Many African countries have commendably  put in place robust documents and policies on industrialization and diversification, but capacity utilization is still very low with  few existing industries closing down with mass job losses. It’s time South Africa, Nigeria, Senegal, Ghana, Zimbabwe, Sudan walked/worked the policies and added value to the continent’s abundant raw materials.

    I acknowledge and commend the Federal Government of Nigeria for launching the Economic Recovery and Growth Plan (ERGP). Together with the existing National Industrial Revolution Plan, the plan can promote revival of industries and creation of mass decent jobs. But it must be within an overall vision for development not just feverish “diversification plan’ on the heel of defending collapse of crude oil prices.  A number of  commendable initiatives  by African governments in promoting wealth generation and reviving the industry, include Buy-Africa campaign in South Africa and Buy Made-in-Nigeria campaign. Vice President Yemi Osinbajo has signed three unprecedented Executive Orders mandating government agencies to spend more of their budgets on locally produced goods and services. These orders would help in the recovery of many factories in Nigeria, if they are not undermined by pressures from smuggling and  imports. There are also some commendable sub-national initiatives such as the industrial parks of Ethiopia and Nigeria’s Edo State under Governor Godwin Obaseki. There certainly cannot  be industrialization without electrification. Nigeria must stop any action plan that will further give scarce public monies to non-performing privatized electricity distribution companies (Discos). African governments must  massively invest in energy mix of hydro, solar and nuclear to drive industrialization. It is remarkable that  ERGP sets  the target of reducing petroleum products imports in Nigeria by 80 per cent in 2018. That’s the way to create jobs, decent and sustainable jobs in the petroleum sector. With smart manufacturing or the so-called fourth industrial revolution, Africa has all the options to further add value to raw materials in place of extractions. But there must be just transition such that   Digitalization and Industry 4.0 is sensitive to the much needed social justice for  workers affected by the new technology in production. The   benefits of industrialization should not be privatized while  the costs are socialized. Whatever forms of industrialization, (1st or fourth industrial revolution) there must be decent sustainable jobs for the workers with job security, living wages and living pensions. Yes, technology makes work easier, but they also could lead to job losses. For there to be JUST transition to 4th Industrial revolution, there should be education and re-training for the workers. Employers and governments should not criminalize skill gabs as a result of digitalization of production. On the contrary, the  Fourth Industrial Revolution calls for the need to develop skills and know-how by workers to work with digital technologies.

     

    • Aremu, mni is vice president, Industriall Glo Union.

  • Social media frustrating Benue’s industrial growth – commissioner

    The Benue government said on Saturday that incessant attacks hurled through the social media were painting the state in bad light and discouraging investors from patronising it.

    “The social media attacks have been very severe; they paint Benue in bad light and discourage investors from coming in,” Mr Lawrence Onoja Jr., Commissioner for Information and Orientation, said in Makurdi.

    Onoja Jr. said that the negative comments posted on the social media were “mischievous tales” targeted at discouraging investors from investing into government’s agriculture-driven industrialization.

    “Sometimes what you read in the social media amazes one; how can one deliberately plant lies just to pull down his own state government and stall its growth?

    “`The situation is regrettable and simply sad. Government works very hard, but its opponents keep discrediting it,” he fumed.

    He, however, said that the Gov Samuel Ortom-led administration would not be discouraged by “such mischief makers and rumour mangers”.

    The commissioner said that government was planning an Information Summit that would deal with the menace of the social media and tackle rumour mongering.

    Onoja Jr. said that government was transparent in its financial transactions, adding that all contracts had always followed due processes.

    “Government has nothing to hide; it is laughable to allege that the governor awards contracts to himself. Contracts are discussed and endorsed by the State Executive Council.

    “The governor vets all expenditures; he is strict and there is no way he can award contracts to himself. The executive council directs the ministries and payments are done through the Ministry of Finance,” he explained.

    The commissioner commended the federal government for the massive campaign against hate speech, and called for a more critical look into social media content to rid Nigeria of divisive comments. (NAN)

  • Industrial growth: Kwara seeks BoI’s support

    The Kwara State Government has solicited increased technical and financial partnership with the Bank of Industry (BoI) to sustain entrepreneurship development in the state.

    Governor Abdulfatah Ahmed explained that though a scheme designed to drive entrepreneurship development had already been established, partnering BoI would help up-scale the initiative to achieve economic growth for the state.

    He spoke during a visit by BoI’s Managing Director Olukayode Pitan.

    Ahmed said the state had established an Export Processing Zone (EPZ) for most of its agricultural commodities, saying the bank’s technical and financial support were key to driving the EPZ.

    “No doubt, we are aware of the various supports you have given to entrepreneurship development in Kwara, which had also triggered a lot of multiplier effects in other sectors in the state.

    “We already have a scheme to support Small and Medium Enterprises (SMEs), but we will be delighted to see a kind of partnership where the Kwara State Government and BoI would merge our own initiative with theirs to achieve a mutual benefit for all,” Ahmed said.

    Reaffirming his administration’s commitment to BoI’s operations in the state, Ahmed said a lot of small businesses in the state would have closed shops if not for BoI’s prompt intervention programmes.

    “Our arms are wide open to receive you and we will take off from where we stopped, because we believe partnerships such as this is critical to drive SMEs and industrial development,” he noted.

    Earlier, the Managing Director commended the Governor for his tireless efforts aimed at boosting SME development, pointing out that the bank had so far disbursed over N9 billion to support small businesses in the state.

    “We are here to solicit your partnership in respect of the N2 billion matching fund. We believe this initiative should be expanded to support more businesses and youths to be gainfully employed. This is the only way we can address the high unemployment rates in this country,” Pitan said.

    In another development, the BoI Managing Director, in a guided facility tour, paid courtesy visits to three factories who are also beneficiaries of the bank’s intervention funds aimed at driving industrial development.

    “Industrialising Nigeria is the surest way to go to achieve rapid economic growth and development. We will continue to support viable businesses to grow because of the multiplier effects they have on the economy at large,” he said.

  • Eko DisCo meters industrial customers

    Eko Electricity Distribution Company Plc (EKEDC) said it has metered all maximum demand (MD) customers within its network in line with the directive of the regulatory body, Nigerian Electricity Regulatory Commission (NERC).

    Maximum demand customers are huge electricity consumers such as industrial and some commercial concerns. Distribution companies realise substantial part of their revenues from these customers.

    EKEDC Chief Operating Officer, Mr. Sam Nwaire, who disclosed this during a Town Hall meeting held recently  with customers at the Agbara/ Badagry Business District Area in Lagos, said the firm has metered 6,834 MD customers within its network.

    The NERC on June 11 directed all electricity distribution companies to meter the MD customers and directed all MD customers that  have no meters to stop paying estimated bills.

    Nwaire said the company had completed metering all its MD customers since March 31 within the stipulated time frame. He said the company had metered about 50 per cent residential customers, adding that the company will meet its five-year metering plan when all categories of customers must have been metered.

    He confirmed that residential consumers were not included in the directive issued by the NERC on no meter no payment directive. According to him, the clarification was necessary because some customers claimed that NERC directed all consumers yet to be metered to stop paying electricity bills.

    He said: “We are happy to report that our maximum demand customers have been provided with meters as directed by NERC and are no longer billed by estimation. While we are making concerted efforts to provide meters for all our customers, we will continue to ensure the integrity of our bills and do everything within our mandate to comply with all NERC directives.

    “We, therefore, urge our non-MD customers to please avail themselves of the content of the directive and be rightly guided. Consumers should not misinterpret it to avoid paying for electricity already consumed.”

    Nwaire promised that all unmetered customers would be reached within the stipulated time, noting that it was not possible for all customers to be metered at the sametime because of the huge cost involved. He urged those yet to be reached in the meter roll-out to exercise patience, adding that no customer would be left out at the end.

    He also said Eko DisCo has an established billing methodology approved by the industry regulator for billing unmetered customers, based on a number of factors, which include the customers’ consumption pattern over time and availability of power supply within the particular month for which the customers were billed.

    The EKEDC boss urged communities to be vigilant and guard against activities of vandals in their areas. He said the company would work  with the police to ensure that the suspects and others are duly prosecuted in court.

    Nwaire said the company was only able to recover N4.8 billion out of N6.3 billion owed by customers for the month of May, adding that customers are yet to pay over N1.5 billion, which was part of the electricity consumed in May 2017.

  • Fed. Govt. praises Lafarge’s industrial power generation

    Fed. Govt. praises Lafarge’s industrial power generation

    •Firm offers to support in solving energy problem 

    The Minister of Mines and Steel Development, Kayode Fayemi, has called on Lafarge Africa, a construction solutions provider in Nigeria, to support the federal government’s drive towards ensuring adequate power generation and distribution, particularly in industrial hubs.

    Fayemi, who made the request during a recent working visit to Lafarge Africa’s Ewekoro Cement plant, commended the company for its efforts at generating sufficient power for its operations across the country, especially through the use of biomass. He also praised the cement manufacturer for its initiative of recycling palm kernel shells, which are waste material, as biomass to generate power for the kilns used in making cement.

    According to the Minister, the use of biomass in any production process saves money that would have been used to buy fuel and foreign exchange. He assured that although presently, the power generated from Lafarge’s biomass plant generates half of the energy used in firing its kilns, but they will ultimately get to 100 per cent.

    “An environment-friendly production site is something to take away from Lafarge Africa here in Ogun state and I hope there are lessons to take on board. That is not to say that coal should not be used because we have coal in Nigeria that will also save us foreign exchange,” Fayemi said.

    Reiterating the importance of power generation for existing and new factories as being critical, Fayemi also noted that power is an essential need for Nigerians, that is why government is desperately in need of adding more to its generation in order to fuel plants and factories that are springing up.

    “Every day, you have a new company springing up and you want to ensure that there is enough power for those companies, whether it’s biomass, coal or natural gas or renewable energy, you what to ensure that you have enough power to use. So, for us, we are impressed with what we have seen and we want to support Lafarge Africa to expand its operations,” the Minister said.

    In his response, the Country CEO, Lafarge Africa Plc, Michel Puchercos, noted that the effects of the slowdown in the economy prompted the company to seek an alternative means to generate energy for its Ewekoro and other plants.

    “We realised last year that dollars was scarce and energy was scarce in Nigeria. So, the company reacted very strongly to the situation. We said to ourselves, how can we do both? We wanted to do both – keep on producing and saving energy and also getting US dollars. This is how the idea of using biomass came,” Puchercos explained.

    He further said that “Ogun state being an agriculture hub as well, made it possible for us to produce 50 per cent power from biomass in 2016, which we can grow to 70 – 80 per cent. We aim to roll out the scheme in other plants- Ashaka, in Cross River state, Gombe state and just across the road in Ewekoro II.”

    According to Puchercos, the production of biomass fuel from palm kernels isn’t restricted to recycling palm kernels. “Burning and recycling wastes like silica and aluminium which are dangerous to man can generate electricity and improve the standard of living. If Nigeria is ready, we are ready to support,” he assured.

    It will be recalled that Lafarge Africa a member of LafargeHolcim, in partnership with Ogun state commissioned a biomass alternative fuel feeding system last September.  Using palm kernel shells the plant generates about half of the energy requirements at Lafarge’s cement factory in Ewekoro. There are plans to replicate the technology in all its plants across the country.

  • World Bank: industrial commodities prices to rise

    World Bank: industrial commodities prices to rise

    The World Bank is forecasting strong gains for industrial commodities such as energy and metals this year due to tightening supply and strengthening demand.

    In its January 2017 Commodity Markets Outlook, the World Bank is holding steady its crude oil price forecast for the year at $55 per barrel, a 29 per cent jump from last year’s. The energy price forecast assumes that members of the Organisation of the Petroleum Exporting Countries (OPEC) and other oil producers will partially comply with an agreement to limit production after a long period of unrestrained output.

    The global lender is raising its metals price forecast to an increase of 11 per cent from the four per cent rise anticipated in its October outlook on further tightening of supply and strong demand from China and advanced economies.

    “Prices for most commodities appear to have bottomed out last year and are on track to climb in 2017; however, changes in policies could alter this path,” said John Baffes, Senior Economist and lead author of the Commodity Markets Outlook.

    Agriculture prices as a whole are expected to rise by less than one per cent this year. Small increases are anticipated for oils and oilseeds and raw materials, but grains prices are forecast to drop almost three per cent on an improved supply outlook.

    Precious metals prices are seen declining seven  per cent as benchmark interest rates rise and safe-haven buying slows.

    A special focus shows how commodity-exporting emerging and developing economies have been hit hard by slowing investment growth, which has declined from 7.1 per cent in 2010 to 1.6 per cent in 2015.

    “Investment weakness – both public and private – hinders a range of activity in commodity-exporting emerging market and developing economies. Most of these economies have limited policy space to counteract the slowdown in investment growth, so they need to employ measures to enhance the business environment, promote economic diversification, and improve governance to better growth prospects over the longer term,” said AyhanKose, Director of the World Bank’s Development Prospects Group.

    The World Bank’s Commodity Markets Outlook is published quarterly, in January, April, July and October. The report provides detailed market analysis for major commodity groups, including energy, metals, agriculture, precious metals and fertilizers.