NEXIM Restates Commitment to Reviving Multi-Trex

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Peter Uzoho

The Nigerian Export Import Bank (NEXIM Bank) has restated its resolve towards resuscitating the moribund Multi-Tex Integrated Plc, an agro manufacturing and processing company.

The Managing Director of NEXIM Bank, Mr. Abubakar Abba Bello, stated this recently, during the tour of Multi-Trex facilities by members of the House of Representatives Committee on Banking and Currency and the management of Multi-Trex in Ogun State.

Bello, who noted that the problem the company experienced in the last six years led to its closure, assured stakeholders that the Bank will through the Export Stimulation Facility bring back the company to full production activity.

He said the company which had been in existence since its opening in 2003 had been adding value to the value chain of cocoa production in Nigeria before its closure.
“I’m always delighted to be here because cocoa as you all know is the largest non-oil export commodity from Nigeria. However, for us we believe despite the fact that cocoa commands such large percentage of our non-oil export, we believe that we can earn more from it and the way to earn more from has been the driving that both the Central Bank and NEXIM have brought into non-oil export,” Bello said.

“But the problem that company went through in the last six years led to its closure and it is our determination under the current Export Stimulation Facility to bring back the processing plant back to life.
“And we have already gone very far with Multi-Trex on what we need to do bring the company back to production. Now, we’ve mentioned severally what the benefits the value additions are.

“It will create jobs by adding value along the value chain of any commodity.”
He stressed that reviving the company would create 1000 directs jobs and add more value to people of the host community who he said depended on it and will benefit more from the company through indirect jobs that would be created when the company starts production again.

Bello added: “So this is the kind of thing we want to bring back, and once the terms with AMCON have been reached, we are surely behind this initiative to bring back the company to production.
“Incidentally, at some point in the life of this manufacturing outfit NEXIM was involved and we intend to come back in our strongest form and ensure that we start earning what we deserve from cocoa production in Nigeria.”

Also speaking during the visit, the Chairman, House Committee on Banking and Currency, Hon. Jones Onyerere, said there was need to encourage the private sectors in the country for economic growth.
Onyerere said over the last six years, the committee had been on the drive to encourage the private sector as the major driver of the national economy.
He said Nigeria prides herself as the largest economy in Africa whereas private sectors’ contribution to country’s GDP was next to nothing.

He noted that the middle class in the country has gone into extinction, saying that the only way to revive the middle class was by supporting the private sector.
Explaining further on how the committee would follow up its action to help the company get back to work, Onyerere said: “We’re pushing as a parliament and will keep pushing.

“And trust me, at a point they will know what to do and what we’re doing because we have the will. But it can’t actually work until there is an executive approval.”
However, Onyerere advised that the Financial Services Commission be created to be a platform where all fiscal and monetary authorities would converged from time to time to address issues related to arbitrary fixing of interest rates at the expense of the private sector.

“Until we have the Financial Services Commission where the fiscal and monetary authorities converge, these problems will persist.
“You can’t borrow at 25-30 per cent and business will grow. It just can’t work. “So we need to put up some kind of political will to bring down the interest rate to encourage the private sector if not we’re joking,” he said.
On his part, Multi-Trex Managing Director, Mr. Dimeji Owofemi, said the company needed only the working capital which he said was in the region of N4billion to N5billion to get back to production.