Business

85% Kwara manufacturing sector, privately driven

By Mike Adeyemi

The manufacturing sector of the Kwara State economy is largely driven by private investors, with only 15 per cent in the hands of government.
This was disclosed by the Executive Secretary of Manufacturing Association of Nigeria Kwara/Kogi States branch, Mr. Gbenga Adeola, during a chat with Pilot Business in his office on Tuesday.
According to him, the manufacturing industry in the state is thriving, adding that the environment is conducive for businesses to grow.
“The manufacturing sector in Kwara State is private driven mainly. When you look at the shares, investment in the manufacturing sector in the state so far, it has been largely dominated by the capitalists.
“To assess the manufacturing climate in Kwara state, you must first look at the investment and the returns that comes in, look at the value chain, look at the tariff system and the taxes, then deduct the challenges.
“These are the sequence to the climatic position of any manufacturing sector. But be that as it may, I can say the manufacturing climate in Kwara is not bad, but not too good,” he explained.
Adeola, added that the state government has created a good template for business activities to thrive in the state.
“They have made the state business friendly for investors, both local and foreign. That in the long-run has made good impact on the manufacturing sector, which invariably has commenced an economic emancipation of the entire state”.
Adeola, while assessing the activities of Manufacturing Association of Nigeria in Kwara axis said, MAN serves as a bridge often time between the government and the manufacturing companies, particularly when governmental policies like taxes that are not backed by law are imposed on our members.
He said manufacturing companies are on daily basis springing up in the state, adding that at present the numbers of registered manufacturing companies is over 100.
“The challenge before manufacturers in Kwara is a potpourri of lack of easy access to loan because of the bureaucratic process involved in getting Certificate of Occupancy in the state, poor infrastructure, power shortage, and excessive taxes”.
Adeola however applauded the synergy between state Ministry of Industry and the manufacturers association in the state

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