New industrial investments in Imo, Abia hit N100bn in 12 months- MAN
Manufacturers in Imo/Abia industrial zone invested N99.7 billion in land, building, plants, machinery, vehicles, furniture and assets under construction between the second half of 2014 (H2 2014) and the second half of 2015 (H2 2015), according to data compiled by the Manufacturers Association of Nigeria (MAN).
According to the data, the value of new manufacturing investments in Imo/ Abia industrial zone rose from N39.5 billion in the second half of 2014 to N139.3 billion in the corresponding period of 2015.
In terms of the first and the second half of 2015, the data say investment value rose from N97.8 billion to N139.3 billion. The investors in this zone showed high level of grit in spite of election and handover tensions, foreign exchange scarcity and policy flip-flop within the period under review, say analysts.
“I think most of the investments must have gone to Aba, which is the Japan of Africa,” said Ike Ibeabuchi, CEO of a chemical making company based in south-east Nigeria, where Imo and Abia are situated.
“That is where you see a lot of creativity, productivity and real output. This is why the Federal Government and the state government should encourage industrialists in this zone with incentives, tax holidays, security, and good road infrastructure. The south-east Nigeria needs a seaport. We are happy with the cargo airport now in Enugu, but there is also a need for railway connectivity around here,” Ibeabuchi added.
Aba, located in Abia State, remains an industrial hub in Nigeria’s south-east, hosting thousands of shoe and textile makers.
The commercial city hosts companies such as Tonimas, Mikko Plastics, Macvinz Industrial Services, among many others.
Aba shoes are exported to several African markets. Sam Ohuabunwa, president of Abia Think-Thank said two years ago that Aba shoe industry was heading for the international market with a daily figure of one million pairs daily. But this was in 2014 when times were still good.
“We cannot find dollars now to import adhesives and leather,” Elochukwu Anyansi, managing director of SLM Shoes based in Aba told BusinessDay’s Real Sector Watch.
Imo State, on the other hands, boasts of manufacturers such as Jacobs Wines (owned by Frank Jacobs, current president of MAN), and Rokana Industries, among others.
The popular Ada Palm, renamed Imo Palm Plantation, which is a palm processing plant located at Ohaji/ Egbema and Agwa in Oguta LGA, is currently abandoned. Total concessioning or privatisation of the plant is expected to create a sizeable number of jobs in the state known for civil service.
ODINAKA ANUDU