The Manufacturers Association of Nigeria (MAN) has urged the Federal Government to convene a stakeholders’ meeting to find a solution to the impact of the ongoing Russia-Ukraine war on the economy.
The President, MAN, Mr Mansur Ahmed, said this at its 37th Annual General Meeting (AGM) on Thursday in Abeokuta.
Ahmed was represented at the event by the association’s Director-General, Mr Segun Ajayi-Kadir.
The theme of the meeting is: “Navigating Nigeria’s Economic Realities, A Manufacturer’s Dilemma: Building and Sustaining Factories Profitability.”
He said that the manufacturing sector has suffered major setbacks which include; high cost of diesel, petroleum products and foreign exchange rate.
He, therefore, appealed to the government to remove the 7.5 per cent Value Added Tax on diesel until the international supply system normalise.
“We believe that this will help to identify viable options to ameliorate the impact of disruption, and agree in ways to assuage other pain points in the business environment.
“It will also activate innovative solutions to familiar and emerging macroeconomic and infrastructure challenges and generally point the direction for resilience in the economic system,” he said.
Ahmed, however, commended Gov. Dapo Abiodun, for his initiative in creating the Ogun State Land Administration and Revenue System (OLARMS).
OLARMS is an online portal that allows businesses and organisations fulfil their obligation.
In his address, Abiodun advised manufacturers to engage Micro, Small and Medium Enterprises to mitigate challenges bedevilling the sector.
He said that the state was committed to a pubic-private sector partnership and his administration would make Ogun, “a truly investor’s destination of first choice, not only in Nigeria but in Sub-Saharan Africa ”.
The governor called on the association to adopt a primary school or health facility in the state as a Corporate Social Responsibility to its host environment.
Earlier in his welcome address, the Chairman, MAN Ogun State, Dr Seleem Adegunwa, decried the challenges that manufacturers in the state were facing.
Adegunwa said that inflation and increase in some raw materials had stretched the production cost of members. who used them as raw materials.
He added that increase in excise duties, scarcity and hike in petroleum products, increase in electricity tariffs and low pressure of gas supplied were inadequate for production.
Adegunwa, however, commended every member of the association still in business, adding that the association would sharpen its advocacy to ensure quality service delivery to members.
