More than 5,000 jobs are to be created in the lubricants sub-sector of the oil industry with the signing of a Memorandum of Understanding (MoU) between AMMASCO International Limited and the Nigerian Automobile Technician Association (NATA), which gives the former the right to produce customised oil lubricant for NATA and the country. This will facilitate the supply of oil to the northern markets and provide jobs for many unemployed. TOBA AGBOOLA reports.
The lubricants sub-sector of the oil industry has the capacity to generate thousands of direct and indirect jobs if all the idle capacities are utilised.
At present, there are over 60 brands of imported lubricants in the market.
The importation of lubricants amounts to mortgaging jobs meant for skilled workers in the country.
Many of the lubricants are recycled oil with little or no addictive introduced into them by the manufacturers. These lubes come with undervalued invoicing and sold at cheaper rates than locally-produced ones. This has created unfavourable conditions for the local lubricants, which pass through manufacturing processes, and which make them to sell at higher prices than foreign ones.
The Executive Secretary, Lubricant Producers Association of Nigeria (LUPAN), Mr. Emeka Obidike, said the association is concerned with the rate these imported products are allowed into the country. He said the impact of this activity, if unchecked, would not only lead to the closure of the existing plants, but a lot of jobs would be lost.
However, hope has risen as more jobs are expected to be created as the new initiative between AMMASCO and NATA will generate more than 5,000 direct and indirect jobs to support the Federal Government’s job creation drive.
The Chairman, AMMASCO International Limited, Alhaji Mustapha Muhammad, canvassed more refineries, adding that this would ensure the provision of raw materials for lubricant makers and jobs for the teeming unemployed youth.
He also said in addition to facilitating the supply of oil for the consumption of the northern markets, the company has provided job opportunities for the teeming population in the country.
According to Mustapha, the AMMASCO has created thousands of jobs since its inception in 2008.
He said the two organisations also agreed to partner to revolutionise the sub-sector to attain global standard.
The deal and the expansion are expected to open up other jobs in construction, management, engineering, and administrative duties.
For instance, the company will require people to blend; engineers to work in electrical, mechanical and civil engineering departments.
It will also require salesmen who are to make the product available to consumers in Nigeria and the entire West African sub-region.
Lubricant sales executives are to promote whatever products or services on offer, report to the head of marketing and cover various activities, generate and follow up on leads and prospect and manage customer relationship. They are to manage a marine lubricant distribution and marketing outfit and also determine the most effective processes for commercialisation.
The new expansion will also pave way for field canvassing marketers who introduce the brand to potential customers by visiting them.
It will also require the services of marketers, drivers, salesmen to make the product available to consumers in Nigeria and entire West African sub-region.
Muhammad said when he came up with the idea of setting up the company, some pessimists said it was bizarre for an investor up north to be contemplating such an idea as oil rigs are not close to the region. He said the delivery of petroleum products by the company to the admiration of its customers has cleared such reservations.
“When you have the determination and you want to set up something of high standard, you will set it up. That is what we are doing now and we are trying to do more and more. We are now looking at the possible ways by which we can transport large quantity of crude oil in order to sustain the refinery up north so that we can give more and more employment to the teeming youths,” he said.
National President, NATA, Comrade Michael Ajayi Omonayin, said the association had been looking for how to secure jobs for members, adding that with the MoU, more of the members will have something doing.
He said one of the step being taking by the association is how to secure loan from Bank of Industry (BoI).
These, according to him, will create more enytrepreneurs among the members.
“The association and BoI are still meeting over the condition in which the loan will be disbursed since the former arrangement made it difficult for Micro-Finance Bank to access the fund. So, the association is meeting with BoI to see how they are going to make the condition more flexible for Micro-Finance.
“On SURE-P training, the committee in charge of the training is still working; when they finish, we would let all states know when the programme is going to commerce,” he said.
He said Ammasco’s choice was born out of its track record in the production of quality lubricants that have continued to dominate the market. According to him, a critical market survey also put Ammasco as the leading, adding that responses from various customers, many of who are members of the association, attest to the fact that Ammasco products are the best in the market.
As part of encouraging its local production , the Standards Organisation of Nigeria (SON) has also issued ISO Certificate to Ammasco International Limited, reckoning it as one of the leading oil lubricant firms in West Africa.
The Director General, SON, Dr Joseph Odumodu said Ammasco has proven its worth in terms of upholding standards and professionalism, adding that the agency and expect other indigenous companies to take learn from what Ammasco is doing.
“ We are really impressed and we urge Ammasco to keep it up,” Odumodu said.
The company has entered into an agreement with some professional groups and other corporate institutions for the blending of high quality products. Some of such bodies include the National Union of Road Transport Workers (NURTW).
The products in the stable of AMMASCO International Ltd can be classified under four broad categories; these are: the automotive, industrial and marine lubricants, and specialty products, such as greases and oil treatments. Also, the distribution of these products have been extended to some parts of the West African sub region, such as the Niger Republic, Chad, Burkina Faso, Benin Republic and the Central African Republic, among others.
