Fidelity bank card banner Emerald Energy Institute Camano banner

Companies cry out over high cost of materials

By News Express on 29/10/2016

Gmail icon

Views: 1,756


Textile companies in Nigeria have decried the increase in cost of raw materials, saying it, has affected the level of production.

In an interview with the News Agency of Nigeria (NAN) on Thursday in Abuja, some textile companies’ representatives said that the economic downturn in the country had negatively impacted on their production capacity.

Mr Sumit Saigal of Sun Flag Nigeria Limited, Lagos, said the company was not able to produce to capacity due to the high cost of raw materials.

The company, which has been in Nigeria for almost 60 years and has no fewer than 1,000 workforce, only produces Ankara fabrics which are 100 per cent made in Nigeria.

“Sun Flag Company has its farm in Futua, Kastina State, where it grows cotton which is transferred to Ikorodu in Lagos State for further processing.

“The basic challenges that we are facing include the high cost of electricity, travel costs, fuel costs and high cost of raw materials; these are our basic concerns.

“Due to the economic downturn, cost of raw materials has increased tremendously and patronage has declined.

“We grow our own cotton, which is used to produce top quality Ankara, here in Nigeria.

“We want to encourage Nigerians to embrace locally made products; it will help to revitalise the economy.

“I believe that Nigeria will soon bounce back from this recession and business will be back to normal.”

Mr Parvesh Aswani of Noel Carpets and Rugs, based in Lagos, said high cost of electricity was the main impediment to the company’s capacity to produce optimally.

Aswani said that the company had been in Nigeria for 30 years with a workforce of about 5,000 and thanked Nigerians for embracing the company products.

He also said that the company’s products were 100 per cent manufactured in Nigeria although some raw materials were sourced from various other countries.

“We source our raw materials from various countries, including Nigeria to ensure that the quality of our products meet international standard and we have the capacity to customarise high quality carpets and rugs.

“We also export our products to many countries including Ghana, Senegal and the U.S, but due to the high cost of generating electricity, we are just managing to supply six African countries now.

“Due to the economic situation, we are facing a lot of challenges in importing raw materials due to high foreign exchange rate.

“We are hopeful that the recession will end soon so that businesses can grow and Nigeria’s economy can improve.” (NAN)

•Photo shows Trade and Investment Minister Okechukwu Enelamah.

Source News Express

Posted 29/10/2016 05:30:53 AM

 

 

CLASSIFIED ADS

 

You may also like...
Trump under fire after Putin meeting

Onnoghen: Buhari has declared war on Christians —...

Insurgency: 1,000 women get empowerment from Victim Support...

Stranded Ebonyi students abroad send SOS to Umahi...

Ogunlewe dumps PDP, joins APC

Wamakko sponsors 40 students to study abroad

Lagos State Government prosecutes Cameroonian house cleaner for...

Military spits fire, warns against breach of peace...

50 firms bid for NNPC tug boat charter...

Tinubu commends Buhari on steps towards making June...

Hit movie ‘FIFTY’ grosses over N400m on return...

Real Madrid sack coach for criticising team on...

 

Latest News EFCC arrests prison’s staff, 5 others for ATM fraud Wike lauds Fayemi’s leadership qualities, as NGF Chair commissions market in Port Harcourt Terrorists, military and media glamour SERAP demands immediate lifting of siege to offices of Sahara Reporters and CDHR Emeka Ozumba promoted Deputy CPS to Governor Obiano AfriHeritage advocates concerted efforts to end extreme poverty among women Varsity student kills boyfriend over N2,500 How I survived 7 abortions - Renowned woman activist School fire kills at least 26 children I’ve been unable to serve my wife divorce papers – Obasanjo Xenophobia: Why Air Peace is evacuating Nigerians for free – CEO Kano guber dispute: INEC, Ganduje, Abba adopt final defence; await judgement

 

Most Read NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (541,417 views) Nigerian female sex addict opens up, says ‘I like it with both men and women’ (443,392 views) Shameless Genevieve Nnaji exposes breasts in public (389,737 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (326,878 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (294,905 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (253,751 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (249,922 views) 10 cars more expensive than Jets (238,603 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (231,624 views) My wasted years in Olumba Olumba Obu’s Evil Brotherhood (217,660 views) Lagos plane crash: Journalist releases victims’ names (195,982 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (193,566 views)

 

CBN milk production

CBN banner advert

UBA Wise Savers Promo

 

Categories Advertorials (3) African Press Organisation (81) Art & Literature (102) Business & Economy (4,449) Business Verdict (80) Columnists (1,110) Complaints & Requests (96) Enterprise & Opportunities (215) Entertainment (664) Features (812) Global Business Monitor (442) ICT Monitor (63) International (3,962) Interview (203) Live Commentary (30) Love Matters (170) Maggie's Blog (414) News (51,453) Opinion (1,360) Pidgin (17) Politics (11,452) Religion (1,102) Sports (2,169) Stock Watch (39) AMA & Al Jazeera Global Update

 

 

 

 

 

 

APO Group Partner

 

 

CLASSIFIED ADS

GOCOP Accredited Member

GOCOP Accredited member

 

 

Africa Media Agency and Al Jazeera