How to attain Vision 20 ' 2020 target, by MAN

PRESIDENT of Manufacturers Association of Nigeria (MAN), Kola Jamodu, has said that the country needs a virile manufacturing sector to attain Vision 20:2020 and to rank among top largest global economies.Speaking on Wednesday at the 44th Annual General Meeting (AGM) of Ikeja Branch of MAN, Jamodu said that the Federal Government's agenda of making the country a top economy in 2020 would only be a mirage unless concerted efforts were made to raise the capacity of local manufacturing sector.He decried rapid relocation of industries out of the country, saying that the government must arrest the ugly trend by addressing all operational challenges and threats confronting investors in their quest for profitable performance in the business environment.'Our dream to become a top economy in the year 2020 will be a mirage unless we have a virile manufacturing sector. Is it too complex for us to understand that no nation can be tagged developed without a virile manufacturing sector''Is it difficult for our operating environment to be improved significantly' We are concerned about the rate at which companies are relocating to Ghana due to harsh operating environment,' the MAN chief said.Like other concerned investors and experts, Jamodu identified infrastructural decay as evident in poor power supply, deplorable roads, dilapidated waterway and railway systems; lack of funds; smuggling of contraband products; inflation, and insecurity as major problems facing the sector.The sector's contribution to Gross Domestic Product (GDP) has dropped significantly from 15 per cent in the 1970s to 4.21 per cent in 2010.The contribution was estimated at 3.91 in the second quarter of this year, while capacity utilisation has nosedived from 70 per cent in the 1980s to 45 per cent in 2010.More than 1,000 manufacturing firms across the country have closed down and relocated to Ghana, Ivory Coast and other nations in the West Africa sub-region. Their places had been converted to places of worship and event centres.While urging government to tackle the economic constraints, he particularly canvassed increase in credit lending for local investors to enable them expand their businesses. He also called for proper linkages between large, medium and small enterprises.
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