The Director General, Manufacturers Association of Nigeria, Segun Ajayi -Kadir has urged government to ensure a steady flow of foreign exchange allocation to the manufacturing sector for importation of vital raw materials and machinery not available locally.
Speaking at the business club’s Ikeja monthly business luncheon recently, he noted that the strategy would enable the sector to increase its productivity and become more competitive.
With the topic “Economic Recession And The Manufacturing Sector In Nigeria: When Industry Falters”, he noted that government should align monetary and fiscal policy measures that would facilitate the availability of long term loans at lower interest rates of not more than five percent for the manufacturing sector.
He stated that government should reduce company income tax to 20% adding that Singapore and turkey’s company income tax were 17% and 20% respectively.
According to him, the bank of industry should be strengthened and fully capitalized while development bank of Nigeria should be made operational as noted in the 2017 budget.
On the part of the manufacturers, he urged them to key – in into backward integration; ensure efficiency in production; establish multi-products portfolio; avoid building business sustainability around government incentives; deploy energy efficiency programme; review marketing strategies or evolve new ones and explore the ECOWAS market.
Speaking further, he stated that government must also intensify efforts to maintain the resource -based industrialization agenda, which man has been championing for decades.