The management of BUA Group has promised to crash prices of major food items it produces like sugar, flour, pastas and many others. Since 2016, when Nigeria slipped into recession, the purchasing power of Nigerians has remained low.
Though inflation has been on a steady decline, prices of food items have continued to rise and last month, the government closed borders to tackle smuggling of food items into the nation. This action has caused prices of foodstuff to skyrocket at the market and at the moment, the price of a 50kg bag of rice is N24,000 to N26,000. Before the border closure, it was selling for N14,000 to N16,000.
WHAT WOULD SUPPORT THE CRASHING OF PRICES?
General Manager of BUA Ports and Terminals, Mr Mohammed Lile, speaking ahead of the commissioning of the company’s foods manufacturing complex in Port Harcourt, Rivers State, this month, told CNBC Africa that efforts would be made to bring down prices of its products.
Mr Lile explained that the huge factory in Port Harcourt was built in line with the federal government of Nigeria’s policy on self sufficiency, stating that the location of the plant gave it a good advantage to bring down prices of products that would be produced in the complex.
He said the railway lines would reduce cost of transportation which would make it easy to access parts of the country, adding that the sea was also available for ships to berth with raw materials that would be processed at the complex. He then noted that use of gas would supplement the lack of power that faced production in the country.
Mr Lile explained that the huge factory in Port Harcourt was built in line with the federal government of Nigeria’s policy on self sufficiency, stating that the location of the plant gave it a good advantage to bring down prices of products that would be produced in the complex.
He said the railway lines would reduce cost of transportation which would make it easy to access parts of the country, adding that the sea was also available for ships to berth with raw materials that would be processed at the complex. He then noted that use of gas would supplement the lack of power that faced production in the country.
Mr Lile, in the interview with CNBC Africa, noted that the $400 million project which started over 5 years ago comprises three factories: a sugar refinery; a flour (pasta) mill; and a power plant.
Copy the link below and Share with your Friends:
About BlogindoorBlogindoor.com Is A Top Tech Blog That Provides Free And Cheap Browsing Cheats On Mtn, Etisalat, 9mobile, Glo And Airtel, Latest Phone And PC Updates, Tweaking Guides And Tech News.
No comments:
Post a Comment