MANEG lists problems of export in ECOWAS sub-region
By Princewill Ekwujuru
25 May 2007
Manufacturers Association of Nigeria Export Group (MANEG), an arm of the Manufacturers Association of Nigeria (MAN) has listed the impediments to pro-export growth in the Economic Community of West African States (ECOWAS) sub-region.
Mr. Romeo Barberopoulos, Chairman, MANEG disclosed this recently at the launching of the NEXPORTRADE Houses Limited, a company saddled with the responsibility to promote export businesses among African countries while listing the reasons for the anti-export behavoiur on the sub-region’s manufactured goods blamed the anti-export reasons on elasticity and slow pace of decision making mechanisms, and laws made haphazardly on the region’s fiscal rules and regulations.
Secondly, he said that lack of competitiveness, hindrances associated with bureaucratic processes, corruption are some of the reasons militating against the growth of export business in the region.
Thirdly, he noted that quality, reliability, investment and sunk costs are barriers to potential exports, whilst stressing that the nation is also lacking in man power skill.
Continuing, Barbaropoulos stated that high cost of and complicated financing do not allow industries to modernise out dated plants and machineries, which results in high cost of production and poor quality goods.
The chairman further said that lack of funding on low interest rates, slow pace and frustration in execution of export related programmes, governments inability to implement ECOWAS policies and agreements remains some of the reasons for the low growth in the export sector of the sub-regions economy.
He explained that trade facilitation like transport costs, public and government services have come to be recognised as major determinant of competitiveness, a s well as government inability to apply control by duly ensuring that the local content, in the case of ETLs.nd other rules and regulations are observed.
He noted that for these reasons MAN in collaboration with Nigeria Export Promotion Council (NEPC) is forming the Export Trade House (ETH) to bring to bear on export activities going on in the sub-region.
Barberopoulos further explained that the company will act as a clearing house for goods exported to other countries to ensure that proper safeguards are put in place for proper export standards.
He went on to say that the company will provide market and marketing assistance, training, guidelines to exporters.
The chairman stressed that beneficiaries of the scheme are exporters, members or non members of the associates of the company, especially Small and Medium Enterprises (SMEs) who lack the capacity to promote their exports.