Address By The Honourable Minister Of Industry, Chief Kola Jamodu, Mfr, At The Ministerial Media Summmit December 28, 2006 | posted by Nigerian Muse (Archives)

 

 

ADDRESS BY THE HONOURABLE MINISTER OF

INDUSTRY, CHIEF KOLA JAMODU, MFR, AT

 THE MINISTERIAL MEDIA SUMMMIT HELD

ON THURSDAY, 20TH JUNE, 2002 AT THE

 NATIONAL PRESS CENTRE,

 RADIO HOUSE, ABUJA.

 

Chairman, Senate Committee on Industry,

Distinguished Senator Fidelis Okoro;

 

Chairman, House of Representatives Committee on Industry,

Honourable Hamisu Muazu Shira;

 

Other distinguished members of the National Assembly here present;

 

The Honourable Minister of Information And National Orientation,

Prof. Jerry Gana;

 

The Honourable Minister of State for Industry,

Chief Lawrence Nwuruku;

 

The  Permanent Secretary, Federal Ministry of Industry,

Engr. S. M. Mahmood;

 

Directors, Federal Ministry of Industry;

 

Chief Executives of Parastatals and Companies;

Invited Guests;

 

Gentlemen of the Press;

 

Distinguished Ladies and Gentlemen.

 

1.0      PREAMBLE

 

1.1       I am delighted to welcome you all to this Media Summit which is aimed at apprising the public particularly the Press on developments in the Industrial sector.  With the policy of this Administration which is anchored on transparency and accountability on the performances of Government and its various agencies, I am  pleased to present to you the achievements of the Federal Ministry of Industry since the inception of  democratic governance on 29th May, 1999.

 

1.2       When the present Administration came into office, the Nigerian economy, particularly the industrial sector, was in a deplorable state.  In a concerted effort to revamp the economy the present Administration embarked on various policy measures and programmes aimed at restructuring the economy to make the private sector its prime mover while government mainly provides the enabling environment.

 

1.3       The Federal Ministry of Industry is charged with the responsibility to formulate government’s industrial policy and objectives with appropriate strategies, concrete programmes and projects to transform Nigeria into an industrialized economy, enhance the manufacturing of various consumer and capital goods for the domestic market and also for export.  In furtherance of this mandate, the Ministry has since 29th May, 1999, embarked on various pragmatic programmes and projects aimed at resuscitating and repositioning the industrial sector as part of the agenda of turning  around the economy for the better.

 

1.4       The Federal Ministry of Industry (FMI) is currently structured into six (6) departments. It supervises four (4) parastatals, namely:

 

(a)               Standards Organisation of Nigeria (SON);

(b)               National Automotive Council (NAC);

(c)               National Sugar Development Council (NSDC) and

(d)               Industrial Training Fund (ITF).

 

It also supervises twenty three (23) Government owned companies in the automotive, Machine tools, Sugar, Pulp and Paper, Cement, Fertilizer, and Development Finance sub-sectors of the economy.

 

1.5       In this address the achievements of my Ministry in the past three (3) years will be  presented under the following three (3) broad headings:

 

(a)               Policy Initiatives;

(b)               Projects and Programmes (Initiated and completed);

(c)               Major Accomplishments.

 

2.0      POLICY INITIATIVES

 

2.1            New Industrial Policy of Nigeria

 

In year 2001, the Ministry completed the review of the Industrial Policy of Nigeria, which we met at the preparatory stage in 1999.  During the review period, the draft policy document was widely circulated to all stakeholders, including all States of the Federation, the Organised Private Sector (OPS), UNIDO, etc., from whom invaluable contributions/inputs were received.  The new Industrial Policy of Nigeria which will bereleased very soon is a dynamic tool for stimulating and regulating the industrial development process in the country.

 

2.2       Production of an “Industrial Blueprint for Nigeria”

 

An “Industrial Blueprint for Nigeria” was produced articulating the strategies, action programmes and policy expectations for the attainment of the envisaged new role of the industrial sector of the Nigerian economy.

  

2.3        Improvement in the Investment Climate

 

As part of efforts to stimulate domestic production, Government has improved infrastructural facilities, reviewed downwards the import duties on imported machinery and raw materials not locally available in order to reduce the cost of doing business in the country.  Available figures and information provided from interactions with manufacturers indicate substantial improvements in capacity utilization in some sub-sectors from below 28% in 1999 to over 50% now and in some sectors to over 90% to the extent that they are now investing and expanding their production capacity.  The Food and Beverages, Soap and Detergent sub-sectors, in particular, have experienced increased capacity utilization to the extent that they are now  expanding their production facilities.

 

2.4.      Small and Medium Enterprises (SME) Development

 

The present Administration places high priority on the development of SMEs as veritable vehicle for promoting poverty eradication, job creation, rural development and sustainable livelihood.  The efforts of Government in that direction are not only yielding visible results in the expansion of industrial capacity utilization and reversing de-industrialisation process inherited by this Administration, but have attracted international recognition and commendation.  I am highly delighted to report that the commitment of this Administration to the development of the small and medium enterprises has been recognized by the World Association for Small and Medium Enterprises (WASME) with an Award to be presented to my Ministry on behalf of the Country at the World Convention of SMEs scheduled for September this year in China.  

 

In line with the emerging policy on SME development, the National Council on Industry, at its 13th meeting held in Makurdi, Benue State from 26th to 27th July 2001, adopted new definitions for the various industrial classifications as follows:

 

            (i)         Micro/cottage Industry

An industry whose total cost is not more than N1.50 million, including working capital but excluding cost of land, and or a labour size of not more than 10 workers.

 

(ii)         Small-Scale Industry

 

An industry whose total cost is over N1.5 million but not more than N50 million, including working capital but excluding cost of land, and or a labour size of 11-100 workers.

 

(iii)         Medium Scale Industry

 

An industry whose total cost is over N50 million but not more than N200 million, including working capital but excluding cost of land, and or a labour size of 101-300 workers.

 

(iv)        Large-Scale Industry

 

An industry whose total cost is over N200 million, including working capital but excluding cost of land, and or a labour size of over 300 workers.

 

2.4            Cement Sub-sector Development Policy

 

In pursuance of efforts to utilize local raw materials where we have comparative advantage, bulk importers of cement are being encouraged and in fact given up to the end of year 2002 to show positive and concrete evidence of investment in local manufacturing using the rich deposits of limestone which is available abundantly in the country.  To encourage direct investment in the sub-sector, duties payable by cement companies on their machinery and spare-parts were reduced and the National Gas Pipeline Grid is being extended to cement industries.    

 

2.6       Automotive Sub-sector Development Policy

 

In the continued efforts to rehabilitate, expand, sustain and encourage the development of the automotive sub-sector, the Federal Ministry of Industry has continued to promote the development and increased usage of local components and parts.  In this regard, the National Automotive Council (NAC) has put in place deletion programmes for the automotive assembly plants in the country.  Appropriate tariff structure in favour of local production was also put in place as an incentive for the development of the automotive sub-sector.  It is gratifying to note that Daimler Chrysler, which is a global player in the automotive industry, has agreed to increase its investment in the country.

 

·        ANAMMCO, Enugu has been designated as a Centre for Bus and Truck Production in Africa.  In 2001, ANAMMCO was able to increase its production to over 500 buses/trucks.

 

·        Peugeot Automobile of Nigeria (PAN) Limited, Kaduna invested more than N1.55 billion in the past two (2) years to improve the quality of its products and enhance capacity utilization.  In this regard, PAN Limited has more than doubled its production and sales of vehicles within the last 3 years.  The Company sold 8003 vehicles in 2001 including export.  To support the after-sales service, the company now has in-house Training Centre, which is of world standard.

 

·        The paint industrial facility has also been upgraded and expanded to raise production capacity. 

 

·        STYER Nigeria Limited,  Bauchi will soon resume production of tractors, under the Memorandum of Understanding signed between the FGN and Messrs Steyr –Daimler – Puch Spezialfahrzueug of Austria.

 

2.7              Sugar Sub-sector Development

 

The implementation of the revised National Sugar Policy, approved by Government in February, 2000, continued during the period under review.  Under the revised Sugar Policy, sugar imported into the country attracts an import duty of 40% and a sugar levy of 10%.  This is aimed at accelerating the growth and development of the local sugar industry in order to achieve at least 70% self-sufficiency by the year 2010 and thereby drastically reduce sugar importation as well as conserve scarce foreign exchange earnings.  In pursuance of this policy, a 250 tonne cane sugar per day (tcd) processing plant is being built locally at Sunti Sugar Company, by the Nigerian Sugar Company Limited, Bacita.  Both sugar companies at Bacita and Numan are being rehabilitated in preparation for privatization.

 

2.8              Effects of Port Reforms on Industries

 

In year 2001, Government embarked on 100% inspection of goods at the ports as part of the efforts to effectively address the perennial problems of smuggling and other forms of international trade malpractices.  This policy has had tremendous and positive effects as a check against under-invoicing and smuggling.

 

2.9              Promotion of Made-In-Nigeria Products

 

It is the policy of the Federal Government to patronize made-in-Nigeria products.  Local manufacturers have been geared up in support of this policy. For instance, all vehicles to be used in the next All Africa Games taking place in Nigeria will be sourced from local manufacturers.  Also, all uniforms and accoutrement in use in the public sector are now as a matter of deliberate policy, being sourced from local manufacturers.  Furthermore, Government has recently approved a list of locally produced items that Government Ministries and Agencies should patronize to encourage the patronage of Made-in-Nigeria products.  The items include vegetable oil, soap/detergent, biscuits, pastries, garments, printed textiles, leather sandals/rubber/belts, football boots, factory/rain boots, ladies handbags, pharmaceutical products, beverages, and vehicles.  Similar action was taken to protect local industries through tariff adjustments.  .

 

3.0     PROJECTS AND PROGRAMMES

 

3.1              Small and Medium Scale Industries (SMI) Projects and Programmes

 

Given the concern of the present administration for poverty eradication, job creation and sustainable growth and development, the role of Small and Medium Industries as a veritable vehicle for rapid industrialization and the engine of growth has become more crucial.  Accordingly, the Ministry has embarked on a number of projects and programmes which are already at various stages of implementation for the rapid development and modernization of SMIs to revive them and make them globally competitive.  Some of these projects and Programmes include the following:

 

a)        Rehabilitation and upgrading of institutional infrastructures in the existing twenty one (21) Industrial Development Centres (IDCs);

  

b)        Establishment of new IDCs in the remaining fifteen (15) States of the Federation and upgrading of the two (2) IDCs at Makurdi and Port Harcourt to Zonal Centres;

 

c)         Rural Industrialisation Programme to target 5,000 micro, small and medium industries in the 774 Local government Areas of the country;

 

d)        Promotion Programme for SME clusters and networks in eight (8) industrial sub-sectors nationwide;

 

e)        Capacity building programme of SMEs for export production (e.g in garment making, footwear and leather goods, furniture, etc);

 

f)           Establishment of pioneer industrial parks for micro enterprises in the Zonal IDCs at Owerri, Zaria, Bauchi, Port Harcourt and Makurdi;

 

g)        National Credit Guarantee Scheme for SMIs.  The Ministry has finalized the project document for the establishment of the scheme which will be a private/public sector joint venture with a capacity to guarantee about N20 billion loans to SMIs;

 

h)         Enterprise promotion and sustainable livelihood programme designed to assist 5,280 SMEs nation wide, train 3,000 artisans/craftsmen in various trades and develop the capacity of 17,760 people for sustainable trade skills.

           

3.2              Consultations with the Organised Private Sector (OPS)

 

In recognition of the role of the Organised Private Sector (OPS) as a veritable platform for the transformation of the industrial landscape of the Nigerian economy, the OPS desk in the Ministry has been strengthened and the manning level enhanced.  The Ministry held consultations with the members of the OPS, especially the Manufacturers Association of Nigeria (MAN), and the Nigerian Association of Small Scale Industrialists (NASSI), and the Nigerian Association of Small and Medium Enterprises (NASME).  The meetings provided avenues for exchange of ideas and rubbing of minds on how to tackle the problems of the manufacturing sector.  The inputs from the members of the OPS were critically analysed and most of the salient recommendations submitted to Government were considered for integration into the planning process of the Ministry.

 

3.3              Upgrading of the UNIDO Office in Nigeria to a Regional Office

 

The United Nations Industrial Development Organisation (UNIDO) Office in Nigeria has been upgraded to a Regional Office.  The Host Country Agreement formalizing the establishment of the UNIDO Regional Industrial Development Centre (RIDC) in Nigeria was signed in Vienna on 4th December 2001.  In addition, UNIDO initiated and assisted Nigeria in developing a Country Service Framework (CSF), otherwise known as the Nigerian Integrated Industrial Development Programme. The main objective of the Programme is to enable Nigeria identify and tackle some of its industrial development challenges in a cohesive manner for sustainable industrial development.   A Trust Fund Agreement on the management and the implementation of CSF was signed in Vienna on 4th December, 2001 between the government of the Federal Republic of Nigeria and UNIDO.   The steering committee and the various implementation committees for the programme have been inaugurated.

 

The implementation of the Programme has commenced with the release of US$1.0 million by UNIDO and N120 million counterpart funding by the Federal Government.

 

4                    Privatisation Programme as it Affects the Industrial Sector

 

It is noteworthy that the present Administration has set for itself a programme to privatize the ownership and operations of all industrial concerns in which Government has equity interest. The programme has been staggered into two phases in order to ensure successful implementation.  The 1st Phase of the privatization exercise, as it concerns projects   under the supervision of the Federal Ministry of Industry has been completed.  In this regard, the cement plants at Ewekoro, Shagamu, Ashaka, Sokoto and Benue have been fully privatised.  Action on the remaining two (2) at Calabar and Nkalagu is pending because they require some reactivation prior to offer of their shares to the public.  The privatization of Government interests in the pulp and paper, sugar, fertilizer and automotive sub-sectors, which constitute the 2nd Phase of the Programme is scheduled to commence this year.

 

3.5      Human Resource Development

 

Within the period under review, the Industrial Training Fund (ITF) was able to foster a closer working relationship with the Organised Private Sector (OPS) at all levels of government in the federation.  This forum helped in working out collaborative programme with Nigerian Employers Consultative Association (NECA) and Manufacturers Association of Nigeria (MAN).  The number of students benefiting from Student’s Industrial Work Experience Scheme (SIWES) was increased to 78,000 in 166 SIWES participating institutions.  There has been an increase in the Student’s  and supervisory allowances from N250.00 and N25.00 per month to N2,500.00 and N250.00 per month respectively.  There has also been an expansion of vocational  and industrial skills training activities for capacity building.  ITF was able to construct five (5) new skills workshops and renovate/update three (3) existing ones.  During the period under review ITF’s  Area Offices were increased from 22 to 25.  The number of employers benefiting from the training services of the Fund increased from 1,465 in 1999 to 2,795 in 2001.  ITF was able to computerize its operations and establish its Local Area Networking.  The Industrial Training Fund has therefore been re-positioned in the past 3 years to deploy its professional expertise and resources for continued capacity building in the national economy.  ITF has been recognized in international fora on human resource development  with its election on the Board of Directors of IFTDO.  

 

3.6     Industrial Inspection Activities

 

During the period under review, the Industrial Inspectorate Department (IID) of the Ministry was strengthened and provided with the needed wherewithal for effective operation. Consequently, the Department carried out inspection visits to various companies nationwide and issued 2658 No. Acceptance Certificates valued at N515,600,007,222.55 with total disallowances of N19,213,770,833.32.  This enabled the affected companies to obtain tax relief (through capital allowances) from the Federal Inland Revenue Service (FIRS).  The Federal Government would have lost revenue through improper taxation if the claims were allowed.  During the same period, the IID head office and the zonal offices were computerized to enhance their operational efficiency.  Additionally, internet connectivity was also achieved by the Department in the first quarter of 2002.  

 

4.0     MAJOR ACCOMPLISHMENTS 

 

4.1              Establishment of Small and Medium Industries Development Agency (SMIDA)

 

The Small and Medium Industries Development Agency (SMIDA) has been established as one of the core economic strategies of this Administration aimed at harnessing the prospects of a viable Small and Medium Industries (SMIs) sub-sector as the vehicle for rural industrialization and poverty eradication.   SMIDA is an umbrella Agency with mandate to coordinate and support the development of SMIs in the country.  Already, the Bill for the establishment of (SMIDA) has been passed by both houses of the National Assembly and will soon be sent to Mr. President for assent.  

 

4.2              Establishment of Bank of Industry Limited

 

The Bank of Industry (BOI) Limited was established in year 2001, with an authorized share capital of N50 billion (about US$500 million).  The bank was established to replace the three (3) erstwhile  development finance institutions -- the Nigerian Bank for Commerce and Industry (NBCI), the National Economic Reconstruction Fund (NERFUND), and the Nigerian Industrial Development Bank (NIDB). The Bank is expected to assist in resuscitating ailing industries and promoting new ones to cover all the geopolitical zones in the country, in the categories of:

 

(i)                 Projects that have large transformation impacts by creating forward and backward linkages with the rest of the economy;

 

(ii)               Projects that utilize domestic inputs;

 

(iii)             Projects that generate huge employment; and

 

(iv)             Projects that produce quality products for the export market.

 

The Bank was launched by Mr. President on Friday 17th May, 2002.  It is expected that N5 billion of the authorized share capital will be paid up this year while the remaining balance will be paid in phases.

 

4.3              SMI Equity Investment Scheme

 

The Ministry is a key Stake-holder and an active participant in the implementation of the Scheme which was established as an initiative of the Bankers Committee  to set aside 10% of their profit before tax for equity investment in SMIs.  The Ministry played a key role in consultations with the Central Bank and other relevant organizations and agencies to facilitate the smooth take-off of the scheme which was launched by Mr. President on Tuesday 21st August 2001.

 

4.4              Resuscitation/Rehabilitation of Ailing Industries

 

Conscious efforts were made to resuscitate/rehabilitate the under-listed ailing public sector companies under the supervision of the Federal Ministry of Industry, which are of strategic importance to the country:

 

(i)                 Sugar Sub-sector:

The assistance of the African Development Bank (ADB) was obtained for the  rehabilitation and expansion programmes at the Nigerian Sugar Company Limited, Bacita and the Savannah Sugar Company Limited, Numan  which are presently at various stages of completion.

 

(ii)               Fertilizer Sub-sector:

 

          a)  National Fertilizer Company of Nigeria, Onne:

 

In order to accelerate the pace of the on-going Phase 1 Rehabilitation Programme at the National Fertilizer Company of Nigeria (NAFCON), Government, in February, 2002 restructured the former Board of Directors of the Company into a Technical Board.  The purpose is to re-focus the revamp programme with a view to bringing the Company back to production preparatory to its privatization within a period of 18 months.  This is being vigorously pursued

 

b)  Federal Superphosphate Fertilizer Company of Nigeria, Kaduna:

 

The revamp of the Federal Superphosphate Fertilizer Company (FSFC) Limited, Kaduna is being carried out, using a loan facility which the Company obtained from ECOWAS Fund.  The Company has received delivery of machinery and equipment required for the revamp and their installation has commenced.  The plant has resumed production during the second half of last year when 6,000 tons of fertilizer was produced.  It is envisaged that before the end of the year, the full rehabilitation of the Company would have been completed which will enable it achieve about 70% capacity utilization.  FSFC is also scheduled for privatization and efforts in this direction have commenced.

 

(iii) Pulp & Paper Sub-sector:

 

A diagnostic review of the Pulp and Paper Mills at Jebba, Oku-Iboku and Iwopin revealed that they are viable opportunities for external investment through government’s on-going planned privatization programme in order for them to achieve their capability to compete in the international market.  Accordingly, all encumberances on the way of the proposed privatization process have been successfully removed with the rationalization of staff and liquidation of the huge debts, which the companies were owing the workers in terms of salary arrears and other entitlements.  Furthermore, the Bureau of Public Enterprises (BPE) has carried out financial, management and technical studies of the three Mills in order to ascertain the best possible ways of effecting their privatization.

 

(iv) Automotive Sub-Sector:

 

At the inception of this Administration, Steyr Nigeria Limited was out of production and was in fact under receivership due to accumulated debt of about N1 billion. The Federal Ministry of Industry renegotiated the unpaid balance of N670 million downwards to N350 million which has now been paid to discharge the receivership.  Furthermore, a Memorandum of Understanding (MOU) was signed with Messrs Steyr-Daimler-Puch Spezialfahrzueug of Vienna, Austria for the resumption of local production of tractors in Nigeria using the facilities at the Steyr Nigeria Limited, Bauchi.  The foreign technical partner will also, under the agreement, have 70 per cent shareholding of Steyr Nigeria Limited, which is a demonstration of confidence in the economy.  A formal Technical Partnership Agreement is being finalized in this respect.

           

4.5              Investment Promotion Drive

 

The renewal of political and economic cooperation with the countries of the world, after the successful transition from many years of military rule, is already stimulating business, trade and investment flows into the Nigerian economy.  The investment promotion efforts have been yielding fruitful results.  Some foreign companies from Italy, United States of America (USA), Norway, Japan, Korea and South Africa are now very much willing and in fact have started showing positive moves in this direction.  The cumulative experience in our bilateral interactions is that of increasing faith and confidence in the Nigerian Economy.   For instance;

 

·        Guinness Nigeria Plc has invested over £30 million in the past three (3) years to improve capacity of its plants at Ogba and Benin.  The Company is also planning to invest  £150 million to expand its manufacturing activities in the country;

 

·        UAC Nigeria Plc. (UACN) is planning to spend N2.3 billion on plant investment, logistics and new outlets as part of its business capacity expansion in the year 2002;

 

·        Unilever Nigeria Plc has a 3-year programme for which an investment of well over N4.5 billion is being made in the modernization/expansion of its existing facilities as well as in the establishment of new factories for specific products;

 

·          PZ Group is also investing about N3 billion to modernize and increase its production capacity;

 

·        An export oriented integrated methanol plant will soon be established in the country by a Singaporean firm at the cost of over US $1 billion;

 

·        Nigerian Breweries Plc. has invested N2 billion in their new ultra modern bottling line which is geared towards the company’s on-going optimization project designed to boost production output and ensure the best quality at affordable price; and

 

·        Nigeria has recorded N3.9 billion worth of foreign direct investment (FDI) between 1999 and this year, with substantial portion in the last 6 months.  Foreign companies are now coming to invest in the country, while the existing ones are now modernizing/expanding existing facilities as well as establishing new factories.

 

The cumulative effect of all these efforts is that the contribution of the manufacturing sector to the Growth Domestic Product (GDP), rose from a negative 3.9% in 1998 to 16% by the end of 2001.  Similarly, industrial capacity utilization has risen in the last 3 years from 28.5% in 1999 to almost 50% last year.

 

4.6              Investment Promotion and Protection Agreement (IPPA)

 

In the effort to attract Foreign Direct Investment (FDI), steps were taken to assure foreign investors of the safety of their investments in the country by entering into bilateral Investment Promotion and Protection Agreement (IPPA) with interested countries.  So far, IPPA designed to encourage and promote foreign investments has been successfully negotiated and signed between Nigeria and eighteen (18) other countries. Ten (10) of these Agreements were negotiated and signed during the period under review.  These were those with Germany, South Africa, Egypt, Italy, Switzerland, China, Niger, Sweden, Algeria and Yugoslavia.  In addition, IPPA with Spain, Hungary and Czech republic were concluded and will be signed when the Authorities of these countries are ready. Those of Benin Republic, Ghana, Russian Federation, Belgium, United States of America, Malaysia, Slovak and Tunisia are at advanced stages of negotiation.  The negotiation with these countries would be concluded and signed in due course.  At the level of the Joint Commissions, the Ministry participated in various Sessions with the representatives of South Africa, Trinidad and Tobago, Niger, Brazil, Cuba and Namibia.  It also participated in the Joint Economic Partnership Committee with the United States of America (USA).

 

4.7              Development of Machine Tools Sub-sector

 

During the period under review, Government embarked on the upgrading of facilities at the Nigeria Machine Tools (NMT) Limited, Osogbo.  In this regard, a Memorandum of Understanding (MOU) was signed on 14th September, 2001 between Nigeria and India for the utilization of the US$5.0 million Indian Government grant for the development of the Nigeria Machine Tools (NMT) Limited, Osogbo.  

 

4.8              Standardization and Quality Control

 

During the period under review, the Standards Organization of Nigeria (SON) continued in its efforts at promoting and inculcating the discipline of quality standards by domestic manufacturers  in line with global practices.  In this regard, the Product Standards published by SON became operational in August, 2002.  Moreover, the Quality Assurance Programme which is for quality system certification (ISO 9000 and ISO 14000), was expanded to cover Small and Medium Industries (SMIs) with a view to making them competitive.  SON was able to develop Sixty two (62) standards in the area of Building/Civil Engineering, Chemical Technology, Electrical/Electronics, Food Technology, Mechanical Engineering, Textile and Leather.  Also, 1,883 routine inspections were made to factories all over the country to ascertain their compliance with existing standards.  From May, 1999 to date, 9,971 test products were conducted for over 1,526 product types.  Within the period under review, 2,075 consignment of sub-standard products were seized and destroyed/returned to country of origin in line with its policy. Fifty-two companies obtained registration of their Quality Management System to NIS ISO 9000 while 2 companies registered to the environmental management system NIS ISO 14000 within the period.  Certification exercise for product quality award had been witnessing increase in manufacturer/consumer awareness.

 

Apart from publishing over 100 Product Standards to guide both local manufacturers and importers, SON also presented the Nigerian Industrial Standards (NIS) Awards to deserving industries.  In addition, SON continued to inspect both locally made and imported goods with a view to ensuring their compliance with existing standards. In order to increase and strengthen the presence of SON at the grassroots, two (2) new zonal offices were opened at Yola and Benin City in the year 2000.

 

On 26th February, 2002, SON in collaboration with the United Nations International Children’s Emergency Fund (UNICEF) launched the seventh revised National Standards for Vitamin  `A’  Food  Fortification.  Going by the success achieved from the fortification of iodine in salt which halved  the incidence of goiter, it is hoped that this vitamin A deficiency control programme in Nigeria will reduce infant and child mortality as well as other related diseases which can lead to blindness.

 

At  the continental level, Nigeria (through SON) successfully hosted the 28th Meeting of the Council of the African Regional of Organization for Standardization (ARSO) in Abuja from 13th – 15th November, 2001.  

 

4.9              Industrial Directory

 

In year 2001, the Ministry undertook a review of the 1995 Industrial Directory.  The new Industrial Directory, which will soon be published, contains information on about six thousand (6,000) manufacturing establishments employing ten (10) workers and above.  Such information include Names and Addresses of Establishments, Local Government Areas, and Number of Employees, etc.  

 

4.10          Inauguration of the Boards/Governing Councils of Companies/Parastatals Under the Supervision of the Ministry

 

During the period under review, the Boards/Governing Councils of Ten (10) companies/Parastatals under the supervision of the Ministry, which were dissolved since 25th August 1994, were constituted and inaugurated.

 

5.0                          CONCLUSION

 

Since the inception of this Administration, the Ministry has been re-focused, in terms of policy articulation and priorities, projects and programmes as well as a new drive for accomplishment.  This is predicated on the high premium which the present Administration places on industrialization as a strategy for people-centred development, poverty eradication, job creation and sustainable livelihood.  In view of the on-going policy reforms, the institutional arrangements and strategic investments being put in place by the present Administration, there is ample evidence that the industrial sector has been energized and revitalized for growth to play its expected role in the country’s development.  Indeed, we do recognize the fact that without genuine and sustainable industrialization, Nigeria will be marginalized and impoverished by globalization. We will not allow such marginalization  to take place.  Hence, the far-reaching institutional reforms, projects and programmes undertaken by this Administration will reposition and transform Nigeria into a major industrialized nation in a matter of few years to come.