The Association of Senior Civil Servants of Nigeria, ASCSN, has threatened to cripple the activities of states that refuse to implement the N70,000 new national minimum wage.

President of the Association Shehu Muhammed, gave the threat yesterday during the association’s 5th Quadrennial Delegates Conference in Lagos, where he emerged as the new president.

According to him, “For states not ready to implement the new minimum wage, let me tell you categorically, it is impossible. We are coming for them.”

He urged state governments to implement the new wage to improve the standard of living of their citizens since the incomes of state governments have continued to rise following enhanced allocation from the Federal Account Allocation Committee, FAAC.

Muhammed urged that states could achieve this by reducing wastages and blocking leakages of government funds, advising states to embrace the policy of indexing income to correspond with the rate of inflation.

ASCSN new President said “the most important priority now is to address the issue of the new minimum wage by constituting a committee to address the consequential adjustments towards implementation and the strategies to ensure workers have a living wage in Nigeria.

“The full implementation of the new national minimum wage and its consequential adjustments at both the federal and the 36 states of the federation will be the top priority of Organised Labour.”

Earlier, the Secretary General of the Association, Joshua Apebo argued that following the increase in allocation from the Federal Account Allocation Committee, FAAC, since the removal of fuel subsidy, the state governors should immediately implement the new minimum wage to improve the standard of living of their citizens.

He said “We request that state governments implement the new national minimum wage to enhance the standard of living for their citizens. This can be achieved by reducing wastages and blocking leakages of government funds. We also advise the government to adopt the policy of indexing income to match inflation rates, as recommended years ago by the Chief Ernest Shonekan committee.”

Delivering a solidarity message, the President of the Trade Union Congress of Nigeria, TUC, Festus Osifo, promised to support the new executives to ensure the interests of workers were protected.

He urged the new leadership to put the interest of the union first and those who elected them into office.

The federal high court in Abuja has dismissed an application seeking an interim injunction to restrain protesters from continuing the #EndBadGovernance protest.

Peter Lifu, the presiding judge, on Monday, dismissed the ex parte motion filed by Danladi Goje, Buky Abayomi, Adiza Abbo, and 13 other Nigerians.

In the application dated August 12, the applicants sought the enforcement of their fundamental rights against the organisations involved with the protests.

The organisations sued as 1st to 8th respondents are Take It Back Movement, Concerned Nigerians, Nigerians Against Hunger, Initiative For Change, Human Rights Co-advocacy Initiative, Nigerian Against Corruption Initiative, Citizens for Change Advocacy Initiative, and Timely Intervention.

The 9th to 19th respondents are Active Citizens Group, Students For Change, We Coalition, Total Intervention, Refurbished Nigeria, Tomorrow Today, Our Future In Our Hands Initiative, Youths Against Tyranny, Save Nigeria Movement, Omoyele Sowore, and Social Democratic Party (SDP).

Other respondents in the matter are the attorney general of the federation and security agencies.

In the court documents, Tsembelee Sorkaa, the applicants’ lawyer, said his clients’ rights to life, personal liberty, private and family life, and economic activities would be further breached if the 1st to 19th respondents continued the protest.

Sorkaa urged the court to restrain the 1st to 19th respondents from continuing with the protest pending the determination of his motion on notice.

The lawyer also appealed to the court to enforce the restraining order if it is granted.

In his ruling, Lifu said the #EndBadGovernance protest ended last week, noting that there was no evidence presented before the court showing that the protesters would reconvene later.

The judge said the applicants’ lawyer cannot rush his notice ex parte without providing the required affidavit to support the requests for an interim injunction and substituted service.

He dismissed the application for lacking merit and adjourned the hearing on the motion on notice to August 29.

From August 1 to 10, Nigerians took to the streets in some parts of the country to protest what they described as bad governance and rising hunger in the country.

In some parts of the country, courts granted interim injunctions restraining the protesters to some designated locations.

A Federal High Court, sitting in Lagos, yesterday, dismissed the applications by two Indian nationals, Prem Garg, Devashish Garg and a Briton, Marcus Wade, to quash a bench warrant issued for their arrest and extradition, issued against them on alleged of $42.485million fraud, for lacking in merit.

The two Indians, and the Briton who is the Chairman of Wilben Trade Limited, Dubai, and their companies, Agrico Agbe Limited, Wilben Trade Limited, Dubai, are being charged before the court by the office of the Attorney-General of the Federation, AGF, for allegedly defraud Ecobank Plc of the sum of $42,485,900, with the pretence of using the of money to purchase and import into India parboiled rice Nigeria.

Counts one and four against the defendants in the charge marked FHC/L/562C/2022, dated October 7, 2022, reads, “That you, Prem Garg, Devashish Garg both of Indian nationality, Agrico Agbe Limited (a company registered in Nigeria), Wilben Trade Limited, Dubai (a company registered in the United Arab Emirates, Dubai), Marcus Wade (Chairman of Wilben Trade Ltd, Dubai) of British nationality, sometime in the month of May and September, 2015, at Ecobank Plc, Lagos within the jurisdiction of this court conspired between yourselves to commit an offence thereby committed an offence punishable under Section 422 of the Criminal Code Act, Cap C38 Laws of the Federation of Nigeria, 2004.

“That you, Prem Garg, Devashish Garg both of Indian nationality, Agrico Agbe Limited (a company registered in Nigeria), Wilben Trade Limited, Dubai (a company registered in the United Arab Emirates, Dubai), Marcus Wade (Chairman of Wilben Trade Ltd, Dubai) of British nationality, sometime in the month of May and September, 2015 at Eco Bank Plc., Lagos within the jurisdiction of this court conspired between yourselves to commit an offence to wit: Cheating in that you caused Ecobank Plc to deliver monies to the tune of $42,485,900, which was intended by contract for the purchase and import into Nigeria India Parboiled rice but never utilized the sum of money for the contract and thereby committed an offence punishable under Section 421 of the Criminal Code Act, Cap, C38 Laws of the Federation of Nigeria, 2004.”

However, while the charge is pending, the defendants did not appear in court to take their pleas on the charges.

The development made the office AGF, through its lawyer, Dr. Pius Akutah, now Executive Secretary/Chief Executive Officer, CEO, of Nigerian Shippers Council, to file applications before the court for issuance of bench warrant and possible extradition against them.

The application was granted by Justice Akintayo Aluko, sometimes in November 2023.

But the defendants, through their lawyers, Dele Belgore and Dr. Dada Awosika, SANs, filed applications to quash the orders for their arrest and extradition.

The application was countered by the AGF through its lawyer, Mrs. Kehinde Bode-Ayeni, who inherit the case file from Dr. Pius Akutah.

Justice Aluko in a delivering, said that the proceedings before Magistrate Court in Delhi, Indian can not operate as a stay in criminal proceedings in Nigeria because its not purely a criminal proceedings, moreso, it a proceedings in Nigerian court as constituted by the Nigerian constitution.

The second issue is that an order of status quo granted by another court can not viciate the criminal charge pending in this court.

The position of the administration of Criminal Justice Act which regulate criminal proceedings in Nigeria have stipulated that the criminal and civil proceedings can be going simultaneously.

On the final note, Justice Aluko held, “There is no merit in the applications filed by the defendants.” The judge held that the two applications lack merit and same are dismissed.
Consequently, Justice Aluko the case to October 24, for report on bench warrant and further proceedings.

…80% others in low-capacity utilization

…Labour begs FG to intervene

Over 50 firms in the chemical and non-metallic products sub-sector of the nation’s economy are in a dilemma as multinationals, medium and small-scale enterprises, SMEs, and member companies are either exiting, on the verge of shutting down or operating at low-capacity utilisation.

It will be recalled that the employers, under the umbrella of the Chemical and Non-Metallic Products Employers Federation, CANMPEF, had a membership strength of no fewer than 100 firms,, comprising multinationals, medium, and small businesses, which employ about 350,000 people across the country.

But presently, Vanguard checks revealed that while over 50 of such companies have closed down, four are on the verge of shutting down, while 80 per cent of the remaining companies are operating at low-capacity utilization.

Industry sources told Vanguard that over 100,000 workers have lost their jobs directly and indirectly in the last year.

The firms in this sector produce medicals, pharmaceuticals, perfumes, cosmetics, toiletries, soaps, detergents and vegetable oil, hydraulics, cement, asbestos cement and concrete.

Other products include glass, ceramic, earthenware, clay products, basic industrial organic and inorganic chemicals, fertilizers, explosives, fireworks, footwear, leather, and rubber.

According to Vanguard’s checks, among the companies that have shut down are Glaxo SmithKline Beecham, Procter & Gamble, Mega Plastic Nig limited, Twinstar Nig limited, and Femina Hygienical Products Nig. Limited and Linda Manufacturing Company.

Those on the verge of shutting down include Unilever, PZ Industries, Prime Pack, and Reckitt & Benckiser.

One of the companies about to shut operations in Nigeria is Kimberly-Clark because of high energy costs, expensive raw materials, and reduced customer demand.

The company, it was gathered, has reduced shifts and implemented other cost-cutting measures in a bid to remain afloat.

The company’s $100 million factory, located in Ikorodu, Lagos State, was commissioned two years ago by former Vice President Yemi Osinbajo to produce diapers and sanitary pads, among others.

Firms lament

Lamenting the plight of the sector, Executive Secretary of CANMPEF, Mr Olorunfemi Oke, said the exits were painful, saying more worrying is the fact that challenges faced in the sector were inflicted by government policies.

According to him, the challenges confronting the sector are floating of the naira, depreciating currency and volatile exchange rate, fuel subsidy removal, high exchange rate for computation of import duty, high interest rate, epileptic power supply with the recent increase in tariff that has tripled electricity bills and made it unsustainable for businesses; and inadequate gas supply for firms, and high cost of diesel.

He also named poor road conditions, multiple taxations, a high inflation rate of over 34 per cent, weak consumer purchasing power, and insecurity across the country.

The executive secretary said: “The effects of the socio-economic challenges on the manufacturing companies are enormous. Most of our member companies are just managing to survive. We cannot access forex for purchase of raw materials and machinery.

“High import duty cost is discouraging importation of raw materials and machinery. High energy costs have resulted in high production costs. Unreliable power and gas supply disrupts production schedules and increases operation costs.

“We are experiencing high reduction in capacity utilization and increased production slowdowns, huge foreign exchange losses suffered by many member companies, especially the multinationals, and reduction of profit. Majority are recording losses.

“There is also declining market share and growth potential and inability to compete with imported products. High interest rates discourages business expansion. There is growing weakness in consumer purchasing power. Companies are shutting down some of their operations. This has led to retrenchment of employees. The hyperinflation has led to an increase in the cost of living of employees and an adversarial industrial relations climate in the sector.

Shutdown

“While I don’t want to sound alarmist, tens of member companies from the multinationals, medium and small scale companies have shut down. Some of the companies that have closed down are Glaxo SmithKline Beecham, Procter & Gamble, Mega Plastic Nig Limited, Twinstar Nig Limited, Femina Hygienical Products Nig Limited, and Linda Manufacturing Company. Similarly, among those on the verge of shutting down include Unilever and PZ industries.
‘’We are very pained by these developments. Let us take for example the case of Linda Manufacturing Company and Kimberly-Clark.

Linda Manufacturing Company which was producing synthetic hair attachments and other accessories was employing and keeping our young girls off the streets and criminality. Only God knows what these young girls will turn to now that they are out of jobs. And for Kimberley Clark which produces Huggies diapers, and sanitary pads, with the imminent shutdown of its Ikorodu production facility two years after investing $100 million in Nigeria. Remember that the former Vice President, Yemi Osibanjo commissioned the factory two years ago.

The company has been producing below-installed capacity since late 2023 because of the harsh economic environment in the country. If this company is allowed to exit Nigeria, it will add to the sad story of the worsening crisis in our sector. The pathetic situation of this firm is that in 2022, the company commissioned a $100 million production factory in Ikorodu, Lagos State which was inaugurated by then vice president to resume operations after an earlier closure of operations in 2019 following a review of its business. Apart from these woes, 80 per cent of the remaining member companies are operating at low-capacity utilization.

Job losses

While Mr Oke was not forthcoming on the number of job losses, Vanguard, however, gathered that no fewer than 100,000 Nigerians have lost their jobs in the sector.

Speaking further, he said: “As a Nigerian, it is sad and frustrating for me to talk about my fellow countrymen and women losing their means of livelihood in this manner.

‘’A lot of people have been thrown into the job market. The figure is huge. We are talking about direct and indirect employment, comprising suppliers, distributors, drivers, contractors, and traders among others. I do not want to give a figure. But I can tell you without mincing words that it is huge.”

Way forward

The CANMPEF scribe called on government to address challenges facing the sector by “giving concessions on the allocation of forex to the manufacturing companies, reduction of import duties for raw materials for an essential sector like the pharmaceutical industry, reduction in import duty charges, improving supply of energy and gas to manufacturers, reduction of the rate of energy charges by power distribution companies, DISCOs, stopping multiple taxes by the local, states and federal government agencies, signing and implementing the new national minimum wage bill to improve consumers’ purchasing power, focusing on rehabilitating selected roads to reduce logistics costs and fixing the nation’s refineries to enable access to petroleum bi-products that serves as raw materials for the chemical industries.

“The industry is import- dependent because of the nature of its products and its raw materials are chemicals majorly from the petro- chemical industries. ‘’The Federal Government should take urgent action to stop manufacturing companies from shutting down.

Government should support the companies to thrive and increase employment and reduce insecurity challenges in the country.

“The only member companies that seem to be doing well today are the cement manufacturing firms because of road constructions and other related businesses.”

Voda Paint MD reacts

Also speaking, the Managing Director, Voda Paints Limited, Mr Rotimi Aluko, blamed unreliable power, unstable currency, difficulty doing business, steadily rising inflation, insecurity, multiple taxation, and poor infrastructure, among others.

Aluko, who is also the Vice President of CANMPEF, said: “Like most of the sectors making up the Nigerian industrial landscape, the chemical, leather, food sectors are all struggling to survive economic hardship that, looking back now, has actually been long coming.

‘’It is, indeed, very hard to find any one sector of the economy that is not impacted by the numerous issues which those doing business in Nigeria have really been enduring, starting with unreliable power, unstable currency, difficulty doing business, steadily rising inflation, insecurity, multiple taxation, poor infrastructure, etc.

“Currency tweaking and the associated policies in concert with the removal of petrol subsidy and the floating of the naira, have helped to compound the pressure on industrial operations generally.

“The consequence on the consumers is depletion of disposable income, such that most households are in tight adjustment as their income is hardly coping with necessities.

“Most industries rely on bountiful discretionary income to survive. That is the crux of the pain in the sector. Demand has significantly dropped and so goes production and ultimately income.

“It is, indeed, very tough, especially for sectors outside of households’ eessential or committed expenses.

‘’Even those in essential expenses column are grappling with the consequences of reduced demand, owing to downward adjustments by consumers of quantities and quality of their purchases as a result of inflation-driven loss of purchasing power.

Survival mode

“I think how the sectors have been coping can easily be deduced from all the aforesaid; we are in survival mode. Sacrifice, cost-cutting as much as feasible, mounting bills, income stagnation, abandonment of key projects, reduced hours of operation/attendance rotation, etc. Everyone is scratching the ground as well as their heads for whatever will aid to keep them afloat.

Way forward

On ways out of the challenges, Aluko said: “Government action. It is all down to what the government chooses to do and not do. The truth starts with how the government views and treats manufacturing. If manufacturing is taken as the most strategic value-adding local content economic weapon that it is, Nigeria will transform into the league of leading nations of the world!

“Not even crude oil can come close. Why? It is manufacturing that can harness our immense reservoir of human talents to serve as an engine for the conversion of the bountiful contents atop and beneath our God-given land and those beyond our shores into products capable of becoming the biggest foreign exchange earners as experienced by China and several other Asian economies.

“Government just has to step forward to help get the necessary building blocks in place and put right the business environment, such that Nigeria will rank high among nations having very attractive level of ease of doing business.

“For this to be, the government has to make these investments and protect local manufacturing. This is non-negotiable. All advanced nations and those who have climbed up to join the top league did it at one point or another and are still doing it.

“The most powerful economic and military power in the world is currently engaged with China openly as an example.

“We have done it before with huge success when in 2007, Nigeria clamped down on the importation of cement by companies without local cement manufacturing investment. The result is huge.

“Before the implementation of the smart act of protection, Nigeria in 48 years of cement manufacturing preceding the protective action, only grew to about seven million metric tonnes of cement production per annum and in the 15 years succeeding the policy, has grown to over 60 million metric tonnes production/per annum.

“Do that across several sectors integrating farm produce conversion, petrochemicals, basic chemicals, natural resources, basic tools, electronics, etc, Nigeria will be an unstoppable giant. It has potentials.

“The government should declare a clear form of emergency in the manufacturing sector. It should subsidise consumption via manufacturing subsidy by way of tax relief, duty/tariff removal on agricultural and manufacturing inputs. The gains will come in many folds.

“First of all, our youths will be gainfully employed and stop idling away their lives or hawking things they should be producing in the first instance. Savings on social and security costs cannot be estimated.

“Government should put in place necessary administrative and legal firewalls against those who might truncate gains of the strive towards the achievement of good level ease of doing business across the country and sectors.”

Labour begs FG to intervene

On his part, the National Secretary, National Union of Chemical Footwear Rubber Leather and Non-Metallic Products Employees, NUCFRLANMPE, Joseph Dada, pleaded with the government to intervene immediately to save the sector from imminent collapse. He said: “Our industrial sector has been finding it extremely difficult to operate smoothly and effectively for the past two years.

‘’Bad government policies have negatively affected the running of our sector. Many of the industries have relocated to other African countries where they can do their business with ease and maximise profit.

“Our government, through the Central Bank, has increased the lending rate to over 30 per cent, which is not good for manufacturing and chemical industries to break even as most raw materials are imported. We cannot do backward integration.

Economic distortions

“The industries are groaning under the outrageous tariffs imposed by DISCOs and others responsible for the supply and distribution of electricity to the industries in Nigeria.

The tariffs are doing nothing other than kill the industries. This is compounded by the removal of the petrol subsidy that has turned the country upside down since last year. The consequences are part of the socio-economic distortions plaguing the nation.

“Some of the companies that have relocated to other African countries are multinationals, such as Procter & Gamble and GSK Pharma, Femina Hygiene, and Twinstar. Many others are on the verge of closing down any moment from now because of the unfavourable economic policies of our government.

“Hundreds of workers have lost their jobs as a result of management’s inability to provide raw materials in their various companies. Those that are managing to produce are producing below 20 to 25 per cent of installed capacities.

‘’We are still compiling the list of job losses. I can tell you it is mind-boggling in a country with very high unemployment figure.

Enabling environment

“We are pleading with the Federal Government to urgently halt this alarming trend and create enabling environment for industries to have access to foreign exchange from Central Bank of Nigeria for manufacturers to get forex to import raw material for industries to produce.

“The issue of unsustainable tariffs as well high cost of fuel regime must be addressed immediately to save our industries from total collapse. We are not equally unaware of the issues of excessive and multiple taxation from all levels of government, insecurity, poor state of our roads and very low purchasing power of most Nigerians. The government should come to our aid as renewed hope is gradually turning to sustained despair.”

A 45-year-old Indonesian man has allegedly killed his 60-year-old neighbour after being repeatedly asked why he wasn’t married.

The incident occurred on July 29 in South Tapanuli regency, North Sumatra, as reported by the Straits Times.

Assistant Police Commissioner Maria Marpaung identified the victim as Asgim Irianto.

The alleged attacker, Parlindungan Siregar, reportedly grew increasingly frustrated with Irianto’s persistent questioning regarding his single status.

According to statements provided by Irianto’s wife, Siregar arrived at their home armed with a piece of wood and launched a sudden assault on Irianto.

The victim fled into the street, but Siregar pursued him and delivered a fatal blow to his head. Despite Irianto falling to the ground, Siregar continued the assault until other residents intervened.

Emergency responders rushed Irianto to the hospital, but he succumbed to his injuries en route.

Siregar was arrested shortly after the attack. Authorities suspect that the motive behind the violence was linked to Siregar’s irritation over Irianto’s repeated inquiries about his marital status.

The investigation into the incident is ongoing.

Nigerian artistes Tems and Rema have earned spots on Barack Obama’s highly anticipated 2024 summer playlist.

Curated by the former U.S. president, the playlist features a diverse mix of international and domestic artists.

Obama announced the playlist via his X handle, stating, “With summer winding down, I wanted to share some songs that I’ve been listening to lately – and it wouldn’t be my playlist if it didn’t include an eclectic mix. I hope you find something new to listen to!”

The playlist includes Tems’ track “Love Me Jeje” from her debut album, showcasing her soulful style and emotional depth.

Rema’s “Yayo” from his sophomore album “HEIS” also makes the cut, having topped the charts in Greece and amassed over 60 million streams on Spotify.

Obama’s playlist also features Charli XCX’s “365,” Beyoncé’s “Texas Hold ‘Em,” Tommy Richman’s “Million Dollar Baby,” “Wanna Be” by Glorilla & Megan Thee Stallion, Billie Eilish’s “CHIHIRO,” as well as classic tracks like 2Pac’s “How Do U Want It” featuring K-Ci & JoJo and Bob Dylan’s “Silvio.”

Recall during a recent interview with influencer Carter Gregory (thecarterb), Obama revealed that his daughters, Sasha and Malia, play a key role in keeping his musical tastes current and broadening his musical horizons.

“I get referrals from my daughters — which keeps me not stuck in the ’80s,” the former president told Mr Gregory.

Dangote refinery and other local refineries have raised their crude oil requirements from Nigeria’s oil producing companies to 597,000 for the next five months.   

This is according to a statement from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), and reported by Reuters on Monday. 

Crude oil-producing companies in Nigeria are expected to supply the Dangote refinery and other local refineries with about 597,700 barrels per day (bpd) of crude in the next five months to meet local demands.

This is according to a statement from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), and reported by Reuters on Monday.

According to the report, Nigeria’s refineries have increased their domestic crude requirements for the second half of 2024 to 597,700 barrels per day, up from 483,000 barrels per day in the first half.


NUPRC also confirmed that the oil companies were only able to provide 177,777 bpd to the refineries in the first six months of the year, way below the requirements of the refineries.

The increasing crude requirements of local refineries, coupled with the challenges oil producers face in meeting demand, have created tensions between the 650,000-bpd Dangote Refinery and the regulator.


NURPC’s failure to enforce PIA

Nairametrics earlier reported that the Dangote Refinery accused the NUPRC of failing to enforce the Petroleum Industry Act (PIA) in relation to the domestic supply of crude oil to local refineries.

In a statement released on Friday, the refinery’s spokesperson, Anthony Chiejina, stated that NUPRC has only facilitated the sale of a single cargo between the refinery and crude oil producers.

Chiejina further noted that the regulatory body cited the “sanctity of a contract” as the reason for its inability to enforce its own Act.


“Aside from the term supply we bilaterally negotiated with NNPCL, so far NUPRC has only facilitated the purchase of one crude cargo from a domestic producer. The rest of the cargoes we have processed were purchased from international traders.

“All we are asking for is for refineries in Nigeria to buy crude directly from the companies that produce it in Nigeria rather than from international middlemen.

“Unfortunately, the NUPRC has effectively admitted in their statement, that they will be unable to enforce the domestic crude supply obligation as specified in the PIA citing “sanctity of contracts” as an excuse,” the statement read.

President Bola Tinubu has commissioned the first set of Compressed Natural Gas (CNG) buses at the Presidential Villa, Abuja.

The buses numbering 20 were said to be the first batch produced locally by local manufacturer, Innoson Motors.

Some of the CNG buses were driven to the forecourt of the Presidential Villa, where the President took a break from the Federal Executive Council (FEC) meeting to commission them.

The provision of the CNG buses were part of the Federal government efforts to reduce the pains caused by the removal of the fuel subsidy by the Federal Government.

Recall that the Chairman and Chief Executive Officer of Innoson Motors, Chief Innocent Chukwuma, met with President Tinubu last week at the State House.

While speaking to journalists, the Innoson Motors boss promised that very soon, CNG vehicles will be on the road in many cities of the federation to ease the transport problem being experienced in the country.