All posts tagged "Muideen Ibrahim"

The Chief Executive Officer, BAMIB Resources and Investment Company Limited, Mr. Muideen Ibrahim, yesterday stated that locally-produced pencils would save Nigeria over $2.4bn (N734.4bn) of capital flight if encouraged and supported by the Federal Government with enabling policies. Ibrahim, who made this known in an interview with journalists on Monday, said it was important for government to discourage importation of goods and services that could be produced in the country. He also called on the Federal Government to support indigenous pencil companies to prevent importation of the product. According to him, if entrepreneurs were supported and encouraged, it would save government about $2.4bn on importation of pencils annually. “There are a lot of multiplier effects we shall give the country; some of which are backward integration of our major raw materials and basic components, massive employment opportunities and contribution to the Gross Domestic Product. “Also strategic investments in other regions and Foreign Direct Investments, amongst others, ‘’ he said. Ibrahim emphasised that there was need for the government to increase the tariffs on imported pencils or place a technical ban on its importation to encourage indigenous pencil manufacturers. He said this had worked in the rice sector and other allied products and as a result of this, a lot of people are into rice production at the moment and the country is getting better for rice production. Ibrahim, who urged the government to do something urgently for the local pencil manufacturers as they were suffering, implored the government to enforce the Executive Order 3 and Executive Order 5, respectively to the letter for effective patronage of local products. “Unfortunately, government is still paying lip service to these very good and apt Executive Orders. There must be a committee that will drive these orders and make them work. “Not only that, the government must `walk the talk’ on Ease of Doing Business. This is one of the ways to help local manufacturers. “Aside from that, there must be aggressive promotions on patriotism, among others. “I wonder what is happening to the National Orientation Agency. That agency used to be very vibrant in those days. “Call the manufacturers to a round table discussion and the government must as a matter of fact implement their decisions. The bane of our challenge in this country is implementation of policies’’, he said. The entrepreneur said BAMIB’s production capacity currently stood in excess of 450 million pencils per annum. He said there was room for expansion, saying that it was a function of demand and supply. He said the company had not broken even and could not even meet its obligations as and when due because of many challenges that were militating against it. Ibrahim said the challenges were surmountable if government intervened to ensure sustainability. “The challenges confronting us are so numerous, some of which are unhealthy rivalry and stiff competition by low quality pencils from some foreign countries. “They use price mechanism to push us out of the market and we cannot sell below our cost price. We are operating in a harsh environment and thereby making our production cost high.”

Oriental Times

All posts tagged "Muideen Ibrahim"

‘Locally-Manufactured Pencils Will Save Nigeria $2.4bn Annually’