It's interesting how when thousands of people made similar complaints about how dreadfully incompetent Nigerian medical emergency response teams and many medical professionals in general are, the Nigerian medical fraternity's reaction was to always band around to protect "their own" while telling us we were exaggerating or lying, ignorant laymen that we are.
Between Nigerian doctors and Nigerian pilots, I struggle to decide which group exhibits more collective arrogance and insularity when it comes to fielding criticism from perceived outsiders.
Now that the deadly incompetence of supposedly well-trained medical professionals has directly affected one of their own in the most horrific manner, maybe we will finally see some change.
It's sad that it had to come to this.
How Can We Save the Textile Mills?
The textile industry in Nigeria matters. BusinessDay reported that “in the 1980s, the Nigerian textile market had become the third largest in Africa, with over 180 textile mills and over 500,000 direct and indirect jobs.” At this time, textile imports were banned.
However, in 1997, the ban on the importation of textiles was lifted, and cheap imports from China and India flooded into Nigeria and killed off the textile industry. Over 50 companies had closed, while about 80,000 employees had lost their jobs.
To save the situation, textile imports were again banned in 2004. This new ban came with a bailout fund of N100b for the textile manufacturers, plus reduced duties for importing raw materials for textile manufacturing.
The Bank of Industry said that N60bn had been disbursed to various beneficiaries under the intervention scheme, which led to the re-opening of the United Nigeria Textile Limited in Kaduna. Capacity utilization had increased from 40% to 61%. However, even with the ban, Nigeria still imported about N300bn worth of textiles annually, per the National Union of Textile Garment and Tailoring Workers of Nigeria. Suresh Bakhijani, the Indian deputy high commissioner to Nigeria, revealed that Nigeria had imported textile products worth $138 million within one year from India.
By 2015, we had a complete cycle and had unbanned textiles imports again. The argument for this new policy is simple, Nigeria banned textiles, but imported textiles are still in the Nigerian markets. So the ban needed to be fixed. The other argument is that Nigeria signed up for the Common External Tariff (CET), and thus, we cannot close our borders to trade; we can, at best, impose an Import Adjustment Tariff.
Both arguments show a failure of strategic policy and decision making; let’s take the Common External Tariff (CET)….it is essential to understand that there is nothing like free trade; no nation opens its borders 100% to imports…none. I give an example of China.
China Imposed Anti-Dumping Measures on Korean Polyester
China has initiated temporary anti-dumping measures against South Korean imports of polyester staple fibre, state media reported on November 2002. The decision followed a probe into claims last year that the imports were hitting domestic polyester staple fibre producers hard.
So no one opens her borders because they signed a piece of paper..…
So what can Nigeria do?
Subsidize local textile production: Give the local textile companies a 90% rebate on the cost of generated Power. According to the textile union,
“Between 30% and 35% of textile and garment manufacturing costs are energy-related expenses. Thus giving textile plants zero per cent interest loans to build embedded power plants or pipelines to get gas to their factories.
Strategic imposition of tariffs: Let me illustrate how an import tariff should work; let us review the British Calico Acts (1690-1721).
In the late 17th century, The UK Parliament began to see a decline in domestic textile sales. It increased imported textiles from places like China and India. Seeing textile importation as a threat to domestic textile businesses, the UK Parliament passed the Calico Acts, and by 1813, the import duty on Indian cotton goods stood at 85%. By 1830 British cotton textiles dominated the world market, and the Indian cotton textile industry was in ruins.
The Calico Acts acted as practical trade barriers, which allowed Britain to build up its cotton industry with technology, specifically the steam engine. The trade barriers allowed the British textile industry to grow and learn to make cotton textiles as efficiently as the Indians did without the threat of foreign competition. Once the local British textile firms could produce cotton as cheaply as the Chinese and the Indians, the UK lifted the ban on cotton and began to export.
“The goal of protectionism is to allow an industry to develop until it can compete in international trade. Once the industry is competitive on global markets, you no longer need domestic tariffs, which can be removed” This is effective where the local market already has a latent capacity that can be deployed.
So, in Summary, Give the local textile companies local support, for instance, subsidized loans, diesel, and gas to power gas plants connected to textile clusters; this will drop their prices and kill off imports.
Also, consider a temporary tariff hike to give the local mills time to adjust their operations.
The goal should not be protectionism but to ensure the local textile market survives and creates jobs.
Originally published in January 2017 by Kalu Aja
@obiiiwill@PIDOMNIGERIA The Awka - Enugu express way hasn't been completed
Except for red sand grading of road I see in most of the onitsha roads I don't see what else he is doing.
November will be it's 2nd year in office
If you say he is working, mention it so we canygo and verify, that's all
There’s a hack.
‘Ctrl + Alt + Del’ to open task manager.
Go to ‘Details’ tab.
Find Power Bi or the required app.
Right-click and select set priority.
Change priority from normal to high.
Thank me later 🤝
@Jamessucre2@Abiginwa1 😁😁😁
What will now happens to the dilapidating cities which is still yielding bountiful resources to the state even in their poor conditions?