Manufacturers Grapple With Multiple Regulatory Policies

The Manufacturers Association of Nigeria (MAN) said that its members are still grappling with multiple taxation and overregulation from government agencies. The association lamented that the development was impacting negatively on the country’s manufacturing sector. MAN President, Mansur Ahmed, an engineer, in an interview during the week, in Lagos, disclosed that despite government’s commitment to the revival of the country’s industrial sector to attain optimum growth in value chain, it was shocking that agencies of government were frustrating manufacturers from making headway and achieving sustainable productivity.

Ahmed stated that, often, agencies of the Federal, state and local authorities regulated the same manufacturing processes resulting in manhour losses, supervisory duplication using similar checklist and multiple regulatory charges, which often lead to increased overheads for manufacturers. He said, it has been very challenging for local manufacturers with many of them finding it difficult to overcome the economic turmoil in the business environment. Ahmed said: “Our survey we conducted shows that majority of respondents (92 per cent) agreed that multiple/ over-regulation by Agencies of Government depresses productivity in the manufacturing sector.

“Oftentimes, agencies of the federal, state and local authorities regulate the same manufacturing process resulting in man-hour losses, supervisory duplication using similar checklist and multiple regulatory charges which often culminates in increased overheads for manufacturers.

“It is expedient that government at all levels make efforts to harmonise regulatory operations, checklists and mandates in a manner that these agencies can promote friendlier operating environment and enhance sustainable economic growth in the country.” On multiple taxes/levies, the MAN president stated: “92 per cent of CEOs interviewed agreed that multiple taxes and levies depress production in the manufacturing sector evidenced by the numerous taxes, levies, fees and other charges that manufacturers pay to agencies of the federal, state and local governments on account of arbitrary increase in revenue target.”

Leave a Reply

Your email address will not be published. Required fields are marked *