Business
Manufacturers Groan As Price Of Diesel Hits N520 Per Litre
The organised private sector yesterday raised alarm that the current spike in the pump price of diesel to between N520 and N560 per liter would triple the cost of production and accelerate inflationary pressure on the economy.
The massive rise in the price of diesel is causing discomfort for manufacturers and businesses because they now rely heavily on it to power their generators following epileptic public power supply.
President of the Lagos Chamber of Commerce and Industry (LCCI), Michael Olawale-Cole, who spoke to newsmen yesterday on the prevailing high cost of diesel, said the escalation in the price of diesel would be a double jeopardy for manufacturers and portends a hard time that could even threaten their survival and competitiveness.
Olawale-Cole told newsmen that the prevailing prices of diesel, as well as current petrol scarcity “are totally unacceptable,” warning that “if we are not careful the economy and Nigerians will suffer for it.”
He attributed the trend in the domestic price of diesel to the rising price of crude oil in the international market, which is impacting on its landing price in Nigeria.
“The rising price of crude oil is part of it. The current scarcity of petrol is now influencing the diesel market.
“However, the answer to all these problems is to ensure that we are adding value to our crude oil here and stop depending on imported refined products. That is the solution and can be met by government showing commitment to ensure that our existing refineries are maintained and made to work.
“It is agonising that we are producing crude and exporting them abroad for refining and later import them at prices that we cannot afford. Naturally, this is going to affect inflation and add to the suffering of the people”, he said.
A member of the Manufacturers Association of Nigeria (MAN), who spoke anonymously to newsmen yesterday on the prevailing high cost of diesel said: “We will suffer for this as we generate our own power at a very high cost of diesel whose price has climbed from N380 in December 2021 to over N400 in January and is now selling above N500.
“It will triple our cost of production because we use diesel to bring our raw materials to the factories; diesel is also used to power our manufacturing plants. In addition, we use diesel to distribute manufactured goods to all corners of the country.
“So, diesel is very significant to Nigerian manufacturing because there is insufficient supply of electricity to power our plants, which would have made a lot of difference. Moreover, some of us are not getting gas to power their plants due to pipeline vandalism”, he explained.
He also urged the government to fully deregulate the petroleum industry because deregulating the price of diesel while regulating the price of PMS would be counterproductive and would deny the country the investments that would enhance its refining capacity.
According to him, “local refining would not be an option as long as government is still regulating one of the products, which is PMS. Nobody will refine. We either deregulate completely or regulate all.”
MoniePoint Inc. a digital financial firm in Nigeria, has said it is empowering community pharmacists across the country with innovative payment solutions to improve access to drugs.
The financial firm said it had also provided loans for pharmacists under the aegis of the Association of Community Pharmacists of Nigeria (ACPN) to drive healthcare delivery in the country.
MoniePoint in a release titled, “Inside Nigeria’s community pharmacies: How Moniepoint drives healthcare access with payments and funding”, has reaffirmed its commitment to providing digital payment solutions to improve health outcomes in Nigeria.
The release examined how community pharmacies play a crucial role as vital access points for medical care in Nigeria, especially in areas with limited hospital or clinic access.
According to the release, the ACPN National Chairman, Ambrose Igwekwam, highlighted the critical role played by community pharmacies in Nigeria’s healthcare system over the years.
Igwekwam, however, expressed concerns over the challenges confronting the nation’s pharmaceutical industry which he said was hindering access to affordable medicines.
The pharmacist listed poor infrastructural systems, power, transportation, regulatory bottlenecks, importation dependency, and limited research opportunities as major challenges facing the pharmaceutical sector.
He also stressed the need for robust collaborative efforts with institutions like Moniepoint to strengthen the sector.
“As Nigeria continues to grow, improving local pharma manufacturing to meet the demands of this growth presents a key opportunity for us all.
“There is also the African Continental Free Trade Area Agreement, which is expected to boost our industry, especially when we start producing our drugs locally, which will provide the much needed foreign exchange from exports.
“We are also seeing advancements in digital health and technology which would hopefully deepen the practice of e-prescription in Nigeria”, the ACPN boss said.
Corlins Walter
In order to enhance customer service and streamline operations, the Chartered Insurance Institute of Nigeria (CIIN) has called on stakeholders in the insurance industry to embrace Artificial Intelligence (AI).
The President of the institute, Yetunde Ilori, made this call at the 2024 Office Representatives Committee (ORC) Workshop, organised by the institute, with the theme “AI and the Future of the Insurance Industry”, in Lagos.
Ilori at the event, emphasised the importance of AI adoption, noting that it was not a threat to jobs but rather a tool to improve efficiency across the insurance sector.
“It is not about AI taking over our jobs, but about us using AI to simplify processes and give maximum satisfaction to all the customers we serve whether as underwriters, brokers, loss adjusters, or in educating our members”, she said.
The workshop, which brought players in the insurance sector together, aimed to address how AI could be leveraged to transform business processes and improve customer interactions.
The Chairman of the ORC, Monica Nwachukwu, underscored the role of AI in modernising the industry, adding, “AI can automate customer and claims processes, allowing insurers to provide faster and more efficient services to their customers”.
She explained how AI could help extract data from legacy systems, enhancing decision-making processes.
“By integrating AI with APIs, insurers can feed valuable data into AI solutions to improve operations and customer service”, she added.
In his address, the Managing Partner of A4S and Training Heights, Orlando Odejide, stressed the need for companies to align their strategies with future technologies like AI, especially as they prepare for 2025.
“Any organisation that wants to grow into the future must have its strategic plan in place. If your strategy for 2025 is not ready, it should be done by October”, he advised.
He encouraged participants to think critically about how AI could be integrated into their business models to ensure they remain competitive.
“The idea is for you to use this workshop as a platform to think about your organization and how AI can help streamline your processes and improve growth”, Odejide noted.
In order to gain global respect and recognition, the National Space Research and Development Agency (NASRDA) has reaffirmed its determination to pursue its goal in ensuring that Nigeria’s space capabilities are recognised on the world stage.
The agency also reaffirmed its commitment to positioning Nigeria as a key player in the global space economy.
In a statement by the Director of Media and Corporate Communications, Dr. Felix Ale, NASRDA revealed that the Director-General of the agency, Matthew Adepoju, emphasised this during recent engagements at the 79th United Nations General Assembly and the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA) and Global Alliance Business Association international conference in Michigan, United States.
The statement noted that Adepoju outlined a forward-thinking agenda, stressing the importance of Nigeria’s space programme as a leader in research, exploration, and technological innovation.
“Our goal is to ensure that Nigeria’s space capabilities are recognised on the world stage.
“We must foster collaborations with global space agencies to enhance our satellite capabilities and technological infrastructure”, he stated.
The NASRDA boss said the agency is focusing on enhancing satellite capabilities, expanding international collaborations, and leveraging space science for national development.
He said NASRDA will have no stone unturned in pursuit of excellence, ensuring the agency secures the necessary resources and recognition to propel it forward.
“The relationships we build today will pave the way for tomorrow’s advancements in space science.
“Innovation and progress thrive in an environment built on collaboration and inclusivity”, he stated.
He emphasised that with the support of the government, international partners, and a dedicated team, NASRDA is poised to make significant strides in the evolving global space landscape.
“We are on the brink of a new era for Nigeria’s space agency. Together, we will ensure our nation stands out in the global space economy”, he said.
Corlins Walter