The House of Representatives on Wednesday asked the federal government to declare a state of emergency in the states of Bompai, Sharada, and Chalawa Industrial estates in Kano State and others by collaborating with relevant agencies to establish a credit scheme to support the revitalisation of the ailing industries in the estates.
In a resolution following a motion by Hassan Shehu Hussain (NNPP, Kano), the House urged the government to withdraw incentives that favour the importation of products that can be manufactured locally to reduce unnecessary competition and protect the domestic market, thereby allowing indigenous industries and manufacturers to thrive.
The House asked the Federal Ministries of Trade, Industry and Investment, Works, and Federal Inland Revenue Services (FIRS) to collaborate with the government of Kano State to address the challenges of multiple taxation, poor road networks, and inadequate energy supply faced by the industrial estates.
Moving the motion, Hussain said the historic economic growth and industrial activities in Kano and other parts of Northern Nigeria have been partly due to the contribution of industrial activities at Bompai, Sharada, and Chalawa industrial estates, Kano, with an estimated 1000 manufacturing industries.
According to him, the estates host a wide range of industries, including textiles, Motor Vehicle Assembly, food and beverages, chemicals, pharmaceuticals, steelworks, tanneries, packaging, agro-sacks, and plastics; recognises that the estates previously employed an estimated one million, five hundred thousand (1.5) skilled and unskilled workers, thereby supporting the livelihoods of numerous households.
He said the three industrial estates play a crucial role in catalyzing economic activities in Northern Nigeria and neighboring countries such as Niger, Chad, Cameroon, and Mali, reaffirming Kano’s position as an economic hub for the region.
He said further that the estates contribute significant revenue to Kano State and the Federal Government of Nigeria, in addition to bolstering the country’s industrial capacity and Gross Domestic Product (GDP).
He said report by the Manufacturers Association of Nigeria (MAN) that there has been a consistent decline in industrial and manufacturing activities in the estates since 2014, thereby diminishing Kano’s standing as one of Nigeria’s industrial hubs.
He expressed concerned that the estates are now reduced to mere warehouses, rented out for storage, rather than being active production centers, adding that the decline can be attributed to a lack of basic infrastructure, such as a reliable power and water supplies, railway collapse, poor road conditions, multiple taxation, and the long distance between Kano and the nation’s seaports.
He stressed the impact that the decline in manufacturing activities in the estates is having on Kano, particularly in relation to the rising unemployment among the youth and the increasing instances of despair, thereby contributing to insecurity within the state and the surrounding region.
He said the social and economic effects of this industrial decline are further exacerbated by the current economic challenges due to the removal of fuel subsidies and that these conditions together represent a potential crisis that, if unaddressed, could be exploited by malicious actors to incite social unrest and tension in Kano and the country in general.
(The Nation)