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Tag: LCCI

  • UNIDO, NACCIMA, LCCI partner on SMEs

    UNIDO, NACCIMA, LCCI partner on SMEs

    The Investment and Technology Promotion Office of the United Nations Industrial Development Organisation (UNIDO) has launched another phase of its capacity building programme by training over 40 Nigerian women in financial literacy, in Lagos.

    The financial literacy project, which was in collaboration with the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA) and the Lagos Chamber of Commerce and Industry (LCCI), was initiated to equip the business owners with interactive online learning packages, financial literacy tools and major mechanisms for upgrading and expanding existing enterprises.

    The Chief Technical Adviser, UNIDO-ITPO, Mr. Stanislaw Pigon, said: “Aside from the training, we will also offer the entrepreneurs business counseling and mentoring programmes aimed at facilitating enterprise growth. Our online tools are open to the entrepreneurs as they are expected to ask questions or seek for clarifications. From the perspective of the MSMEs, the most important factor is that they are ‘bank-ready’. This means we need to offer them some simpler tools to present the financial aspects of their business ideas.

    “We are facing a problem of financial literacy, starting with university graduates, who cannot find jobs, to existing, even successful Micro, Small and Medium Enterprises, which cannot find resources to grow.”

    The Head, UNIDO-ITPO, Nigeria, Ms. Adebisi Olumodimu, explained that the workshop was designed to support the Federal Government in its bid to diversify the economy, empower business owners, especially women, across the agriculture, manufacturing, and food and beverages sectors and ensure they are equipped with best practices tools for the development of value-added services.

  • LCCI renews call site

    LCCI renews call site

    The Lagos Chamber of Commerce and Industry (LCCI) has praised the Lagos State

    government for its commitment to enhancing the development of the organised private sector (OPS).

    LCCI President Chief Nike Akande said the state government has been a worthy partner in promoting reformative policies for businesses to thrive and the sustenance of a conducive environment for investment growth.

    Commending the state government for the successful hosting of this year’s Lagos International Trade Fair, she, however, renewed the chamber’s call for a permanent site for the trade fair.

    Speaking to newsmen in Lagos, during the week, Chief Akande noted that the chamber and exhibitors were annually challenged with the huge costs of make-shift structures for the fair.

    She said a befitting venue would elevate the organsation to a better standard.

    “Most of the structures would be demolished or removed immediately after the fair. The cost to us is horrendous. We have provided virtually all the facilities from generators to mobile toilets. We seek your intervention in this respect,” she said.

    The LCCI president also described the trade exhibition as a proof of the confidence the local business community and foreign investors have in the Nigerian economy.

    “I commend their courage, resilience and optimism. It is our hope that governments at all levels would

    continue to address the issues of enabling environment in the country, especially as regards infrastructures.

    “We need this in order to fully harness the huge enterprising resource of domestic and foreign investors for the diversification of our economy,” Akande said.

    She called for consistency in the current reforms to drive industrialisation, boost non oil export, attract foreign direct investment and foster an enabling business atmosphere.

    The Lagos State Governor, Akinwunmi Ambode, attributed the successes experienced in the state to effective implementation of innovative policies.

    Represented by the Secretary to the State Government, Mr. Tunji Bello, he reiterated the state’s commitment to enhancing businesses and accelerating industrial revitalisation. He noted that the state was open to investors as infrastructure overhaul was top on its priorities.

    Ambode said: “We owe our success to our innovative policy of facilitating access to credits, especially for our teeming small businesses through direct disbursements by the Lagos State Employment Trust Fund and collaboration with other public and private finance providers.

    “Asides provision of credits, we have focused on provisions of market access for Micro, Small and Medium Enterprises (MSME’s) and creation of economic zones including small scale industrial estates, industrial parks and clusters down to the flagship free trade zone, the Lekki free zone.”

  • Manufacturers disagree with LCCI over imported vehicles’ prices

    Manufacturers disagree with LCCI over imported vehicles’ prices

    The Nigerian Automotive Industry Development Plan (NAIDP) also known as automotive policy) has been described as the best thing to happen to the vehicle manufacturing sector since the early auto assembly plants were set up decades ago.

    Nigerian Automotive Manufacturers Association (NAMA) said this while reacting to the claim by Lagos Chamber of Commerce and Industry (LCCI) Director General Mr. Muda Yusuf, that the increase in prices of imported vehicles should be blamed on the auto policy.

    A statement by NAMA Executive Director Remi Olaofe, explained that NAIDP was introduced to reawaken the moribund assembly plants that were once operating at high capacity.

    This, he said, is to encourage major vehicle importers to attract their (foreign) Original Equipment Manufacturers (OEMs) to produce same in Nigeria.

    Olaofe argued that a simple market survey would confirm that as a direct consequence of the NAIDP, the prices of locally assembled vehicles are far lower than claimed by the LCCI DG.

    He said: “We were taken aback that a macro issue of the magnitude of prices of imported vehicles could be so narrowed to a single parameter like the National Auto Policy by a respected LCCI.

    “In coming up with the National Auto Policy, a number of issues were put into consideration with the pivot being to redirect the Nigerian economy from an over import dependent economy to a producing economy.

    “One of the greatest challenges facing the Nigerian economy has always been narrowed down to its overdependence on foreign goods with the attendant pressure on its foreign reserve and the exchange rate”.

    Olaofe said the initiatives are backed with incentives and disincentives to the local assemblers and Importers, respectively, which can come in form of variation of duties, tax holidays, and access to funds at cheaper interest rates, in favour of the former.

    Such incentives, he said, are not new, citing precedent with the textiles, furniture and food, sub-sectors, among many others, where policy makers went to the extent of placing some items of import on the “Not-Valid-for Foreign-Exchange-List”, in order to protect the local manufacturers.

  • LCCI, Japan’s trade body sign MoU

    LCCI, Japan’s trade body sign MoU

    The Lagos Chamber of Commerce and Industry (LCCI) has signed a memorandum of understanding with the Japan External Trade Organisation (JETRO) to enhance mutual trade agreements between the two countries organised private sector.

    The formal agreement will also promote trade relations and investments which will add economic value to both countries.

    LCCI president, Chief Nike Akande said the formal agreement was needed due to JETRO’s continuous support of the chambers activities and the benefits the body can do to  Nigerian entrepreneurs.

    She said this yesterday during the signing of the MOU at the ongoing Lagos International trade fair.

  • How to make Budget of Consolidation work, by MAN, LCCI, others

    REACTIONS yesterday trailed the N8.612 trillion 2018 Budget proposal presented to the joint session of the National Assembly in Abuja by President Muhhamadu Buhari.

    One of such reactions came from the Organised Private Sector (OPS) which said the level of the implementation the appropriation will determine its success.

    The Director-General of the Lagos Chamber of Commerce & Industry (LCCI), Muda Yusuf said the budget’s full implementation will make the difference, saying the presentation of the estimates for consideration was just the first step.

    He also urged the National Assembly to put a time line for the proposal’s consideration and its passage into law, suggesting that a month’s time frame will ideal to scrutinise the budget.

    According to Yusuf, the executive and the legislature must shun unnecessary conflicts so that the implementation of the budget can start early next year.

    He said: “It is regrettable that the projected resources for 2017 budget were not met and one wonders how far the projection for the 2018 will go. We urge the executive and the legislature to cooperate in this onerous task in the interest of the generality of Nigerians to make it work this time. Unnecessary bickering should be avoided in the interest of the public.”

    The President of the Manufacturers’ Association of Nigeria (MAN), Dr Frank Udemba Jacobs, commended the projections, saying the policy direction of the budget will have positive and far-reaching effects on the economy.

    He said the Niger Bridge was inadequate for the volume of vehicles from the East to other parts of the country.

    Jacobs said: “The South Eastern part of this country deserves a second Niger Bridge besides the proposed east west road. It is a major issue that has been on the drawing board for a long time.

    “If it is eventually constructed it will create room for strategic development in that axis. The only drawback on the budget will be the half-hearted implementation of its provisions to the letter.”

    “The dearth of infrastructure such as roads, railway lines, electricity is a main issue and it is interesting that the budget is about to take care of it”.

    BudgIT, a civic organisation, said it welcomed the early presentation of the budget, pointing out that the economy needed significant fiscal injections to sustain and accelerate economic growth.

    “Significant investment in infrastructure, education, agriculture among others are also important if Nigeria’s hope to diversify government revenue and export base is to be sustained”, the group said through a statement by its Communication Lead, Abiola Afolabi.

    It also lauded the President’s plan to improve on tax administration in the years ahead, reminding the government of the need to end the cycle of poverty with social interventions.

    The statement reads: “In all, the 2018 proposed budget of N8.6 trillion and its guiding framework captures a majority of the objectives and philosophy which scholars, researchers and economist are inclined to think about when the need for fiscal injections arises. The philosophy of the current government to spend big due to the relatively slow economic activities is welcome and clearly understood.

    “As such, the capital expenditure allocation of N2.42 trillion is huge in nominal terms when compared to previous budgets. Given that almost all capital expenditure allocation will be financed primarily by debts, we hope that the line items in the budget will reflect such.

    “Nigeria cannot continue to borrow to buy cars, computers, retrofit office buildings at the detriment of the critical mass needed to end the cycle of poverty and improve the economy. We hope the biggest proportion of capital allocation will go into improving infrastructure, expanding access to education, health among others.

    “Also, we believe the revenue projection of N6.6 trillion is very optimistic considering the total retained revenue of the federal government including non-oil and oil-related revenue in 2015 and 2016 was N2.8 trillion and N2.6 trillion respectively.

    “The Federal Government non-revenue in the first six months of 2017 stood at N587bn and no significant facts suggesting the figure would double or triple in approaching the new fiscal year. Oil revenue for the 2018 fiscal year is projected at N2.332tn while the biggest bracket of government expected revenue is projected to come from the non-oil sector at N4.16tn.

    “We accept that the budget benchmark is of $45 per barrel is within the band but there has to be excessive caution in keeping the peace of the Niger Delta which is a crucial element in ensuring optimal production.”The Director-General of the Voice of Nigeria (VON), Mr Osita Okechukwu, lauded the budget for offering great hope for Southeast infrastructure, especially roads and the solid mineral sector.

    Okechukwu told the News Agency of Nigeria (NAN) in Enugu, that the proposals had a lot of promises for the completion of critical road projects, especially the completion of the 2nd Niger Bridge project.

    He noted that the government has allocated $10 million in the 2018 budget for the ongoing 2nd Niger Bridge project.

    The director-general noted that the Federal Government had earlier released $14 billion out of $36.7 billion for the project.

    He said: “The Federal Government recent commitment of N16.7 billion from the N100 billion SUKUK bond to the major South-East roads is clear indication that this administration wants to open-up the zone for more business and human activities.”

    However, a pro-transparency and Non-Governmental Organisation (NGO), Human Rights Writers Association of Nigeria (HURIWA), described the presentation as an “empty ritual”.

    The group’s coordinator, Emmanuel Onwubiko, said in statement that there were no evidence-based and empirical proofs to show that the extant 2017 Budget has been implemented optimally, going by the declining standards of living by millions of Nigerians.

    The statement reads: “In the last one year, there have been more deaths by suicides caused by absolute poverty than in recorded history of Nigeria and therefore we wonder whether the outgoing budget was implemented for the benefits of aliens or for real Nigerians who are living from hands to mouths in their millions due to grinding poverty and lack of effective economic empowerment programmes and social support programmes to mitigate the unwarranted and horrendous human sufferings.”

     

  • LCCI: Review rice tariff to curb smuggling

    LCCI: Review rice tariff to curb smuggling

    The Federal Government should consider a downward review of the tariff on rice to curb its smuggling, the Lagos Chamber of Commerce and Industry (LCCI) has said.

    Its Director-General, Mr. Muda Yusuf, said rice smuggling has continued to thrive, in spite of the ban on the commodity, due to high import tariff.

    “Rice is not contraband, you can import rice. What has created the smuggling problem with rice is the tariff and that is what is driving the smuggling. If you take it through the port irrespective of where you source your forex from, you have to pay 70 per cent levy.

    “If you have a product coming through the official channel at 70 per cent, there cannot be better incentive to smuggling than that. So, that is why rice is coming from all over the place,” Yusuf said, in Lagos, during the week.

    He dismissed the claim by the Minister of Agriculture and Rural Development, Chief Audu Ogbeh, that the country would be self sufficient in rice production and would no longer import rice by 2018 as mere academic and not in tune with reality.

    His words: “The Minister said we will be self sufficient in rice production in 2018, but that is just academic. There is nothing on ground empirically. It is desirable, but in terms of empirical evidence, I don’t think it is something achievable.

    “If you do a proper and empirical assessment of the rice market today, the market share of smuggled rice is bigger than the share of rice that is produced locally. So, this is part of the trade policy challenges that we have.

    “It is a popular thing to say that we have to grow rice; the import duty should be high so that we can grow local rice. It is a very patriotic statement to make, but the reality is completely different and policy should align with reality so that we don’t just make policies in vain.”

    The LCCI boss said it was important that the government policy makers got their facts right. “I have heard some government officials say the bulk of the rice in the country is Nigerian rice but that is not correct. The moment we start thinking that way, then we will not do what we need to do,” he said.

    According to him, what is required is to deploy policies to improve productivity in rice production.

  • LCCI president, manufacturer urge Nigerians to buy local goods

    LAGOS Chamber of Commerce and Industry (LCCI) President Dr. Nike Akande has urged Nigerians to patronise locally-made products and services.

    She was joined in the appeal by Chairman, Erisco Foods Ltd Chief Eric Umeofia at the 18th Mike Okonkwo Annual Lecture held yesterday at the MUSON Centre, Onikan, Lagos.

    Mrs. Akande, who spoke on the topic: “Made in Nigeria Products: The vehicle for sustainable development”, said increased patronage would inevitably improve quality of the products, which in turn would increase local and foreign demand.

    The former minister of Industry described the economic recession as good for the purpose of forcing Nigeria to diversify from oil.

    “I believe that with more patronage, Nigerian manufacturers will be encouraged to improve the quality of their products. As the quality of our goods and services improve, local and international demand for them will increase.  There is no doubt that the fastest route to grow our economy and to create jobs for our teeming population is by promoting non-oil export.  Export led growth will add to our foreign reserves and stabilise the local currency,” she said.

    Hailing many policies of the present administration that have improved the ease of doing business, Mrs. Akande called on the government to replicate success stories in local production – like Dangote Cement, Innoson Vehicle Manufacturing, aba shoe factory – in other areas of economic endeavours.

    She, however, urged the government to pay attention to security, enhance regulatory/institutional environment, provide infrastructure and reward local manufacturers.

    Umeofia faulted the government for not protecting the interest of local manufacturers through favourable policies and for not providing a conducive environment to compete favourably with foreigners.

    Umeofia, whose runs a tomato paste factory, said: “Indigenous people are not being supported in this country at all.  How can the economy be diversified when the Federal Government votes foreign exchange for people to import goods that can be produced locally?  CBN gives us a fraction of our foreign exchange needs yet gives importers of frozen fish, tomato paste and others foreign exchange?”

    Bishop Mike Okonkwo, in whose honour the lecture is organised annually, urged Nigerians to patronise locally-made goods.

    He urged the government to encourage Nigerians to produce locally.

    Highlight of the lecture was the presentation of prizes to winners of the Mike Okonkwo Secondary School Essay Competition.  Alexandra Nwigwe of Vivian Fowler Memorial College for Girls, got N100,000, a laptop and plaque for coming first; Mercy Jesuduntan got N75,000 and a plaque for coming second; and Gbenga Akingbade of Emerald High School, was rewarded with N50,000 and a plaque for coming third. Their schools were also rewarded with computers and printers.

    Prof. Hope Eghagha, the chief examiner for the competition and head of English Department at the University of Lagos (UNILAG), lamented the high level of plagiarism noticed while screening the scripts.  He warned parents and teachers to desist from helping students to cheat.

  • LCCI seeks patronage of made-in-Nigeria goods

    LCCI seeks patronage of made-in-Nigeria goods

    The President, Lagos Chamber of Commerce and Industry (LCCI), Dr Nike Akande, has advised Nigerians to patronise locally-made products and services.

    She spoke at the 18th Mike Okonkwo Annual Lecture held yesterday at MUSON Centre, Onikan, Lagos.

    Mrs. Akande who spoke on: Made-in-Nigeria products: The vehicle for sustainable development, said increased patronage would inevitably improve quality of the products, which in turn would increase local and foreign demand.

    The former Minister of Industry described the current economic recession as good for the purpose of forcing Nigeria to diversify from oil.

    “I believe that with more patronage, Nigerian manufacturers will be encouraged to improve the quality of their products. As the quality of our goods and services improve, local and international demand for them will increase.There is no doubt that the fastest route to grow our economy and to create jobs for our teeming population is by promoting non-oil export.  Export led growth will add to our foreign reserves and stabilise the local currency,” she said.

    Also speaking on the ocasion, the Chairman, Erisco Foods Ltd, Chief Eric Umeofia,decried the importation for low-quality foreign goods to the detriment of local ones. He faulted the government for not protecting the interest of local manufacturers through favourable policies and for not providing a conducive environment to compete favourably with foreigners.

    Umeofia said: “Indigenes are not being supported in this country at all.  How can the economy be diversified when the Federal Government votes foreign exchange for people to import goods that can be produced locally? CBN gives us a fraction of our foreign exchange needs yet gives importers of frozen fish, tomato paste and others foreign exchange?”

    To improve the contribution of the manufacturing sector to Nigeria’s GDP beyond three per cent, Umeofia advised the government to emulate countries like China, Taiwan which closed their borders to foreign goods, and the United Arab Emirates, Angola and Ghana, which protect local businesses.

    While lauding the policies of the government that have improved the ease of doing business, Mrs Akande also called on the government to replicate success stories in local production – like Dangote cement, Innoson vehicle manufacturing, Aba shoe factory – in other areas of economic endeavour.

    Mrs Akande urged the government to pay attention to security, enhance regulatory/institutional environment, provide infrastructure, and reward local manufacturers.

  • Recession exit, a sign of growth – LCCI

    Recession exit, a sign of growth – LCCI

    Mr Muda Yusuf, the Director-General, Lagos Chamber of Commerce and Industry (LCCI), says the country’s exit from recession is a signal that the country is growing.

    Yusuf said in an interview with the News Agency of Nigeria (NAN) on Tuesday in Lagos that the development would change the perception of foreign investors on the Nigerian economy.

    The director-general called for policies that would truly align the country for sustainability of the growth.

    The News Agency of Nigeria (NAN) reports that the National Bureau of Statistics (NBS) in its report said that the nation’s Gross Domestic Product (GDP) grew by 0.55 per cent in the second quarter of 2017.

    It said the growth was an indication of country coming out of recession after five consecutive quarters of contraction since first quarter 2016.

    Yusuf however noted that the growth in the GDP could not on its own lead to direct impact on citizens.

    He said that this was due to the impact that still inflation had on goods and services coupled with the fact that salaries had not been increased.

    Yusuf therefore called for policy that would make people to feel the positive impact of the growth beyond the technical growth of moving out of recession.

    “It is very good that we have a situation where we are out of recession. It is one thing to be out of recession and another thing for both the investors and citizens to feel the impact.

    “We need to look beyond getting out of recession and take into consideration other important factors that could impact on the private sector performance and on the welfare on the people.

    “This is because the GDP numbers on its own will not bring about this kind of impact.”

    Yusuf said that the government also needed to address investment environment issues such as power, transportation, cost of funds, foreign exchange management, tax and trade policies.

    Yusuf added that those policies needed to be truly aligned and be reviewed to ensure the sustainability of the recovery the nation was now experiencing.

    He said that there was also an urgent need to address the situation of high cost of goods and services since there had not been increase in incomes to cushion the effect on the citizens.

    “For individuals, we need to look at what will improve the citizens’ welfare because the GDP on its own can not bring about the improvement and may not directly impact on the people.

    “It is important that the government looks at policies that can directly impact on the welfare of citizens, especially on the cost of food, health care, transportation and education.

    “So, beyond the technical exist from recession, we have to look at policies such the foreign exchange policy, interest rate policy, trade policy, investment policy and tax policy.

    “We need to get all these right to ensure we sustain the current exit,” the LCCI boss said.

  • LCCI: Why refineries, others are not attracting investments

    LCCI: Why refineries, others are not attracting investments

    The Lagos Chamber of Commerce and Industry (LCCI) has identified inappropriate and unimplemented policies, as well as unfriendly business environment, as part of the reasons the refineries and other sectors of the economy have failed to attract the required investments.

    LCCI Director-General, Muda Yusuf,  said the policies and the environment do not encourage investment. “Currently, policies around the refineries are not investment-friendly. With such policies, it would be difficult to attract private sector investments that will help to optimise their output, hence the refineries have been in that situation,” he asid.

    Yusuf, who spoke on the Challenges and opportunities in optimising local refining capacity, at a panel discussion at an oil and gas conference in Lagos,  said the bureaucracy and political structures that surround the refineries and other projects, had virtually put the government as the omibus of these entities, pointing out that for as long as this trend persists, not much progress could be made in the area of optimising the output of these assets.

    He said it was as a result of this development, that Nigeria, after so many years of oil production,  still imports petroleum products with government’s subsidy.

    Yusuf stressed that “it is imperative to reform the sector to attract investors. To unlock and free the sector from the government and make it investor-friendly, reform is important. This will create jobs and other values in the economy.”

    He said the Nigerian National Petroleum Corporation (NNPC) is the sole importer of petroleum products because it is not viable for private sector to import, adding that the Turnaround maintenance of the refineries has gulped millions of dollars with no appreciable result. “All these steps are not the right way to spend our resources as a country,” he added.

    The immediate past Chairman, Society of Petroleum Engineers (SPE) Nigeria Council, Dr. Saka Matemilola, who agreed with  Yusuf, said despite the repairs over the years, the refineries refine between four and eight million litres, while national daily consumption of premium motor spirit (petrol) stands at about 41 million litres. The foreign exchange implication of importing the product, he said, is the reason oil marketers are not importing.  Daily fuel consumption of the nation, he said, costs about $9million.

    “We will not get it well if we depend on government refineries. The Niger Delta Petroleum Resources Limited (NDPR), operates a marginal field and operates a refinery that produces diesel. When it expands, it can start to produce petrol and other products. The message this firm sends is that successful refining is do-able by Nigerians, but the private sector has to drive it.

    “The unlicensed or illegal refineries in the Niger Delta thrive despite the health and environmental hazards they cause because there is inadequate refining in-country. To address the issue, there should be adequate refining locally, and perhaps, the illegal refiners be licensed and trained so there will be no need for illegal and poorly refined products, with  the associated hazards they cause to the environment,” he said.