Industries suffer 35% reduced capacity, job losses over recession, dollar scarcity

Sector by sector, the business community has begun collating data on losses over the economic recession, worsened by dollar scarcity in the past one year.

Within the period under review, the manufacturing sector has been producing at 35 per cent below capacity, with several thousands of job-losses recorded in the banking, oil & gas and other industries.

The National Employees Association said it was being compelled by circumstances beyond its control to reduce cost by ensuring that spent-forces are given the window of exiting out of their engagement.

Other corporate bodies have come out with what they have so far lost for the over one year that the economic crunch has been taking a toll on the country.

Read Also :  Inflation rate may rise to 17.35%

According to Mr. Jonathan Nicol, president, Shippers Association Lagos State, the maritime industry alone will shed three million workforces any moment from now.

Nicol said that the new forex regime had distorted import projections, which had been on decline.

With the new forex regime, shippers are paying more duty and costs of consumer goods are going up.

Also, the Association of Nigerian Licensed Customs Agents, threatened to shut down the nation’s ports over 45 per cent hike in customs duty over scarcity of dollars, which has sent more than half its members out of business.

To survive the high tariff regime, some of the clearing agents have resorted to smuggling, thereby having Nigeria Customs Service lose both revenue and men.

The Comptroller-General of Nigeria Customs Service, Retired Col. Hameed Ali confirming this said: “Nigeria Customs has lost 70 Customs officers between January 2016 till July while performing their duties to stop the activities of smugglers.”

By Emma Eke.

 

 

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