By Helen Chimezie
The Manufacturers Association of Nigeria (MAN) has lamented that the multiple taxation from the federal, state and local governments is a major challenge in the manufacturing sector, which has led to increased production costs.
The president of the association, Otunba Francis Meshioye made this known on Tuesday in his address at the 39th Annual General Meeting of MAN Rivers/Bayelsa States, which held in Port Harcourt, Rivers State.
Meshioye appealed on behalf of the Rivers/Bayelsa States Branch of the association, that President Bola Tinubu should harmonize the tax regime. This he believes will foster a more favourable business climate, which will support manufacturing sector growth in Nigeria.
He stated that: “all the states have numerous tax agencies and consultants. This creates uncertainty as to who is legally authorized to collect taxes and levies. It makes it impossible for government to harmonize the charges and this creates a burden for industries.
“There is also the conflict between state and federal laws in respect to Single Haulage Fee (SHF) and Single Inter-State Road Transport Stickers (SIRTS). These conflicting scenarios should also be addressed by the states. We are hopeful that the state governments will effectively address these challenges with a view to improving the operating condition of businesses in the States.”
Welcoming guests and members to the event, the Rivers/Bayelsa States Branch Chairman of the association, Elder Vincent Okuku enumerated some of the challenges that have severely impacted manufacturing in the region.
According to him, the high cost of electricity, low patronage of locally manufactured products, unavailability of raw materials, multiple taxation, difficulty accessing funds and forex are some of the challenges that have plagued the sector.
Okuku however noted that although the challenges are numerous, manufacturers are confident that with carefully concerted efforts and effective public-private sector partnership, a friendlier operating environment will be recreated for the sector.
The AGM themed ‘Reigniting Industrialization and Entrepreneurship in South-South Region’ was preceded by a conference and exhibition of products. The event had in attendance government dignitaries, royal fathers, members of organized private sectors, the press and members of MAN.
The first paper presenter, Mr Kelvin Uwaibi while delivering his lecture stressed the need to diversify the economy in the South-South region. He noted that he sees no reason why the South-South region still lacks electricity with the large deposit of gas in the region.
The second paper presenter, Mr Irabor Pacqueens who is the South-South Regional Manager Bank of Industry, highlighted the need for businesses to operate in an ecosystem. He pointed out that businesses that are not operating in an ecosystem are disobeying the natural order of doing business.
The third paper presenter, Engr Ubani Ukanginieme further emphasized the need for collaborations between manufacturers and highlighted the key development indexes. He rounded up by giving stories of projects he has embarked upon.
