Manufacturing sector’s key driver of economy – Swisstrade CEO
Chairman/CEO of Swisstrade Security Doors Nigeria Limited, Dr. Mike Ezeaju, thumbs up President Bola Tinubu’s manufacturing sector reforms. The industrialist, who shortly completes his new $225 million manufacturing facility in Lekki, Lagos, shares some of the industry challenges and growth expectations with DAVID AGBA.
You attended the recent manufacturing summit in Abuja where the federal government pledged partnership with the Manufacturers Association of Nigeria (MAN) targeting a new actionable roadmap and policy framework to reinvent the nation’s manufacturing sector. What is your take home from that summit?
No nation builds its economy without a serious and vibrant manufacturing sector. This new government of President Bola Ahmed Tinubu’s approach to manufacturing is impeccable. If we continue on this track, the turnaround impact for a viable and sustainable economy will be magical.
In one of the sessions during the manufacturing summit, I advocated the imperative of what I termed “Double P” – PROTECTION & PATRONAGE. In every country, most manufacturing is driven by the private sector. I’m a private sector citizen. So, among other things not limited to policies, government should protect and patronize the locally manufactured goods. This is like a natural equation that will support the manufacturing sector and also encourage them.
You can’t have a product being produced here in the country and government will be ordering the same product from outside the country. So, if we are serious with ourselves, government should adopt, implement and enforce the policy of “Double P”. And this where I believe the current administration is pushing important policy changes that will favour local manufacturers.
I would also suggest the federal government should also invest additional thought in her sequencing of these reforms. This is because even the best reforms, if improperly sequenced, could be unduly destabilising.
I must also commend the President Tinubu-led administration for engaging MAN as well as other stakeholders to evolve a consensus on the economic model necessary to propel Nigeria’s transformation over the next few decades to enable Nigeria exceed even the President’s envisioned one trillion-dollar GDP economy. It is indisputable that the manufacturing sector is the key driver the nation’s wealth, job creation, living standards, and revenue generation.
Can you provide some insight into Swisstrade’s business model?
Swisstrade Security Doors Limited is Africa’s number one armored steel security door company with a total focus on quality. Our progression to the top in the armored steel door manufacturing niche flow from our careful data-based evaluation of the Nigerian and African market and strict fidelity to an uncompromising quality production process. These have configured our capacity to produce security doors of the highest quality in accordance with international standards.
Our operational principle of “Quality First” has been a guiding tool in our campaign for state-of-the-art technology in armored security door production that remains tightly knit, as we apply quality control system right from raw materials selection through all the stages of production and finally during delivery. This system enables us to avoid defects in any of our products. SWISSTRADE doors are certified by international quality and standards organizations from production through to assembling and delivery.
We have grown from strength to strength only by a continuous drive for constant improvement, assessment, and innovations. Therefore, through experience and unwavering tradition, we have gained market confidence and international recognition as we expand into new horizons. Our products stand out as the most preferred brands in homes, offices, banks, hotels, and parastatals.
Our facility houses several large-scale capacity production and assembly plants, supported by modern, sophisticated equipment and computer technology to aid our and production, which makes our doors of unrivaled on the continent. We have been in business for twenty-eight years and growing from strength to strength. Our clients have been our partners in progress, and we always prioritise their peculiar needs and interests.
Can you share some of the challenges in your business environment?
First, let me state clearly here that manufacturing is at the heart of industrialization. It is an inescapable road to sustainable and inclusive economic growth and human development. This is a period of significant economic disruptions globally. It is not only in Nigeria. But the central responsibility of leadership is to engage and overcome these challenges. I believe this is what is taking place in our country currently. We should stay the course.
Moving on, in my opinion, government’s policy in supporting manufacturing, which by the way is partly the reason for creating the Bank of Industry (BOI), should be tweaked. I believe this crucial policy would have worked more effectively and efficiently if BOI will be redesigned and have more expertise to be able to loan directly to manufacturing companies – in a quicker and cheaper mode – thereby eliminating the unnecessary bottlenecks and further charges occurring with the current system of routing it through commercial banks.
Our biggest challenge has to do with unscrupulous business folks importing very inferior products and foisting them on the market. They are by so doing destroying the economy of Nigeria, as these doors do not last, and these importers hardly pay any tax.
They are just out there to make a profit at the expense of the people. Another challenge is the need for much enhanced government patronage. That will enable us to employ more Nigerians and stimulate the economy by enhancing more economic activity.
We understand SWISSTRADE is building a new facility at Lekki, Lagos…
Correct. It is actually a $225 million-dollar ultra-modern manufacturing facility. This brings me back to the necessity of tweaking BOI’s funding engagement template. SWISSTRADE is actually solely funding this massive project. This total funding from our pockets without a single bank’s involvement naturally puts enormous pressure on us. It’s almost inconceivable. Imagine the employment boost this facility will provide and the impact it will also have on the nation’s GDP.
