Nigeria must replicate cement, sugar policies on steel — Rabiu

Abdulsamad Rabiu, executive chairman/CEO of BUA Group, wants the Federal Government to replicate its cement and sugar policies on the steel industry.

Speaking at the opening plenary of the Africa CEO Forum in Abidjan, Cote d’Ivoire last Monday, Rabiu, who recalled that 15 years ago Nigeria was faced with a nightmare when it only produced four million metric tonnes (MT) of cement, said government’s reforms and BUA’s involvement in the cement industry had raised the stake to over 40 million metric tonnes, thereby saving the country over $4 billion annually.

Rabiu bemoaned the continuous import of steel when the raw materials were readily available in the country, stating that $3 billion could be saved annually if government replicated the policies in the cement and sugar industries on the steel industry.

While noting that collaboration was the bedrock on which more jobs could be created for Africans and human capital developed, Rabiu explained that though automation was efficient and saved time, there was a need to also develop human capacity to man the ultra-modern machines.

“Africa probably has the highest rate of unemployment in the world. So, we need to do a lot more to create jobs and build human capital to develop the continent. I think there is a need to have a concrete and solid partnership between African government and the private sector and, in so doing, we can transform the continent.

He said Nigeria now had 40 million tonnes of cement in capacity, saving the country of more than $4 billion while creating hundred thousands of jobs.

“Nigeria is the biggest market in Africa, we have the population, but it is not only Nigeria, all over Africa we have what it takes. Nigeria has everything to produce what we need. Nigeria has limestone, coal and gas, yet we import 3 billion worth of steel yearly,” he stated.

He urged governments of Africa and the private sector to come together to develop the continent.

“Nigeria can decide to make those who invest in steel have the backward integration programme. So if you invest $3 billion in Nigeria in steel making, you would be able to save Nigeria $3 billion every year. So, for me, the market is big and we need to come together—government and private sector—to see how we can develop our continent.”

ODINAKA ANUDU