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FG promises more investments in the economy

By BusinessNews Staff on March 15, 2014

The federal government has promised more local and foreign investment opportunities in the Nigerian economy in order to position the country as the biggest investment hub in Africa.
President Goodluck Jonathan made the promise yesterday at Agbara, Ogun State when he inaugurated the $300 million Procter and Gamble (P&G) manufacturing plant.

Jonathan who was represented by the Vice President, Namadi Sambo, equally expressed gratitude towards the staff and management of the company for completing the construction of the plant within the life span of his administration, adding that: “It gladdens my heart to know that you have kept your promise by erecting and completing this facility as a promise of your commitment to product delivery.”

“I would like to congratulate the Group President of P&G as well as the entire management and staff of the company for this achievement as this transformation drive of our administration would create a lot of jobs across the country, help boost state revenue and impact positively on the Agbara community and its environs.”

The president added that after more than 20 years of operation in Nigeria, P&G is undoubtedly one of the country’s fastest growing consumer goods investors, saying the company’s success represents a vote of confidence in the Nigerian economy “and this is a pointer to the fact that our market and economic reforms are progressively on the right path.”

He declared that one of the goals of his administration was to achieve effective investment facilitation and coordination between relevant government agencies, therefore the government has taken steps to strengthen the one stop investment centre in the country through the National Investment Promotion Commission (NIPC).

“Projects such as this,” Sambo said: “Are aimed at strengthening our administration’s resolve to be focused. It is in this regards that I launched the Nigeria Industrial Revolution Plan and determined initiative aimed at accelerating the development of our industrial sector by increasing its contribution to Gross Domestic Product (GDP), from its current two percent to four percent in the next five years.

“For the first time, we are linking industries where we have comparative advantage to innovation and skills development. We are aware that we can only rapidly transform our country’s economy by locally sourcing raw materials. It is my hope that majority of the locally sourced raw materials as in the case with P&G will be encouraged in all fast expanding industries.

“Businesses are now being registered within 24-hours at the Corporate Affairs Commission (CAC) and we have opened key sector of the economy for investment participation for indigenous and foreign investors especially in the areas where we have competitive and comparative advantage.

“This is to ensure that participating interests receive good returns on their investments, make maximum impact in the local economy through job creation, the proliferation of franchise and above all, enhance value chain, while also boosting local capacity.”
According to him, “A national tax policy capable of eliminating double taxation and easing tax payment for individuals and organisations like yours is on the board now; we are certain that these measures will facilitate the development of the economy with the aim of enhancing GDP growth, domestic industrialisation and structural diversification of the economy.

“Let me assure you that by removing the barriers that hinder growth and development, government will continue to support you, and it is when we walk together as partners that growth can best be achieved.”

While commending the governor of state, Ibinkunle Amosun, and the people of the state for providing the enabling environment for businesses to trive, he assured Nigerians that the Lagos-Sokoto road, which is on the drawing board is at critical stage, as designs and completion of the project would be executed under a Public Private Partnership (PPP) programme.

“I would also seize this opportunity to inform you that the contract for the construction of a standard gauge fast train that will connect Lagos, Ogun State to Ibadan has been awarded and work will soon commence. I am pleased to inform that Olori-Osho power station has been successfully completed and has been privatised, and it is already adding value to our power supply in the country,” the vice president said.

In his remark, Amosun said with the inauguration of many industries in state in the last 30 month, the state has proved that it is one of the strong industrial hubs of Nigeria, and that the state is open for business and investors.

“ I wish to appreciate the management of P&G for the confidence reposed on our state, to locate such a multi-million Naira plant featuring the latest technologies in baby diapers production in our state.
“It is heart warming to know that P&G is investing so much infrastructural development. In this project, which is the largest single American project outside the oil sector, I want to say here that Ogun State has become the clear choice for direct foreign investment.

“P&G has been able to invest billion of Naira to promote economic growth and development. I want to assure that we will not take the confidence reposed on us for granted, let me say here that all the necessary support would be provided.

This occasion marks another milestone in my administration commitment towards industrialisation and economic prosperity in the state in particular and Nigeria as a whole. PG plant being inaugurated today (yesterday) will create over 2000 direct and indirect jobs. The factory will also engage in businesses of about 3,000 SMEs, and this will support in no small measure to meet with our administration commitment to reduce unemployment in the state especially among the youths and reduce the crime rate in the society.”

In his opening speech, the Group President of Procter and Gamble, Laurent Philippe, who had earlier hailed Nigeria and its people as resilient, added that the newly inaugurated plant was a demonstration of the company’s partnership to boost the government transformation agenda.

Philippe stated that facility would create more jobs for the populace and contribute to the United Nations Millennium Development Goals (MDGs) which is in tandem with the government agenda for job provision and human capital development.

According to him, “P&G has established significant investment footprints in Nigeria in its 20 years of operations in the country. Nigeria remains a focus area for P&G, and our investments have continued to contribute to strong inclusive growth.

“Currently, over 85 percent of P&G products sold in Nigeria are manufactured in the country, and Nigeria is our business hub for the entire West African region as we expand across the region. Our company is determining to expand our investment in the next five years with our ambitious plans to invest million of naira in widening our production platform as well as introducing new products and latest technology.”

The president of P&G, who disclosed that the company which invested $300 million in the new plant remains the United States biggest investment in Nigeria aside the oil sector, said the new Agbara plant would help to accommodate P&G’s significant expansion of “our current diaper lines and other categories for growth. This new investment will further generate employment in Nigeria with thousands of direct and indirect jobs and hundreds of small and medium enterprises (SMEs) in the country.

“Our vision is to make Nigeria a major production, innovation and export hub for our P&G Africa business. This new plant investment shows how the company’s purpose compels us to partner the Nigeria Transformation Agenda.”

[This Day]

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