₦airaland Forum

LasGidiOwner: That is the problem I have with some of you guys here. This is no longer regional government operations. These are federating units. You want economies or industries developed in other SE states to locate their head office in Enugu? Rivers developed its state with what it has- OIL. Delta State is developing itself with what is has- OIL. Anambra is presently developing OIL resources and first indigenous private refinery and after doing that you want the state to relocate the headquarters of Orient Petroleum from Awka to your state? Or Delta State relocate its own also, assuming they are part of Eastern states? It will not work. What has Enugu State done so far to develop its own resources and then site its head office within itself?

Every state is presently on its own and should develop at its own pace. It is high time Enugu state leaders start thinking straight to develop their state economically, to make it viable and self sustaining without having to have the same old mindset of the old "regional system of governance" because it will not work.

We need to start asking questions why the present and past administrations have not been able to develop coal resources and other numerous resources in Enugu state to give the state a broad economic and investment outlook than where poorly paid civil servants reside. I want to see the state government attracting investors to change the economic fortunes of the state for economic good than this "civil servants economic statuesque".

I think its a bit of a stretch to think that the idea that a state government developing an industry is a good thing because it is not. Which investor would like to compete with the state government.
Secondly companies locate their offices based several factors least of which is primordial because companies are businesses not charities.

biafrandream: One cannot underestimate the importance of seaports and international airports in the economic development of Igbo land.
However, I refuse to concede the validity of the argument that it is a condition precedent.

I lived and worked in Nnewi after my college. Then Nnewi was an emerging industrial and economic hub of Nigeria. A lot of factories were been established, like G. O .D Group of Companies, Ibeto , Curtis Wires, Life Vegetable Oil and a host of others. Did those brave Nnewi guys wait for seaport or international airport before establishing the multi billion naira companies? No.

There's nothing we cannot achieve economically in Igbo land even in the absence of both amenities. We only want to justify the stupidity of leaving our land desolate, to go and develop the land of people who hate us. Today we are paying the price and would pay more in the future.

The reason international airport and seaport still top our agenda for economic and social development is because we still depend so much on importation of consumable goods.

How many seaports are in Ogun and Kano states, yet our brothers establish all manner of industries there.

Our problem is predominantly that of lack of faith in our God given potentials and self hate. By self hate I mean hating our own brothers. Everyone rushes out of Igbo land, thinking everyone is smart, but everyone is plain stupid at the long run.

Yes, airports and seaports are important but we can do without them.

For a modern economy you cannot do without airport and seaport. Yes Nnewi and surrounding are trying in the Nigeria context of very low industrial base but it is still very nascent with products limited to local consumption thus a limited value chain with low employment and tax base. Airports and seaports add to increase the pace if industrialization as goods made say in nnewi are shipped all over the country and subregion at competitive prices and time.

A city is a living organism and like any living organism it needs to have a means of livelihood to survive. Therefore its survivability depends on its ability to go out there and bring home the bacon so to speak.

Enugu really does not have to reinvent the wheel nor does it have to look like other cities to be recognized. No two cities are same just like identical twins still have character differences with each individual cultures and idiosyncrasies.

What Enugu needs to do is study the economic variables of great inland cities like Atlanta, Dallas, Denver, Phonenix. These cities do not have seaports yet they are able to generate great economies that attracts and continue attract big corporations to their land. But what these cities have in common are transportation hubs for movement of people goods and services. E.g. American does Dallas, Delta does Atlanta, Usair does Phoenix etc.
Secondly they have great agric, tourism and manufacturing industries.

Manufacturing doesnt have be be the ability to make big airlines but little everyday things that people need.

So in all for Enugu to progress beyond what it is currently , the culture of making things ...doesn't matter what it is...should be part of culture of Enugu.

Thanks

And keep the communication.

The elucidation is to use your point of view to show that variation does not mean old.... At the same time mi.35 as far as am concerned is much newer than the mi.28 in terms of when they entered service irrespective of whether they are direct descendants of Sikorsky.

Again comparing modern aircraft goes beyond form... the last few posts showed a little comparison between the two.

Question is from military perspective as concerns the country which is much more suitable considering other factors.

thanks and be well

adconline: U dey mind him? If u have only been to Shoprite, you would think that's the best mall ever built on earth..

Because that's what exists in there domain. If you can provide anything much better am pretty sure they will appreciate you.

Thanks

Variants..
a form or version of something that differs in some respect from other forms of the same thing or from a standard.

Meaning that the Avionics of the M.35 a newer "variant" which entered operation in 2010 must be different. The relationship might be merely the form but the function and capacity is different.

The Boeing 777 that entered service in 1979 has many variants that are among the most modern long hauls today ...does mean that its technology is still 1979.

Mi-35 Vs Mi-28

entered service 2010(m35) 2006(m28)


Max. Speed 310(M35) 320 (M28)
range 435(M35) 460(M28)
Max weight at take off 11.5t (M35) 11.5t(M28)
ferry range 1000km(M35)

countries venezuela, Brazil (M35) kenya algeria(M28)

shymexx: Dude, STFU when those who're conversant with the military are talking.

Mi-28 started in 2009, and it's the most modern attack helicopter in the Russian inventory, apart from the ka-50. And it's comparable to the American Apache. Heck, Kenya has at least 16. And Algeria has close to 30.

I honestly don't know why you lot love spouting nonsense everywhere.

The Mi-28 combat helicopter has been developed by Mil Moscow Helicopter Plant and is known by the NATO codename Havoc. In August 1996 Mil rolled out a prototype of the day and night capable version, the Mi-28N Night Havoc. The first production Mi-28N took its first flight in April 2004 and began flight testing with the Russian Air Force in June 2005.

The Russian Air Force has plans to procure up to 60 of this variant, now called the Mi-28NE Night Hunter.

"The Mi-28 can be armed with a mixture of air-to-air and air-to-ground missiles, unguided rockets, and podded guns. "Three were ordered in 2005 and 16 more in 2006 for delivery by 2008. The first production aircraft was delivered in May 2006 and began formal acceptance testing in September 2006. Five aircraft are involved in the testing which is scheduled to conclude in early 2008.

Mi-28 can fly at a maximum speed of 300km/h, can fly rearwards and sideways at speeds up to 100km/h and is able to hover turn at 45° a second.


Source: http://defence.pk/threads/apache-vs-mi-28-havoc.19758/#ixzz3Ct0Y1bTb

Hope rises for eastern auto market as new investors enter ANAMMCO

September 10, 2014 | Filed under: main story | Author: Editor

Nigeria is set to witness a rash of industry revivals and employment generation, following the regeneration of the country’s moribund heavy duty truck manufacturer, Anambra Motor Manufacturing Company (ANAMMCO).

ANAMMCO, located in Emene, Enugu, which has been moribund for several years, is being recalled to life by an assembly contract agreement it signed with Transit Support Services (TSS) Limited.

Sequel to the contract, TSS has acquired an assembly line in ANAMMCO and is set to commence full-scale heavy duty and articulated trucks assembly operations next month (October), a move that is expected to see the production of 100 trucks per month in the first phase.

Coming barely one year after the introduction of the new automotive policy by the Federal Government, industry watchers say the commencement of assembly operations at ANAMMCO will lead to the revival of local component manufacturers in areas such as automotive batteries, lubricants, windscreen, clutch cables, mudguards, wiper blades, brake pads, automobile paints, component for tyres, etc.

They add that it will also bring about possible creation of new spin-offs, encourage small and big foundries, as well as the nation’s iron and steel industry, and ultimately lead to creation of thousands of jobs, many of them for several previously disengaged skilled workers of ANAMMCO.

The TSS/ANAMMCO deal comes on the heels of an earlier deal between TSS and Chinese commercial vehicles manufacturer, Shaanxi Heavy Duty Automobile Import and Export Company Limited, an Original Equipment Manufacturer (OEM), for the assembly of Shacman range of trucks in Nigeria.

Frank Nneji, chairman and chief executive, TSS Limited, told BusinessDay in an interview that the assembly plant was expected to have the capacity to produce an estimated 100 units of light and heavy duty trucks, tankers, lorries, tractor heads of up to 50 tonnes, tippers and concrete mixers for different applications.

The 100 units are expected to be produced on one shift alone, with capacity to double the number on the back of demand and supply.

Already, 12 automotive engineers from the Chinese Shacman trucks building company are expected to arrive in Enugu soon to set up the equipment in conformity with global standards.

When fully operational, no fewer than 3,000 units of trucks will be produced annually at the plant, with likelihood of raising output to 4,000 or even higher.

Patience Mike-Nwosu, an industry analyst, said the commencement of direct flights by Ethiopian Airlines from Addis Ababa into the Akanu Ibiam International Airport, Enugu, was very critical and laudable in opening up the eastern and south-south part of the country to markets in Africa, Europe, America, and Asia where the bulk of passengers from the zones visit regularly for trade and commerce.

She said this would give immense impetus to development by erasing the monumental economic losses that the absence of direct link to the world had created for the Eastern people and their international business partners over the years.

During his visit to Nigeria last May, Zhong Yi, Shacman manager in charge of Africa, applauded the Federal Government’s new development policy for the auto sector, saying the TSS/Shacman partnership was anchored on the need to provide for the local market, top quality commercial vehicles that had been accepted in over 80 countries across the world.

Yi said they did not come to Nigeria with the usual attitude of dumping vehicles in the market, but were prepared for direct, long-term investments in partnership with TSS in form of cash, technology, equipment and local content development.

BusinessDay had earlier reported that the proposed investments in assembly operations by top automobile dealerships in Nigeria were expected to push up the local manufacturing sector’s contribution to the Gross Domestic Product (GDP).

The implication, according to the report, was that motor vehicles and assembly’s current contribution of 0.8 percent to the manufacturing sector would increase significantly, going by the volume of ongoing and proposed investments in the sub-sector.

This would consequently push up the manufacturing sector’s current GDP contribution of 9 percent, which represents about $46 billion of Nigeria’s $510 billion GDP.



MIKE OCHONMA

BUSINESSDAY 10/09/2014

Centenary City: A lifestyle community offering opportunity for living, business

September 9, 2014 | Filed under: Real Estate | Author: Chuka Uroko







Consistent with modern city development, the Centenary City in Enugu, South East Nigeria, is a new lifestyle community where the developer, Private Estate International West Africa, is offering opportunity for residence, commerce, industry and serviced plots of land for sale.

The residential development within the community caters for a wide range of housing needs including entry-level, middle-income, executive, and super-exclusive homes. The community is located around an 18-hole golf course that winds itself around the entire stretch of the development. An additional, exclusive 9-hole golf course is located within the Presidential Park Estate and opens to only residents of this super-exclusive and ultra-secure community.

A 5-star clubhouse and hotel is planned to be the central meeting point for residents in the community. The hotel, to be managed by the Marriot brand, would be located next to a lake and wrapped around the golf course. It will be built as a resort-getaway for business conferences and families desiring a vacation away from their busy daily lives. Other amenities like schools, places of worship, sports facilities, and many others will be provided to make this a self-sustaining city. The community is such that no other city in Nigeria is conceived in this way.

Popularly known as Enugu Lifestyle and Golf City, this facility which occupies a large expanse of land measuring 1,097 hectares, is designed to offer a lifestyle of luxury, serenity and security and the developer estimates that infrastructure and other related cost of developing the city is about $300 million.

A public private partnership between Private Estate and Enugu State government, the Centenary City has recorded significant progress in infrastructure development while several off-takers have commenced construction of their building units.

Kingsley Eze, the MD/CEO of Private Estates International, says the Golf City is the premier lifestyle city in Sub-Saharan Africa, pointing out that it is characterized by breath-taking vintage layout with a fine blend of functionality that connects living with sustainable grandeur.

Cutting edge infrastructural facilities in the lifestyle community include state-of- the- art electronic security system, water treatment plants, steady electricity supply, good roads network with street lightings, drain and walkway, telecommunication facilities, wireless network, recreation park, hospital, nursery, primary, secondary school, shopping mall, Club House, 18-hole golf course, 9-hole golf course, 5-star hotel, security post and fire station.

The city which is located in Independence Layout Phase 2 Enugu along Enugu-Port Harcourt Expressway, is about five minutes drive from Independence Layout Phase One and eight minutes drive from Akanu Ibiam International Airport, Enugu.

culled from Businessday 09/09/2014

The National Bureau of Statistics (NBS) said on Sunday that the growth rate of real Gross Domestic Product (GDP) stood at 6.54 per cent in second quarter of 2014.

This was contained in a statement issued by the Statistician-General of the Federation, Dr Yemi Kale, in Abuja.

Kale said the figure was 0.14 higher than 5.40 per cent recorded in the corresponding quarter of 2013, and also higher than the 6.21per cent recorded in the first quarter of 2014.

“In the second quarter of 2014, Nigeria’s Nominal GDP (at basic prices) was estimated at N 21.7 billion and16.1 billion in real terms.

“In the corresponding quarter of 2013, nominal GDP was estimated N19.9 billion and N15.1 billion in real terms,” the statistician-general said.

He said the average daily crude oil production in the second quarter of 2014 stood at 2.21 Million Barrel Per Daily (MBPD) as against 2.11 mbpd in the corresponding quarter of 2013.


Dr Yemi Kale, Statistician-General and CEO National Bureau of Statistics

“This is an increase of 0.10 mbpd or 4.7 per cent. In addition, the US dollar price of crude increased significantly from an average price of 104.31 per cent in second (Q2) 2013 to 112.25 in Q2 of 2014, an increase of 7.6 per cent.

“Consequently, Oil GDP was valued at N2.6 billion in nominal terms in the second quarter of 2014, compared to N2.6 billion recorded in the corresponding quarter of 2013,” he said.

He said that real growth in the oil sector was recorded at 5.40 per cent in Q2 2014 (-5.22% quarter-on-quarter), indicating better performance compared to -16.42 per cent growth recorded in Q2 of 2013.

Kale said the non-oil real sector of the economy grew by 6.71 per cent in the second quarter of 2014.

“This is a decline of 2.17 percentage points from the 8.88 per cent growth recorded in the corresponding quarter of 2013.

“Relative to Q1 of 2013, non-oil growth was also lower by 1.49 percentage points when growth was recorded at 8.21 per cent.”

Kale said the services sector accounted for the largest share of real GDP in the second quarter of 2014, amounting to N8.5 billion or 53.15 per cent.

“Industry ranked second with a contribution of N4.2 billion or 25.96 per cent, while agriculture constituted the smallest sector in the second quarter, representing N3.4 billion or 20.89 per cent of GDP.”

cuuled from pm news . 07/09/2014

THE National Bureau of Statistics (NBS), Monday said the formal and informal sectors recorded 500,224 new jobs in the first half of the year.

The Statistician-General of the Federation, Dr Yemi Kale, made the disclosure in Abuja at a three-day National Stakeholders’ Workshop on Review of the Definition and Methodology for Computation of Unemployment Statistics in Nigeria.

Kale said the sectors recorded 240,871 and 259,353 new jobs in the first and second quarters respectively.

According to him, the formal sector recorded 76,018 jobs in the first quarter while 78,755 jobs were created in the second quarter.

The Statistician-General said 158,894 jobs were created in informal sector in the first quarter, while 175,786 jobs were created in the second quarter.

``In the first quarter of 2014, the public sector recorded 5,959 jobs while 4,812 jobs recorded in the second quarter.

``The total new jobs for first quarter of 2014 was, therefore, 240,871, representing 10.3 per cent decrease from the previous quarter, which recorded 265,702 jobs and lower than the 431,021 jobs created in the corresponding quarter of 2013.

``The education (private) sector dominated the formal sector with the most number of jobs, taking up 23,643 jobs, representing 31 per cent of the total share, followed by manufacturing with 11,088 jobs, representing 14.6 per cent,’’ Kale said.

He said electricity, gas steam and air conditioning supply sectors records 12 jobs and water supply, sewage, waste management and remediation sector created 12 jobs in the first quarter.

``The informal sector which constitutes most of the jobs created in agriculture and micro, small, medium scale enterprises went up to 9.8 per cent compared to the preceding quarter which was 143,278,’’ he said.

He said the figure was lower than the 232,272 jobs created in the corresponding period of 2013.


Kale said the total new jobs created in the second quarter were 259,353, representing 7.1 per cent increase from the preceding quarter, which recorded 240,871 jobs.

The statistician-general also inaugurated the committee to review the definition and methodology for computation of unemployment statistics in Nigeria.

He said the review became necessary because under the International Labour Organisation (ILO) guidelines, anyone in the labour force who worked at least an hour during seven-day reference period was considered employed.

``Within the Nigerian context, any person in the labour force who did not work for up to 40 hours during reference week is considered to be unemployed.

``The definition used by NBS was adopted in a national workshop with several participants drawn from the National Statistical System (NSS).

``The use of 40 hours as a cut-off or measure has been described as outdated, by local and international partners and inconsistent with present realities in the country,’’ he said.

Kale said the NBS inaugurated the committee in line with its mandate of developing and promoting the use of statistical standards and appropriate methodologies in the country.

The Director, ILO Country Office for Nigeria, Mrs Sina Chuma-Mkandawire, urged the Ministry of Labour and Productivity and NBS to build a strong statistical foundation for the review of the National Employment Policy.

Chuma-Mkandawire, who was represented by the Senior Programme Officer, Mrs Chinyere Emeka-Anuna, said sound policy could only be achieved on the basis of solid and empirical evidence.

Prof. Sarah Anyanwu from the University of Abuja, who chaired the committee, promised that the committee would make recommendations that would reflect the unemployment statistics in Nigeria in line with international standards.

culled from Guardian newspapers 09/09/2014

@ OP thanks so much for making this topic a front page issue..When I tried it a few weeks back I was banned...

This evil group --Boko Haram is "seemingly winning the war on us " because of the media. Not because they have moved an inch from sambisa forrest where they have been confined for years. hopefully after the election next year, we will know where the media will stand on this issue

Let me understand this nairaland smarties...

An Australian met some Nameless Boko haram members who told him that General Ihejireka was their sponsor.

So this is the evidence that shows that the General was sponsoring Boko Haram.

Kola Farayola, Commercial Manager, First Aluminium Nigeria Plc, on Friday said that premium cosmetics packaging revenue might appreciate to N48.6 billion by 2017.

Farayola made this disclosure while speaking on the sidelines of the ongoing Packaging and Labelling Exhibition (PROPAK) in Lagos. Quoting Euromonitor, a UK-based market research company, Farayola said that the cosmetics and personal care products packaging has grown from N22.8 billion in 2010 and N32.4 billion in 2012.

He said that the growth indicates that there is a high market for cosmetics consumption due to the changes in taste and fashion, especially by Nigerian and African women.

He said that the premium packaging of cosmetics which largely included the use of high quality aluminium products like tubes would concurrently mean an improvement in aluminium manufacturing in the country.

“The Beauty and Personal Care Products in Nigeria is the second largest in Africa, after that of South Africa which is the first.

“A research conducted by Euromonitor states that Home, Beauty and Personal Care Products Market in Africa was valued at $12.9 billion in 2011, making it one of the fastest growing sub-sectors in Africa.

“What we have had mostly in Nigeria is the mass production technique where local manufacturers, especially small scale produce low quality products with no manufacturing and expiry dates, and so on.

“When some of them are interrogated, they tell you that Nigerians prefer cheap products, which invariably means they are not really concerned if it is of good quality or not.

“But the good news is that the taste of most Nigerians is changing, more people, especially women are getting conscious of the quality of beauty products they use.

“Even international brands like L’Oreal, Estee Lauder and Clinique, which are international brands, tapping into this market.

“The packaging industry as reported in a recent research is growing at a 12 per cent rate annually, with food and cosmetics products taking a major part of the growth.

“Obviously this tells us that Nigerians now prefer premium packaged products to the mass produced ones, and this should mean a turn for the better for local manufacturers who are alert,” Farayola said.

He said that the growth in the sub-sector was characterised chiefly by steady economic growth and a growing population, where 62 per cent of Nigerians are 25 years and below.

According to him, other factors are education and more exposure, new desire to acquire expensive products, online shopping platforms, increasing number of women in formal employment and a growing middle class.

He further advised local manufacturers to take advantage of the current growth rate and prediction to put the right requirements together for maximum returns.

“What does this growth mean? It means SMEs (small and medium enterprises) should seek ways to start producing premium quality cosmetics, as mass or low quality products are going down the drain.

“Worthy of note is compliance with international packaging regulations, especially the European Union rules which states that every food, drug or cosmetics product must state a maximum time of use after opening.

“This is something we do not have in this part of the country; most people keep using a body cream for up to one year after opening, not minding if it has become harmful.

“Also, consideration needs to be given to the quality and type of packaging materials depending on the shelf life, chemical content and use of such product,’’ he said.

Culled from Businessday 09/05/2014

BlackPikiN: What's the meaning of Ogui? Is it an Igbo word? Oga spyder.

Ogui is the short form of Ogwugwu Iyi.. Ogwugwu is the name of the area and Iyi is an igbo dialect name for stream..

But in all Ogwugwu Iyi refers to the village in that area that was shortened to Ogui as Enugu developed.


Just like Enugu used to be Enugwu Ngwuo ... but actually its a misnomer as Enugu is in a valley

@Lastpage.. All your thesis are well and dandy in a typical economics book. Here in the real world. The Japanese completely banned most things coming into their country until they achieved an equal level. China did the same. India did the same. You wonder why the people that wrote the economics book you are alluding to are also banning agricultural products where they do not have competitive advantage.
Every nation bans be it through tariffs or whatever to restrict products in their country.

One wonders why its a problem doing so here.
We are sufficient in cement because of bans that saw the rise of Dangoto or we will still be at the mercy of Greece.

Thanks and be well

Fish and rice imports through the nation’ seaports have dropped by over 80 per cent, the Seaport Terminal Operators of Nigeria has said.

The spokesperson of the terminal operators, Mr. Bolaji Akinola, made this known in an interview with our correspondent in Lagos on Wednesday.

He said the unfavourable government’s policies had caused importers to divert the importation of these products to Cotonou ports.

For instance, he said, “In 2010, about 112 ships of fish made up of 401,000 tonnes were handled at the Lagos Port Complex Apapa. This has been the highest volume since port concession.

“In 2013, this number reduced to 69 ships, representing a total of 220,000 tonnes of fish but from January 2014 to date, only 18 ships have been discharged with a total of 62,000 tonnes of fish. The decline is due to the quota system which became effective this year.”

The Federal Government had last year announced that fish imports would be banned in four years and the duty raised from 10 per cent to either 50 per cent or 100 per cent. The new system was said to be aimed at replacing imports with domestic production.

However, following a public outcry over the anticipated scarcity of fish, the import ban was in December 2013 replaced with a new policy to cut fish imports into the country by 25 per cent per year by introducing import quotas from January 2014.

The quota system is said to be aimed at reducing Nigeria’s frozen fish imports by 25 per cent and stopping the import of fish species such as catfish, tilapia and croaker that are produced in Nigeria through local aquaculture and capture fisheries.

Akinola said, “Even though the importation of fish through our ports has dropped, there is no scarcity of fish in the market. We now have a situation where importers are diverting their fish through Cotonou ports and then smuggle it into the country.

“It is the same situation that applies to rice imports. Annually, about two million metric tonnes of rice are handled at the ports. This volume has since fallen with the introduction of the 110 per cent import duty and levy on imported rice.

“In 2013, only 15 shiploads of rice were discharged at our ports; this amounted to 386,000 tonnes. From January to August 2014, the volume has remained very scanty – about 135,000 tonnes so far with only about seven ships coming into the ports.

“Yet when you go to the market, you see rice everywhere. While Nigeria is charging 10 per cent as import duty, another 100 per cent levy is imposed on rice, it is zero duty in Cotonou. This is the reason why our importers are patronising neighbouring ports, especially Cotonou, and then smuggle these goods into the country; Nigeria is losing.”

Akinola said terminal operators that specalised in bulk cargo operations such as rice and fish imports had been most hit by the policy.

He said that the terminal operators had since the port concession invested over $925m in improving infrastructure at the terminals.

Despite improving the level of port operations, he lamented that the port terminal operators were losing business.

He said though the volume of car imports which the Nigerian Ports Authority released in the first half of 2014 report was high, it would drop in the second half of the year.

A total of 154,846 vehicles reportedly imported in the first half of this year, which showed an increase of 16.5 per cent over the same period of 2013 with 132,930 vehicles.

He said, “What really happened was that some car importers in anticipation of the new auto policy had imported many vehicles; I know of a company that imported about 10,000 units. That is why the volume was high for the first half of 2014.

“Now that the auto policy has come to stay, its effect would be felt in the NPA’s second half 2014 report because importers are already diverting vehicle imports through Cotonou.”

Copyright PUNCH.

09/04/2014

Despite the existence of some ports at Warri, Port Harcourt and Calabar, cargo headed for Nigeria often come through the Lagos ports. Importers often determine which ports their cargo should be taken to.

This has in no small way contributed to the damage of the Lagos/Benin/Ore Expressway. This is due to the high traffic of heavy duty trucks conveying containers and the congestion of t he Lagos ports.

Some South-South based shippers told The PUNCH that the choice of Lagos ports as a destination for their cargo was mostly born out of a desire to mitigate costs and maximise profits.

The President of the Rivers/Bayelsa States Shippers Association, Mr. Udofia Ofon, said importers in Rivers and Bayelsa states were forced to use the Lagos ports despite the congestion due to the high cost of clearing goods at the Onne Port. The cost of clearing goods was said to be twice that of the Lagos ports.

Ofon said, “In the East, all the ports are not functioning; we are not using them. The cost of doing business in Lagos ports is cheaper because the charges importers have to pay at the Onne Port are higher than what is obtainable in Lagos. This has affected the price of our goods, making them not to be competitive in the market.

“The cost of clearing goods at Onne is double that of Lagos. For instance, clearing a Toyota car at Lagos ports might cost you about N200,000 but at Onne it is N500,000. By the time you are through with all the port charges, How much would then sell the car?

“This is the reason why we are importing our goods through the Lagos ports with all the attendant risks on the roads and the congestion there.”

Lamenting the high cost of freight in Onne, Ofon blamed the Federal Government for giving the concessionaire, Intel Nigeria Limited, a monopoly of the port.

He said the terminal operators defended their exorbitant charges with the claim that the Onne port was designated an oil and gas port.

He also said vessels which were initially headed for the Area 1 Port, Port Harcourt, were being forced to berth at Onne. Ofon noted the situation was detrimental to the development of the Area 1 port.

He said, “The Area 1 Port is Nigeria’s premier port, constructed in 1961; now, it is a shadow of itself. Although the port has also been on concession to some private terminal operators, if you go there, you will observe that there is no activity. We have had situations where importers have asked that their goods be shipped to Area 1 only for the vessels to be turned back to Onne.”

Ofon called on the Federal Government to empower the Nigerian Shippers Council to enable them to tackle the situation and bring sanity to the ports.

He also listed other problems of the Rivers ports as alleged extortion by the various security agencies present at the ports and the lack of infrastructure.

He said, “The painful thing about this entire arrangement is that 95 per cent of the cargo being brought in through Lagos end up in Aba and Onitsha; meanwhile, ports which are close to us are lying idle. It will help our business if such vessels carrying our cargo berth at Port Harcourt instead of Lagos.

“There are so many problems which have compounded the cost of doing business at our ports here. The Nigerian Ports Authority is still collecting charges from the concessionaires that ought not to be there since it is now operated by the private sector. Then, there is the problem of port infrastructure.

“The clearing process is also cumbersome. By the time you get to the gate after your goods must have been cleared, you are faced with another re-examination and given another amount to pay. This makes nonsense of the examination that has been done earlier.”

Ofon added that shipping lines were reluctant to use neighbouring ports in the region due to the route.

He said, “They would say that most of the channels go through creeks and because of the problem of militancy, they are often reluctant to use these ports. The government has to secure our waters if these ports are to thrive. Go to Calabar port, it is like a fishing pond. Area 1 is like a swimming pool. Although I see this as a gang up against the Nigerian maritime industry to ensure that it doesn’t grow, I urge the FG to look into this matter.”

He said the association had met severally with the Rivers branch of the Shippers Council and the NPA on the issue.

The President of the Delta State Shippers Association, Mr. Austin Egbegbedia, described the Warri port as the best in the country but noted that the port was dormant because the government had refused to summon the political will to revive it.

He said, “In terms of infrastructure, Warri port is the best in the country. The major reason why ships have refused to come here is simply because the Escravos bar which is just because the port needs to be dredged. The last time this port was dredged was in the 80’s yet the Lagos ports are dredged every year. That of Rivers is done once in a while.

“Dredging ports is a normal activity; it prevents the buildup of silt. Because the Warri port has not been dredged for decades, deep ocean vessels cannot berth here; the draught is just six metres deep. If only the port can be dredged, it can take any size of vessel in the world.”

Deep ocean vessels that dare to come to Warri port are reportedly forced to stop before the Escravos bar and their contents trans-loaded into flat bellied vessels that can berth at the port. The process, however, is said to be costly.

Egbegbedia also condemned the monopoly enjoyed by Intel as the sole concessionaire of the Onne port, noting that the dominance had led to the exorbitant rate of charges at the terminal.

He said, “They call it an oil and gas port so they allocate the same charges meant for oil and gas products to other cargo like vehicles and clothes. Every businessman is out to mitigate cost so when you see that that of Onne is much higher, you are forced to use Lagos.

“It is really sad that Warri port is down. When Ajaokuta steel mill was being constructed, all the materials used in its construction came through the Warri port. There was no problem with the depth then; that tells you that there is nothing wrong with this port.

“There is a Customs Area Controller for Edo and Delta states but tell me what the man is controlling when there is no activity here. Are we second class citizens that the government cannot attend to the ports in areas that generate oil revenue?”

Egbegbedia added that the revival of the Warri port once again encouraged the export of cash crops from the region. He attributed the development of the then mid-western region to the viability of the Warri port.

He said, “If Warri port is working, farmers in this region will find it easy to bring their goods here for export. All they need to know are the days when refrigerated ships which would export their goods overseas, are coming. As it is now, they would first have to transport the goods to Lagos before they would then talk of getting refrigerated vessels for export.

“It is not enough for the government to set up a cargo airport at Asaba. It is cheaper for a ship to transport the same volume of goods that they intend to transport by air to any particular destination. The Federal government should please tell us why they spent so much money on the port infrastructure at Warri, yet they have done nothing to revive the port. Meanwhile, Lagos ports are congested.”

The Executive Secretary of the NSC, Mr. Hassan Bello, during a visit to the ports in Rivers State, condemned the indiscriminate charges reportedly meted out to shippers.

He said, “The NSC has been appointed as the regulator of the maritime sector and as such charges should not be increased without a meeting of all the stakeholders.”

He also said that a committee would be formed to look into all the issues raised by the Rivers State shippers association.

The Assistant General Manager, Public Affairs, NPA, Mr. Musa Iliya, could not be reached for comments on his telephone number; as it was said to be unavailable when our correspondent called.

A spokesperson for Intel who identified himself simply as Mr. Kalio said, “Intel is a specialised port and we don’t render any other service aside from oil and gas. Our job is logistics. Even though Onne has been on concession, it is still being controlled by the government. As such, we don’t fix our own charges. The charges are being fixed by the NPA through the Federal Ministry of Transport.

“Perhaps your sources failed to tell you that the number one problem they are facing here is piracy and militancy. That is why the freight rate to the port is high. The ship owner has to look at the risks involved and then charge the importer according to the port.”

cuuled from punch newspapers

Akwa Ibom government on Friday said it had acquired 14, 900 hectares of land for the take-off of Ibaka Deep Seaport in Mbo Local Government Area of the state.

The state governor, Godswill Akpabio, made this known in Uyo when the chairman of Infrastructure Concession Regulatory Commission (ICRC), Senator Ken Nnamani, visited him.

Akpabio said that the development of the seaport would be done through Public-Private-Partnership (PPP), and therefore solicited the involvement of ICRC in the project.

“We have worked really hard to fast-track the emergence of Ibaka Deep Seaport, which has a free trade zone. We have also received a license from the Federal Government for the commencement of the project.

“The Ibaka Deep Seaport would change the matrix of the unemployed in the country; it will attract investors to the state,” he said.

He restated that his administration was committed to building a sustainable economy through infrastructure development in the state.

Akpabio thanked the chairman of ICRC and his team for the presentation made on the development of the Ibaka Deep Seaport. He said that their visit had rekindled the hope that the seaport project would be realised through PPP.

He also called on the commission to partner the state government on the construction of dual-carriage way on Uyo-Aba Road, saying that the road would have a toll gate as approved by the Federal Government.

Sen. Nnamani said that the team was in the state to “share current issues in the commission with the state government.”

Nnamani, who is a former President of the Senate, commended Akpabio for promoting the concept of uncommon transformation of the state through infrastructural development.

He noted that the state had had infrastructural development and that the next phase was industrialization. He also said that the governor had laid foundation for investment in the state and assured that the commission would encourage him to do more.

In his presentation, Mr Chidi Izuwah, the Executive Director, Public Private Partnership, ICRC, said that the visit was to discuss how to sustain the infrastructure development in the state.

Izuwah said that the projects executed by Akpabio’s administration needed a framework to be developed for them for sustainability. He assured that ICRC would partner the state government on the development of the Ibaka Deep Seaport.

The seaport, according to him, comprised a terminal for containers and cargoes, free trade zone and industrial city. Izuwah said that the seaport was a project for the state, country and the world and that PPP was the appropriate choice for the maintenance of projects in the state.


Posted by on August 30, 2014, 2:06 pm.

The only thing the so called Diaspora have done to the country especially in IGBOLAND is create a cyclical culture of dependency. In other words they bring down"second hand clothes" thus killing of the brainic innovative "tailor"
The so-called development in their eldorado turned town is ...a subtle way of telling the youths in those places that their lives are better off abroad...what a contradiction.
Whether it is local AID or foreign AID its all "Dead AID".
The reason phillipines is the sick man of Asia is precisely that.

Am sure Nigerian medical schools have "Medical Ethics" as part of their curriculum....
And a "well" trained doctor knowing that a patient has a highy contagious disease disregared all aspect of his "medical training" to create havoc and misery to his wife, child and the larger society because of his love for money.

NMA you have truly failed this country period.

Collynzo16: What other cheaper raw materials are you talking about and how many megawatts have they been able to generate for us? You talk as if we have excess electricity flowing all over the country with consumers having the luxury of choosing their electricity providers, that is delusional.
Coal still remains the number one source of electricity in the world with a 50% stake, there surely must be a reason for that, it is cheap, reliable and produces more megawatts per plant than most other sources.
What environmental impact? What are the environmental impact of millions of generators in Nigeria?
What is the environmental impact of coal in USA, UK, China, South Africa, Germany and other developed countries where it is still veing used heavily?

.

Yes it is number one for those countries that do not have gas, so they make use of what they have... Isnt it only recently that USA started producing a lot of gas due to development in fracking technology and gas conversion... the implication is that if sustained might usurp coal as the cheap energy generator in the country..

Think about it what does Most oil producing counteries in the middle east use for power generation it is what they have --- oil and gas becasue it is cheaper.

thanks

ujoinme: The problem with coal exploitation in Nigeria is that the holders of the mining lease do not have the funds nor the technical. Ability to exploit coal. As usual in Nigeria we bring politics into everything. It is so sad, those who have the capacity are not awarded the lease.
i read recently that FG is about to revoke all none producing lease agreement. And award them to cocompanies with the capacity to mine the. Lease. Kogi State has the largest deposit of coal inNigeria but the biggest company there, dangote. Who needs the coal. And has the capacity to mine it has no mining lease.

Me thinks that the biggest problem with coal is the cheap availability of gas in the country... Coal simply cant compete enough at the moment until our industrial base puts a lot of strain on gas supply as different companies will be competing for the use of the same product---gas.

tit: all fossil fuels will not last forever.
whether it is Nigeria's oil and gas reserves or South africa's coal reserves.
not exploiting yours because it will not last forever is like
a man who has an acre of farmland - while his neighbor has a 100 acre farm, - saying he would not crop his land because it is not big enough.

.

again nobody says do not expolit it..what investors are saying whether its expolitation is viable and sustainable in terms of profitability compared to other sources in the country. If the answer is yes , then I can assure you that there are many people out there that wants to make profit from power generation... but nobody has come outright to tell them it is viable... The operating word is VIABILITY.

Again if there are no other source of cheaper energy material for generation of power in the country, then it becomes viable in terms of profitability... But we have large amount of gas deposits in the country even in Enugu that is a lot cheaper to expoit and use in power generation.

thanks

tit: will nigeria's gas last for ever?
Nigeria's oil and gas reserves are estimated to last till 2034.
Should we immediately divest from gas?

Nigeria has coal deposits all over Benue, Kogi, Anambra, Enugu and Ebonyi states. If they are exploited [b]at the rate [/b]they were in colonial times, they would last 400 years.

During colonial times as I understand , power generation was for the comfort of the colonialist and for the general populace...( villages then did not have power).

Times are a changing, high population ( compare to 25 million during colonial times), high urbanisation, increased rate of industrialization, etc....meaning that the consumption rate is very high and will be higher in years to come.
Yes we have coal deposits in those places but are they of commerical viable quantity to be utilized for power generation... if they are then am all for it.

Collynzo16: Even countries that have no trace of coal in their land still make use of coal to generate electricity, and they are better off for it.
Assuming we don't have enough quantity of coal in Nigeria to sustain eleectricity production, we can always import.
Despite all the alternatives available, 50% of the worlds electricity is gotten from coal alone.
Think about that.

remember the primary purpose of business is to make your shareholders happy (i.e make profit). In a competitive environment like Nigeria, why would one import coal when other cheaper raw materials are available for power generation. It will merely increase the consumers power rates which would of course move them to other companies.

So first thing first, How much coal do we have in Enugu to warrant the establishment of a large power generation plant that will be competitive in the market. If the answer is enough to last 50 or more years then by all means go for it... Also will there be any competitive advantage in importing coal to sustain a power plant in enugu. If the answer is yes then again go for it. Remember we have not even touched on the environmental impart etc.

thanks