Busy Brain
Busy Brain

Excellent Forum For Business, Information Technology, News Update, Jokes And Education
 
HomeHome  GalleryGallery  FAQFAQ  SearchSearch  MemberlistMemberlist  UsergroupsUsergroups  RegisterRegister  Log in  
Latest topics
» THE MILLIONAIRES CLUB
Sun Feb 12 2017, 21:46 by Admin

» ABOUT MyFXTM
Tue Feb 07 2017, 05:21 by Admin

» Afenifere meets, issues 9-day ultimatum on confirmation of CJN
Wed Feb 01 2017, 10:43 by Admin

» Jealous Husba
Thu Jan 26 2017, 11:57 by Admin

» Almost Joke: Valentine’s Day iPhone
Thu Jan 26 2017, 11:47 by Admin

» After the Honeymoon
Thu Jan 26 2017, 11:42 by Admin

» Akpos Joke: Driver’s licence
Thu Jan 26 2017, 11:37 by Admin

» iPhone 6 or iPhone 7
Wed Jan 25 2017, 23:36 by Admin

» Akpos meets Donald Trump
Wed Jan 25 2017, 23:29 by Admin

July 2017
MonTueWedThuFriSatSun
     12
3456789
10111213141516
17181920212223
24252627282930
31      
CalendarCalendar

Share | 
 

 Real reason Dangote shut its tomato factory, sacked 900 workers

View previous topic View next topic Go down 
AuthorMessage
Admin
Admin


Posts : 144
Join date : 2012-07-13
Age : 29
Location : Port-harcourt

PostSubject: Real reason Dangote shut its tomato factory, sacked 900 workers   Fri Jan 20 2017, 19:38



More facts have emerged as to why Africa’s richest man, Aliko Dangote, shut down his tomato paste plant in Kano, with about 900 jobs on the line.
The conglomerate cited shortage of dollars and poor sales as reasons.
Reports say dollar scarcity has also seen Dangote cut down on other food businesses such as flour milling, sugar refining and vegetable oil refining.
The closure is coming barely two months after one of the biggest tomatoes firms, Erisco Food, in November, also announced closure of its plant in Lagos, sacking about 1,500 staff.
Manufacturers, through their union, Manufacturers Association of Nigeria (MAN) has persistently warned of imminent closure of more firms unless government revisits its policy leading to dollar shortage.
“Where the foreign exchange is not available, we are cutting down our operations. For example, we had a tomato-based processing plant, we have shut it down,” Devakumar Edwin, a senior manager with Dangote group said.
Tomato paste is a staple food in Nigeria but the country imports much of its supplies from other countries.
Dangote’s plant opened only last year amid much talk from stakeholders predicting a new era of Nigeria producing its own tomato paste, displacing costly imports.
The tomato plant may reopen once the company is able to source raw tomatoes locally, Edwin said.
Nigeria consumes more than 2.5 million tonnes of tomatoes annually, but manufactures said the porous borders has seen more than 70 per cent of the paste come in as imported items.
The Nigerian recession and scarcity of dollar have led to loss of about 60 per cent local production capacities of manufacturing firms, with more than 4.6 million job losses.
Manufacturers say the crisis has been worsened by the central bank’s decision to keep an artificially high exchange rate, which has dried up dollar supplies, forcing firms to buy them on the black market at a 50 per cent premium.
Back to top Go down
View user profile http://www.judechijioke.com
 
Real reason Dangote shut its tomato factory, sacked 900 workers
View previous topic View next topic Back to top 
Page 1 of 1
 Similar topics
-
» This may be the reason for market drop today
» THE REAL REASON THE SWISS PEG ENDED
» Deutsche Bank Is Going Under: Is The Real Reason Germans Were Told To Prepare For A National Crisis?
» Real reason for low trades.
» how to find real value of shares? (from www.cse.lk ,DFN )

Permissions in this forum:You cannot reply to topics in this forum
Busy Brain  :: News Update-
Jump to: