₦airaland Forum

ThisisBuhari:
Baba Buhari for life.

Doing what PDP could not do in 16 years.

This particular pic is jibrin

With this law, no more patent. They should make the power sector much more competitive so that only one distribution company will not be handling a whole region, e.g. Ikeja disco that supplies most of the mainland which thereby sees itself as a regional monopolist.

IDEKEALUMONA:
really? I'm sure he doesn't know the contents of what he signed, He was just pointed at where to sign by Maman Daura and he did. Anybody still supporting this man( aside people in his government) has a problem in the head

Hatred has turned some people reasoning to one direction but mind you

daroz:
Does Buhari even know what it’s all about?

BlackPantherCri:
In plain English please? How does this benefit the common man?

All the strange people that quoted me. None of you could provide a suitable summary. Air heads

DeZoro:
Has anyone be monopolizing any product before? I beg, this nor make any sense!

Coca Cola is taking over Chi drinks, what does that tell you?

SheikhMuniru:
DANGOTE GO GET RIVAL BE THAT

And in which sector does Dangote not have “rivals”? Well, competitors (real rivalry is a function of personal efforts ).

Is it in cement, where BUA is a huge competitor (and it seems that the people of Ebonyi has finally agreed to allow their own kin Cletus Ibeto to take over Nkalagu Cement and modernize it, after decades of resistance), and where huge deep-pocketed global producers like LaFarge (and previously Holcim and Blue Circle, before both merged into LaFarge), Scancem and Heidelberg have operated in Nigeria since before the 1960s? Or does Dangote Cement lack competitors in the many other African countries where it goes head-to-head against not only multinationals but also local/national companies?

Is it in petroleum refinery, where government (through the NNPC) will be an overbearing competitor with the dubious advantage of being both regulator and competitor, and where there were about 28 licenses issued for private refineries (including the Orient Refinery) going back to the Obasanjo administration BEFORE the Dangote Group was granted its license relatively recently under the Jonathan administration?

Is it in petrochemicals and/or fertilizer, where apart from the government-owned petrochemical complexes at the Warri and Port Harcourt refineries (again where the government enjoys the dubious advantage of regulator/competitor), there is the privatized Indorama Eleme Petrochemicals majority-owned by the deep-pocketed renown multinational Indorama Group, as well as the privatized Notore Fertilizer (formerly NAFCON), which enjoys enjoys free zone status and has deep-pocketed foreign shareholders (such as the IFC’s private equity fund)?

Is it in sugar, where the behemoth Flour Mills subsidiary Golden Penny and the BUA Group are significant players? Or is it in flour milling, where same Flour Mills is by far the leading player in Nigeria, with Oba Otudeko’s Honeywell also a huge competitor? Or is it in rice production, where a late-starting Dangote Group has to compete against a deep-pocketed global player like Olams Group, the Vaswanis’ Stallion Group and several other competitors?

It is unfortunate that Nigeria remains a country where success is often envied and derided while failure and bigotry is often elevated and even celebrated. Success is NOT a zero-sum phenomena, and yours does not depend on someone else’s failure or vice versa!

dabossman:
Often the biggest players in a market have the tendency to engage in unfair activities that tend to crush their competition if not checkmated. Anti-trust laws are put in place to prevent these underhand tactics by the big players to run their competition out of the market. It helps to create a level playing field.

It is well known that Dangote has a monopolistic control of the cement industry in Nigeria. This was mainly achieved through import waivers, concessions, unfettered access to foreign exchange and acquisition of some government owned assets at cheap prices. e.g. Benue Cement. Go and ask the likes of BUA Cement and Ibeto if they got the same privileges from the government.

YES! They all did (and in fact, for a while Ibeto was the ONLY cement company in Nigeria importing cement without local manufacturing).

At the SAME TIME that Dangote Cement won the bid for BCC Gboko during the privatization program of the Obasanjo administration, Ibeto won the bid for the privatized Nkalagu Cement Company while the BUA Group won the bids for the Cement Company of Northern Nigeria as well as for Bendel Cement Company. In addition, the foreign multinational Holcim (one of the biggest global producers before it merged into another global powerhouse producer LaFarge, which also operated independently in Nigeria) won the bid for the privatized Calabar Cement Company (working in partnerships with Flour Mills).

Of course it is public knowledge that Dangote Cement’s acquisition of BCC was stoutly resisted by a segment of Benue indigenes shamefully led by then Governor Akume primarily on primordial XENOPHOBIC grounds (publicly driveling that Dangote should have bid for CCN or Sokoto Cement instead) while proffering a preference for foreign investors (as if any sane foreigner would invest in such a climate). Since resolving that resistance, Dangote Cement has not only upgraded/virtually rebuilt the Gboko plant (increasing production TEN-FOLD from a mere 400,000 tons/year at acquisition to 4 million tons/year and employing more workers in the process), but has also built schools and a community hospital while supplying pipe-borne water and electricity from the plant’s embedded IPP.

Meanwhile, the Ibeto Group met pretty much the same kind of hostile reception and resistance in respect of Nkalagu Cement Company - but shockingly from his own kin led by the Ebonyi State government, and it has taken well over a decade for Ibeto to apparently finally resolve it and thereafter to execute an agreement in mid-last year with China’s Sonoma (the same company that builds Dangote Cenent’s Nigerian plants) to modernize/rebuild the Nkalagu Cement Company plant.

sammyj:
Who said Dangote i the first place. Na you sabi. What about the Refinery

There were at least about 28 licenses for private refineries granted to other investors, going all the way back to the Obasanjo administration, BEFORE Dangote was granted a license. In fact, the Orient Refinery in Anambra State was licensed under the Obasanjo administration.

tempest69:
Does this mean DSTV will be facing a competitive brand ? I don't know but I hope so..

DSTV faces Hong Kong’s StarTimes, and also faced Nigeria’s Hi-TV.

In addition, there are other pay-tv licensees such as DaarSat and Trend TV. Of course, the Hi-TV dude collected debt financing from Nigerian banks, bought the rights to the EPL and then set about living it up reportedly with yacht parties in Monaco, Cannes, etc.

Tetehjewels:
Removing monopoly would encourage a competitive market and such competition would trigger price drops as supply may become more than demand.

Good one from Mr President

Not necessarily.

The best form of competition encourages innovation and affords consumers greater choices, but it does not necessarily nor inevitably lead to price drops. For instance, mobile phones are much better presently and we have more choices but they are certainly not cheaper. Price competition (or a competition based primarily on pricing) can be a dangerous race to the bottom to the extent that it constrains the considerable investment required for R & D that is not likely profitable in the short-term. In addition, price competition can lead to the insolvency and/or exit from the market of many competitors and thus result in the irony of ending up with a monopoly or oligarchy.

In the Nigerian cement space for instance, the entry of local producers like Dangote Cement and the BUA Group with their ultramodern plants, meant that the large global multinationals that dominated the Nigerian market since even before independence - LaFarge, Blue Circle, Holcim (with all 3 subsequently merging their global holdings), Scancem and Heidelberg, etc. - were not only compelled to stop primarily importing cement from their affiliates abroad (and at best bagging same in Nigeria), but also to renovate/rebuild and upgrade their local plants (at Sagamu, Ewekoro, Calabar, Sokoto, etc.) and to invest in new plants (Calabar/Odukpani, etc.). While there was not necessarily a price drop, Dangote Cement’s 52.5R-graded cement forced the competition to raise the quality of their products to mostly 42.5R grade from the basic 32.5R grade that they dumped on the market in their previous 50+plus years of operating in Nigeria.

Ultimately, the result of the competition fostered in the Nigerian market with the entry of Dangote Cement and the BUA Group led to a considerably high quality of cement, greater Nigerian domestic value addition and growth along the backward integration entire value chain, and the transformation of the Nigerian cement sector from the position of reportedly the world’s second-biggest importer of cement (with flotillas of ships regularly lining up off the shores of Nigeria, in what the Economist magazine once dubbed “The Great Lagos Cement Armada”) to an exporter of cement, and in the process saving Nigeria billions of dollars of foreign exchange, earning foreign exchange for the Nigerian treasury and creating TENS OF THOUSANDS OF NIGERIAN JOBS (along the entire production value chain, starting with limestone mining).

Long live the president!

oyebanji44:
bringing new hope and a new sense of direction to market -led- economy.Buhari deserves praise.

For this, yes. For others, no.

IDEKEALUMONA:
really? I'm sure he doesn't know the contents of what he signed, He was just pointed at where to sign by Maman Daura and he did. Anybody still supporting this man( aside people in his government) has a problem in the head

Your PhD holder the ever drunk ineffectual buffoon knows it, he(Goatluck) read it, understands it, but he could not sign it. Take note of this, if he looks like a fool, speaks like a fool and acts like a fool, don't be deceived, he is actually a fool. Goatluck Jonathan is a complex fool beyond redemption.

9jaRealist:
And in which sector does Dangote not have “rivals”? Well, competitors (real rivalry is a function of personal efforts ).

Is it in cement, where BUA is a huge competitor (and it seems that the people of Ebonyi has finally agreed to allow their own kin Cletus Ibeto to take over Nkalagu Cement and modernize it, after decades of resistance), and where huge deep-pocketed global producers like LaFarge (and previously Holcim and Blue Circle, before both merged into LaFarge), Scancem and Heidelberg have operated in Nigeria since before the 1960s? Or does Dangote Cement lack competitors in the many other African countries where it goes head-to-head against not only multinationals but also local/national companies?

Is it in petroleum refinery, where government (through the NNPC) will be an overbearing competitor with the dubious advantage of being both regulator and competitor, and where there were about 28 licenses issued for private refineries (including the Orient Refinery) going back to the Obasanjo administration BEFORE the Dangote Group was granted its license relatively recently under the Jonathan administration?

Is it in petrochemicals and/or fertilizer, where apart from the government-owned petrochemical complexes at the Warri and Port Harcourt refineries (again where the government enjoys the dubious advantage of regulator/competitor), there is the privatized Indorama Eleme Petrochemicals majority-owned by the deep-pocketed renown multinational Indorama Group, as well as the privatized Notore Fertilizer (formerly NAFCON), which enjoys enjoys free zone status and has deep-pocketed foreign shareholders (such as the IFC’s private equity fund)?

Is it in sugar, where the behemoth Flour Mills subsidiary Golden Penny and the BUA Group are significant players? Or is it in flour milling, where same Flour Mills is by far the leading player in Nigeria, with Oba Otudeko’s Honeywell also a huge competitor? Or is it in rice production, where a late-starting Dangote Group has to compete against a deep-pocketed global player like Olams Group, the Vaswanis’ Stallion Group and several other competitors?

It is unfortunate that Nigeria remains a country where success is often envied and derided while failure and bigotry is often elevated and even celebrated. Success is NOT a zero-sum phenomena, and yours does not depend on someone else’s failure or vice versa!

In Sugar Production it has no rival.... Very soon now, it Refinery will start working, any rival with that

SheikhMuniru:
In Sugar Production it has no rival.... Very soon now, it Refinery will start working, any rival with that

Did you even bother to read the post you responded to?

As noted, the behemoth Flour Mills of Nigeria is a deep-pocketed significant rival with its Golden Penny Sugar and just commissioned its latest refinery (one of the biggest in Africa) a few years ago. In addition, BUA Sugar has 2 state-of-the-art sugar refineries, including the only one outside of Lagos, as well as two huge sugar plantations situated in Kwara and Kogi states.

Similarly, as also previously pointed out, there were at least 28 licenses for private refineries granted (going all the way back to the Obasanjo administration) BEFORE a license was granted to the Dangote Group. In fact, Orient Refinery in Anambra State is operational, and thus Dangote cannot be a monopoly even among private operators (discounting government competition).

Nonetheless, you surely cannot blame Dangote for the inertia or incompetence or other inability of other private companies that received private refining licenses and simply sat on it. Except of course that many Nigerians have developed the crabby habit of denigrating and demonizing success while elevating, celebrating and even canonizing failure and incompetence. SMDH

9jaRealist:
Did you even bother to read the post you responded to?

As noted, the behemoth Flour Mills of Nigeria is a deep-pocketed significant rival with its Golden Penny Sugar and just commissioned its latest refinery (one of the biggest in Africa) a few years ago. In addition, BUA Sugar has 2 state-of-the-art sugar refineries, including the only one outside of Lagos, as well as two huge sugar plantations situated in Kwara and Kogi states.

Similarly, as also previously pointed out, there were at least 28 licenses for private refineries granted (going all the way back to the Obasanjo administration) BEFORE a license was granted to the Dangote Group. In fact, Orient Refinery in Anambra State is operational, and thus Dangote cannot be a monopoly even among private operators (discounting government competition).

Nonetheless, you surely cannot blame Dangote for the inertia or incompetence or other inability of other private companies that received private refining licenses and simply sat on it. Except of course that many Nigerians have developed the crabby habit of denigrating and demonizing success while elevating, celebrating and even canonizing failure and incompetence. SMDH

Gbam!!!