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Tag: MSMEs

  • FG, NLC and MSMEs on my mind? – By Francis Ewherido

    FG, NLC and MSMEs on my mind? – By Francis Ewherido

    Recently, I have been watching the activities of the Nigeria Labour Congress keenly.  My interest is in whether they were only interested in government employees and employees in the formal sectors of the economy, or if they take into consideration the welfare of people in the informal sectors, MSMEs including daily-pay workers, in their negotiations with the federal government. The informal sector employs majority of Nigerians, but it is not organised like the formal sector of the economy, so it has no central body to speak on its behalf.

    After the withdrawal of subsidy on Premium Motor Spirit (PMS) by the federal government and the resultant ripple effect on many sectors of national life, the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) have been talking with the federal government. NLC subsequently engaged in a three-day warning strike. TUC was not part of the warning strike, but both bodies gave notice to embark on an indefinite nationwide strike if they were unable to reach an agreement with the government. Luckily, after a series of negotiations, they arrived at a temporary truce. But my focus today is how all these warning strikes, negotiations, etc., are beneficial to the MSMEs and the informal sector. Beyond being the category where I belong, majority of Nigerian workers fall into this category.

    The first agreement reached by the federal government and labour is a wage award of N35,000  (thirty-five thousand Naira) only to all federal government workers which began from the month of September pending when a new national minimum wage is expected to be signed into law. This is for federal government employees only. Miserable as the sum of N35,000 looks, some MSMEs cannot afford that as minimum wage. Some states are also already grumbling. That is outside my focus today, but any state that cannot pay N35,000 minimum wage does not deserve to exist. The state governor, legislators and other government officials should resign and the state should be merged with a viable neighbouring state. It is wrong to love the glamour of statehood and hate the grind of statehood.

    The third agreement is inauguration of a minimum wage committee. This agreement has no direct benefit for majority of Nigerian workers. Some people may argue that it will trickle down because it will boost the purchasing power of these workers. There are many other intervening variables, but let me leave it there.

    Next is the suspension of Value Added Tax (VAT) on Diesel for six months beginning from October 2023 by the Federal Government. Yes, this will bring some relief to MSMEs who have diesel generators and trucks that use diesel. The cost of diesel is a major headache for MSMEs. A couple of MSMEs owners I spoke with said the removal of VAT has not reflected yet. May be it is too early, but the relevant government agencies should ensure MSMEs enjoy this little relief as soon as possible. The whole essence is to allow MSMEs breathe, even if temporarily. Please let them breathe. Improvement in electricity supply will also help to bring down operating cost.

    Another agreement is the federal government acceptance to vote N100 billion for the provision of high capacity CNG buses for mass transit in Nigeria. Provisions are also to be made for initial 55,000 CNG conversion kits to kick start an auto gas conversion programme, whilst work is ongoing on state-of-the-art CNG stations nationwide. The rollout aims to commence by November with pilots across 10 campuses nationwide. This will definitely help low income earners if it is well implemented. I am happy with it. Let this agreement be implemented to the letter.

    The sixth agreement is Federal Government plans to implement various tax incentives for private sector and other sectors. I can testify that MSMEs already enjoy some tax incentives and it is very relieving, but MSMEs need more. They employ the bulk of Nigerians and are very critical in reducing unemployment. We eagerly await these new incentives. I also welcome the affirmation of the commitment by the federal government as announced by President Bola Tinubu on the 1st of August broadcast to the Nation for Micro and Small Scale Enterprises.

    The seventh agreement that is of interest to me is the referral  of outstanding salaries and wages of tertiary education workers in federal government-owned educational institutions to the Ministry of Labour and Employment for further engagement. One major blight of the Buhari Government was the failure of the Ministry of Labour and Employment, and the Ministry of Education to resolve the labour dispute with the Academic Staff Union of Universities (ASUU). The resulting strike lasted for eight months. Thousands of students lost an academic session. The only universities Nigerians with low income can send their children to are federal government-owned universities and to some extent state government-owned universities. It is very tragic that these two ministers could not resolve the dispute.  We must never allow that to happen again. A four-year course must be completed in four years unless the student failed or got into trouble due to infractions.

    I am also happy with the federal government commitment to pay N25,000 per month for three months starting from October 2023 to 15 million households, including vulnerable pensioners. I am totally in support of this palliative as long as it is transparent. As I said in a previous article, N25,000 over three months is not chicken feed  for low income earners and vulnerable families. The sum of N75,000 might be what big men need to fill the fuel tank of Lexis LX 570, but it is big money for a vulnerable household. But this is a palliative and government should come up with long term plans to pull more Nigerians out of poverty.

    Nine, I also welcome the federal government plans to increase subsidized distribution of fertilizers to farmers across the country. This is very good. We need to produce a lot more food for our teeming population. But also important is improved security. Many farmers are unable to go to their farms due to insecurity. Local communities should assist government by giving information to security agencies of criminals in their midst. Securing Nigeria is everybody’s responsibility.

    Ten, it is still a mystery to me why our government refineries are still comatose. Billions of dollars have been spent on turn around maintenance (TAM), yet none is functional as expected.  The joint visitation to the refineries to ascertain their rehabilitation status is very important. If those refineries were functioning, there will be less importation of petroleum products and the pressure on our forex reserves will be less.

    Finally, I welcome the commitment of all parties to abide by the dictates of social dialogue in all future engagements. The NLC must never be an appendage of government but a watchdog to ensure that government actions are in the interest of not only workers but Nigeria and Nigerians. At the same time, NLC must be a partner to the government for a better Nigeria. Baring fangs at government during disagreements should be the last option not the first option.

  • FG mulls N75 billion intervention fund for MSMEs

    FG mulls N75 billion intervention fund for MSMEs

    The Federal Government says it is putting in place a N75 billion intervention fund to support small businesses in response to the country’s current economic challenges.

    The Minister of Industry, Trade and Investment, Dr Doris Uzoka-Anite, said this at the beginning of the 18th Abuja International Trade Fair (AITF) on Thursday in Abuja.

    The trade fair is with the theme “Sustainable Financing and Taxation”.

    Uzoka-Anite, represented by the Director of Commodity and Export in the ministry, Mr Kaura Irimiya, said the fund, which would be disbursed in March 2024 was to strengthen the manufacturing sector.

    The minister said that the Federal Government would also provide small grants to micro businesses in each of the 774 Local Government Areas in the country.

    According to her, the government has announced a plan to support small businesses and startups in Nigeria in response to the country’s current economic challenges.

    “We intend to spend N75 billion by March 2024 to strengthen the manufacturing sector.

    “We also intend to provide small grants to micro businesses in each to the 774 local governments of the federation.

    “We have also earmarked a fund of N75 billion that will be used to support up to 100,000 start-ups and MSMEs at single digital interest rates repayable over 36 months.

    “Last week, we launched the National Technology Export (NATEP) programme, in partnership with Microsoft.

    “And earlier this year we launched the over $600 million Investment in Digital and Creative Enterprises (iDICE) program, in partnership with African Development Bank and other partners,’’ she said.

    The minister emphasised that empowering MSMEs was key to empowering youths and women and enabling them to contribute to the nation’s economic development.

    According to her, the growth of MSMEs has a positive impact on the economy as it enables individuals to support their families and add value.

    In his message, the Minister of the Federal Capital Territory (FCT), Nyesom Wike expressed the administration’s readiness to collaborate with the private sector to reposition economic and business activities in the city.

    Represented by the Mandate Secretary, Economic Planning in FCT, Mr Chinedu Elechi, Wike solicited the cooperation of the private sector, especially in the area of taxation toward boosting the FCT internally generated revenue.

    Speaking earlier on the theme of the fair, the President of ACCI, Dr Al-Mujtaba Abubakar, said: “ AITF had served as a trusted global trade destination attracting over 500,000 consumers.’’

    He said that the trade fair provided a platform for business relationships, trade opportunities and ideas.

    “As a leading chamber of commerce and industry, we continuously strive to improve the quality of our trade events and this year we have added side attractions such as rewards, free jollof rice tasting and a fashion runway to enhance the fair’s appeal,” Abubakar said.

    According to him, the trade fair is part of ACCI’s initiative to connect businesses and create a platform for policymakers to interact with the business community, recognising the vital role of small businesses in the national economy.

    “We encourage everyone to participate in the 12-day event, engage in business networking and attend special days organised by government Agencies, Ministries and Parastatals, States, private sector and countries,” Abubakar added.

  • BREAKING: Tinubu approves N275bn for manufacturing, MSMEs sectors

    BREAKING: Tinubu approves N275bn for manufacturing, MSMEs sectors

    President Bola Tinubu has approved the release of over N275 billion for the immediate resuscitation of the manufacturing and the Micro, Small and Medium-sized enterprises (MSME).

    In a nationwide broadcast to the nation on Monday, Tinubu said that was part of the Federal Government efforts to cushion the effects of the removal of fuel subsidy on Nigeria and its people.

    ‘’To strengthen the manufacturing sector, increase its capacity to expand and create good paying jobs, we are going to spend N75 billion between July 2023 and March 2024.

    ‘’Our objective is to fund 75 enterprises with great potential to kick-start sustainable economic growth, accelerate structural transformation and improve productivity.

    ”Each of the 75 manufacturing enterprises will be able to access N1 Billion credit at 9 per cent per annum with maximum of 60 months repayment for long term loans and 12 months for working capital.’’

    On MSME, the president said that N125 billion would be made available to energise the sector as a key driver of growth of the economy.

    ‘’Our administration recognises the importance of micro, small and medium-sized enterprises and the informal sector as drivers of growth. We are going to energise this very important sector with N125 billion.

    ‘’Out of the sum, we will spend N50 billion on Conditional Grant to 1 million Nano businesses between July 2023 and March 2024.

    ‘’Our target is to give N50,000 each to 1,300 Nano business owners in each of the 774 local governments across the country. Ultimately, this programme will further drive financial inclusion by onboarding beneficiaries into the formal banking system,’’ he said.

    Similarly, Tinubu announced another N75 billion for 100,000 MSME start-ups at nine per cent interest rate payable in 36 months.

    ‘’In like manner, we will fund 100,000 MSMEs and start-ups with N75 billion. Under this scheme, each enterprise promoter will be able to get between N500,000 to N1million at 9% interest per annum and a repayment period of 36 months.

    The president said that the government was able to save more than one trillion Naira from the petrol subsidy removal which would be used to further develop different socio-economic sectors in the country.

    ‘’In a little over two months, we have saved over a trillion Naira that would have been squandered on the unproductive fuel subsidy which only benefitted smugglers and fraudsters.

    ‘’That money will now be used more directly and more beneficially for you and your families. For example, we shall fulfill our promise to make education more affordable to all and loans to students who may need them.

    ‘’No Nigerian student will have to abandon higher education because of lack of money. Our commitment is to promote the greatest good for the greatest number of our people. On this principle, we shall never falter.

    ‘’We are also monitoring the effects of the exchange rate and inflation on gasoline prices. If and when necessary, we will intervene.

    ‘’I assure you my fellow country men and women that we are exiting the darkness to enter a new and glorious dawn,’’ Tinubu said.

  • How MSMEs can increase Nigeria’s GDP by $50bn – NITDA

    How MSMEs can increase Nigeria’s GDP by $50bn – NITDA

    The National Information Technology Development Agency (NITDA) says that digitalisation of Micro, Small and Medium Enterprises (MSMEs) could increase Nigeria’s Gross Domestic Product (GDP) by 50 billion US dollars.

    The Director-General, NITDA, Mr Kashifu Inuwa, said this during his visit to the GIZ/Digital Transformation Centre, Nigeria office as a special guest at its Techmybiz pitch-a-thon event in Victoria Island, Lagos.

    Abdullahi said that digital transformation of MSMEs would help to grow the nation’s economy.

    He said that according to recent research, any MSME that transformed digitally could increase its revenue by 26 per cent and reduce cost by 22 per cent.

    “Statistical research in 2018 showed that digitally transformed enterprises contributed $13.5 trillion to the global GDP, and it is projected that in 2023, it will reach $53.3 trillion, which is more than 50 percent of the global GDP.

    “Therefore, if we in Nigeria can digitally transform our MSMEs, it could add 26 per cent to GDP or to the revenue of the MSMEs.

    “Today, MSMEs contribute 43 per cent to Nigeria’s GDP which is about $205 billion. Twenty-six per cent of this means digitisation of our MSMEs can increase our GDP by $53 billion,’’ the NITDA boss said.

    He said that the Federal Government was committed to digitally transforming the economy through a seven-point strategic roadmap and action plan.

    Abdullahi stressed that federal government regulations was not to stifle businesses, but rather to influence businesses to unlock opportunities using technologies.

    According to the NITDA boss, it has many regulations to protect the market, enable innovation and improve service delivery.

    He highlighted the strategic action plan that supported MSMEs as a developmental regulation meant to create an enabling environment for startups or MSMEs.

    Abdullahi said that the second pillar of the plan was about digital literacy and skills, because digitalisation or digital transformation or digital economy was a knowledge-based economy in which human capital was the most valuable resource.

    He said: “NITDA wants to achieve 90 per cent digital literacy by 2030. We want every Nigerian to be able to use digital devices to access digital services.

    “Every country needs to field in-country skills and build its digital offering, so NITDA started the initiative of training one million developers in 2022.

    “So far, we have trained 219,000 Nigerians on different aspect of technology.

    “On digital literacy, NITDA has trained more that three million Nigerians through various channels.’’

    The director-general said that the DTC Nigeria was an initiative funded by the German Government and the European Union, but implemented by GIZ with NITDA as the implementing partner.

    Abdullahi added that the GIZ/DTC and NITDA are in partnership to bridge the digital divide and are working together to co-create.

    Also speaking during the visit, Mr Bunmi Kunle-Dawodu, the State Manager, Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), said that SMEDAN had helped entrepreneurs in a lot of ways.

    Kunle-Dawodu said that one of such ways was through implementing its policy document, in which specific programmes had been designed to meet the needs of MSMEs.

    He said that its partnership with GIZ Nigeria and DTC had helped businesses to digitalise in many ways as technology had come to stay.

    The SMEDAN manager said that driving businesses with technology made it easy for entrepreneurs to showcase their businesses and work better.

    “I think and believe that this partnership is timely, and currently, in Nigeria, we have five Unicorn companies.

    “SMEDAN is looking at how to increase the Unicorn within the country and if possible, transit such companies to decagons and onboard so many with the partnership with DTC and SMEDAN,’’ he said.

    He said that the Techmybiz pitch-a-thon was a great event that had produced some pitchers who had solutions to some challenges.

    ‘’We are hoping to absorb these solutions into some of the work done in SMEDAN,’’ Kunle-Dawodu said.

    The Techmybiz Pitch-a-thon is an end-to-end digital transformation process implemented with the Innovation Support Network (ISN).

    It specifically aims at identifying and showcasing digital solutions developed by Nigerian innovators that are targeted at MSMEs.

  • FG provides broadband infrastructure for 22 institutions, MSMEs

    FG provides broadband infrastructure for 22 institutions, MSMEs

    The Federal Government has launched the provision of broadband infrastructure in 22 higher academic institutions and for Micro, Small and Medium Enterprises (MSMEs) in the six geopolitical zones of the country.

    TheNewsGuru.com (TNG) reports that the 22 institutions comprise of 18 universities and six polytechnics drawn evenly from the six geopolitical zones in the country.

    The Minister of Communications and Digital Economy, Prof. Isa Pantami, during the launch on Thursday in Abuja, said the initiative was aimed at boosting the economic drive of the current administration in various sectors.

    He said the project, which was to be implemented by the Nigerian Communications Commission (NCC), was approved by the Federal Executive Council, after the presentation by the minister.

    He also said this was to accelerate broadband penetration in Nigeria and advance the course of digital economy projections for the nation.

    He said that digital connectivity and expanding access to information played key roles in enhancing the economy.

    According to him, the World Bank estimated that an increase in the digitally-connected people across the globe to 75 per cent.

    Pantami said: ”This will result in an addition of up to $2 trillion dollars per year to world GDP and a creation of about 140 million jobs.

    “Similarly, a report by the Information Technology and Innovation Foundation states that 80 per cent of economic benefits in developing countries are as a result of the use of ICTs and digital skills.

    “While in developed countries, it is even higher at 90 per cent.”

    Pantami said that Nigeria had experienced the impact of the digital economy on other sectors of the economy.

    The minister added: “You will recall that the digital economy of Nigeria played a key role in stabilising and growing other sectors of our economy.

    “The ICT sector also enabled Nigeria to exit the recession triggered by COVID-19, a year earlier than predicted by experts.

    “In particular, the ICT sector grew by 14.70 per cent in the last quarter of 2020 and was the only sector that grew by double digits in this quarter and in the entire year 2020.”

    Pantami reiterated that digital connectivity, access, and skills were critical to human and economic development in both developed and developing countries.

    He listed the beneficiary tertiary institutions to include: University Of Lagos, College Of Education (Special), Ibadan, as well as Obafemi Awolowo University, Ile-Ife.

    Others were : University Of Nigeria, Nsukka, Federal Univeristy Of Technology, Owerri and Nnamdi Azikiwe University, Awka.

    The rest were: University Of Calabar, University Of Benin, University Of Port Harcourt, Ahmadu Bello University, Zaria, Bayero University, Kano, Umaru Musa Yar’Adua University, Katsina, Borno University, and ATBU, Bauchi.

    Others were:  Gombe University, Federal University Of Technology, Minna, University Of Ilorin and University Of Abuja.

  • Naira redesign: Abuja ACCI wants deadline extended

    Naira redesign: Abuja ACCI wants deadline extended

    The Abuja Chamber of Commerce and Industry (ACCI) has appealed to the Central Bank of Nigeria (CBN) to extend the deadline for the non-continuation of the use of the current currency notes.

    The President of ACCI, Dr Al-Mujtaba Abubakar, made the appeal in a statement he issued on Tuesday in Abuja in reaction to the recent announcement by the CBN on the redesigning of the country’s currency.

    According to him, there have been various reactions from experts on the policy and while some experts agree with the CBN’s strategic objectives for the exercise, others differ.

    “As a chamber, we recognise the advantages of this policy to include improvement in the integrity of the currency, curbing inflation, the efficiency of its supply and strengthening the strategy to conduct monetary policy, among others.

    “However, we are not unaware of the cons of this policy on the national economy, specifically to the Micro Small and Medium Enterprises (MSMEs).

    “We would recommend to the apex bank to intensify public awareness campaign on the need for people and businesses to transit cash outside the banking system to the banks,’’ he said.

    Abubakar explained that the sensitisation would allay the fears of Nigerians, deepen the buy-in of the citizenry and build national support for the implementation process.

    According to him, at the same time, the CBN should extend the deadline for the non-continuation of the use of the old currency notes.

    “The chamber would also advise the CBN to provide financial and non-financial interventions (support) to cushion any likely negative impact this policy may have on businesses,’’ he said.

    The president also said that the CBN, working with other stakeholders in the financial services eco space, needed to sustain and aggressively pursue and expand financial inclusiveness to cover unbanked segments of the society.

    “This can be achieved through new procedures that match the peculiarities of the informal economy.

    “The banking establishments also have a duty to harmonise bank charges associated with cash deposits,” Abubakar said.

    Newsmen recall that the CBN said that the redesigned Naira notes would be released by Dec. 15, adding that existing ones would cease to be regarded as legal tender by Jan. 31, 2023.

  • Soludo to Vice President: You are leading well, acting excellently

    Soludo to Vice President: You are leading well, acting excellently

    Governor Charles Soludo of Anambra state has praised Vice President Yemi Osinbajo for leading Nigeria very well when he has had the opportunity, stressing that, he acted excellently.

    Soludo made the remarks when he received Prof. Osinbajo at the Anambra State Government House on Friday as the Vice President continued his consultations with APC delegates.

    The former governor of the Central Bank of Nigeria noted that the Vice President has been one of the biggest promoters of Made in Nigeria products.

    Soludo expressed excitement and hope of a cordial working relationship with the Vice President, noting that, he was most delighted to welcome Prof. Osinbajo to Anambra State, adding that the VP has been instrumental in promoting MSMEs and youth development.

    “You have been to Anambra severally, but the one that I was part of, in receiving you, and the one dear to my heart, was when you came to commission the shoe factory (at Ogbunike).

    “Our government is about promoting made in Anambra, made in Nigeria (products). You came to empower us with that, with the MSMEs and thousands of youths and the less privileged in that particular industry.

    Prof. Soludo also commended the Vice President for his efforts in government and for steering the National Economic Council, as its chairman, noting that NEC “coordinates all economic agenda of the 36 states of this country.”

    “And in that capacity, I must state that Mr Vice President, also coordinating several of the special intervention programmes of the Federal Government, has been leading us well. In various areas and capacities where he has been assigned to do that, he has acted excellently,” he added.

    Governor Soludo noted that all the progressives should come together to build a better Nigeria and make it work, “because we believe that if all the 36 states of the Federation work, Nigeria works.”

  • Survival Fund: FG releases registration schedule as portal opens Monday

    As the portal for the registration of prospective beneficiaries for the Survival Fund opens on Monday, the Federal Government has released the timetable for categories of businesses to register.

    A statement issued in Abuja on Sunday by the Project Delivery Office stated that the portal which opens at 10 PM, will have educational institutions as the first category of beneficiaries to register.

    “Nigerians interested in the Payroll Support scheme are to note that the site for registration will be open from 10 pm Monday September 21, 2020.

    “In order to ensure seamless registration process, the Project Delivery Office (PDO) has designed a registration schedule.

    “Registration for Payroll Support will start with educational institutions on Monday and will be followed with businesses in the hospitality industry on Friday September 25 beginning from 12 A.M.

    “The portal will also be open to other category of small businesses from 12 A.M., on Monday September 28, 2020,” the statement said.

    The office therefore advised those interested in benefiting from the fund to take note of the schedule and also log on to http://www.survivalfund.ng to register for the payroll support initiative.

    The survival fund is a conditional grant to support vulnerable Micro and Small enterprises in meeting their payroll obligations and safeguard jobs in MSMEs from the shock of the COVID- 19 pandemic.

    The scheme is estimated to save at least 1.3 million jobs across the country, while targeting an average of 35,000 individuals per state.

  • UBA, Japan Trade Office Collaborate to Promote MSMEs in Africa

    UBA, Japan Trade Office Collaborate to Promote MSMEs in Africa

    United Bank for Africa (UBA) Plc has indicated its readiness to support the Japanese government in its drive to promote Small and Medium Scale Enterprises across Africa.

    The Chairman, UBA Group, Mr. Tony Elumelu, indicated this on Monday, when the members of the Japan External Trade Organisation (JETRO), led by its CEO, Mr. Hiroyuki Ishige, were hosted at a cocktail at the UBA House, in Lagos, Nigeria.

    Elumelu who welcomed the guests, noted that the deliberations had earlier begun in Davos, Switzerland, adding that like UBA, JETRO shared the passion for transforming lives and helping to build businesses and trade across the world.

    According to Elumelu, “When global leaders visit a country, they bring global attention. These investors who came from Davos have seen Nigeria as a business destination and have come to the country for the first time to visit us and see how things work here. The fact is that we all share the same passion to help transform lives and businesses around the world’.

    Continuing, Elumelu said to the Japanese delegation, “We are aware of the various investments you have made recently to develop Africa and African businesses and this is what we also stand for at UBA, developing enterprises across the African continent. We believe that this visit will mark significant milestones and progress as we work towards empowering the youths and small and medium scale businesses.”

    Elumelu stated that collaborations and partnerships such as these will help towards employment creation, poverty alleviation and building sustainable businesses that contribute towards economic growth.

    Ishige who was full of praises for the bank’s management, noted that he found Nigeria very interesting with many wonderful opportunities for investment.

    He remarked that JETRO aims to contribute to further development of Japan’s economy and society through promoting trade and investment as well as research in developing countries. “We like what we have seen here and we want to seize this opportunity to invite UBA to our oncoming Afro Japanese Summit which will be taking place in Yokohoma, Japan this August.

    “I am convinced it will be a great opportunity for both countries to showcase themselves and come together towards the common aim of building and supporting small and medium scale businesses,” the Japan Trade boss said.

    He explained that JETRO through its domestic and oversea networks supports small and medium enterprises, adding that the organisation cooperates with relevant organizations, local governments, etc. to provide services that match the needs of the company.

    As a company, the Japan Trade organisation fully utilizes domestic and overseas networks consisting of about 50 domestic bases, promotes investment, agriculture, forestry and fishery products.

    “We will actively and efficiently work on exporting food products and on supporting overseas expansion of small and medium-sized enterprises, and contribute to Japanese corporate activities as well as trade policies through surveys and research,” Ishige said.

     

  • Delta Govt graduates 110 trainees to meet demand for local fabrics

    Delta Govt graduates 110 trainees to meet demand for local fabrics

    The Delta Government says it has trained 110 persons in the last two years to meet the demand for its native attire called the “Akwa Ochan’’.

    Mrs Shimite Bello, Executive Secretary, State Micro, Small and Medium Enterprises Development Agency, made the disclosure in an interview on Monday in Asaba.

    Bello said that the in the first batch of the programme, 60 graduated 60 persons, comprising of young girls and women in 2018, adding that the second batch just graduated another set of 50 persons.

    According to her, the graduands were presented starter packs consisting of state-of-the-art weaving machines to start their own businesses.

    Bello said that her office decided to train more persons in the production of the local fabrics because of its increasing demand; both locally and internationally.

    “The training of the additional weavers became necessary in order to meet the increasing demand for the fabrics, particularly in the international market.

    “Akwa-Ochan is already trending at fashion shows in Lagos, London and Nairobi.

    “We were able to achieve this following the commitment of Gov. Ifeanyi Okowa to the development of the Micro, Small and Medium Enterprises (MSMEs) Centre at Issele-Uku in Ogwashi-Uku Local Government Area of the state.

    “The governor’s commitment necessitated the procurement and installation of state-of-the-art weaving machines at the centre,” she said.

    Bello said during the first training that only the elderly women benefitted.

    She added that the governor thereafter directed that in order to ensure the sustainability of the exercise, there was need to train youths who can sustain it.

    According to her, the exercise cut across all the local government areas of the state.

    “In line with his directive, we selected two persons each from the 25 Local Government Areas of the state for this second batch.

    “And as I speak, we have got a lot of orders for Akwa-Ochan to the point that some of our weavers were already rejecting customers’ orders.

    “The fabrics is getting a lot of demand, currently we have hit the Paris runway, Lagos and Ethiopia as people are now embracing the fabrics for `aso-ebi’ (uniform), because it now comes in different colours and designs,’’ Bello said.