Dunlop

[zainabusman]

Originally Posted by solainvest

We Are Forced To Scale Down Operations Due To Govt Policy Reversals - Dunlop


Guardian Newspapers

That is the story of this government - policy reversals. I feel for these guys and the cement manufacturers.

"The situation in Nigeria is very unfair to manufacturing; you let people invest their hard-earned money into manufacturing operations and you liberalise trade. What is the interest of Nigeria? Is it not to generate employment? Is it not to encourage value-added and also trigger the multiplier effect of manufacturing into the Nigerian economy?

However, the guys who are pushing trade liberalisation want to bring in their own goods. So they are making a lot of incursions into the government to make sure that it approves liberalisation programmes, which is totally against the interest of Nigeria."

[Monwowo]

Originally Posted by zainabusman

That is the story of this government - policy reversals. I feel for these guys and the cement manufacturers.

"The situation in Nigeria is very unfair to manufacturing; you let people invest their hard-earned money into manufacturing operations and you liberalise trade. What is the interest of Nigeria? Is it not to generate employment? Is it not to encourage value-added and also trigger the multiplier effect of manufacturing into the Nigerian economy?

However, the guys who are pushing trade liberalisation want to bring in their own goods. So they are making a lot of incursions into the government to make sure that it approves liberalisation programmes, which is totally against the interest of Nigeria."

That is why most of the people I have spoken with regading investment in Nija were taking it with a pinch of salt. Government policy is the best wealth destruction mechanism. See all fwd and backward reversals of recent times in policy statements and the effects. All the govt posturing, if anything, is not benefitting the ordinary Nigerians a lot. I don't know where we are headed oh (Nija st about 48yrs and counting without any direction.....a really wasted generations!)

[donchisel]

My people,

CSL weekly report attached below revealed that the Federal Government may have initiated steps to prevent the closure of Dunlop, the remaining tyre maker in West Africa which recently gave notice of shut down of its Nigerian factory. According to the Minister of Commerce and industries Charles Ugwu, government was already in talks with the company’s management and is taking steps aimed at reviewing the current price of diesel and the existing tariff regime for imported good well as inputs and raw materials imported by manufacturers.

Does this mean that their could be light...............em.............sorry i mean Lantern at the end of the tunnel. I hope that Kerosine will not get scarce before the minister's initiative arrive implementation stage

[balaliyu]

Originally Posted by donchisel

My people,

CSL weekly report attached below revealed that the Federal Government may have initiated steps to prevent the closure of Dunlop, the remaining tyre maker in West Africa which recently gave notice of shut down of its Nigerian factory. According to the Minister of Commerce and industries Charles Ugwu, government was already in talks with the company’s management and is taking steps aimed at reviewing the current price of diesel and the existing tariff regime for imported good well as inputs and raw materials imported by manufacturers.

Does this mean that their could be light...............em.............sorry i mean Lantern at the end of the tunnel. I hope that Kerosine will not get scarce before the minister's initiative arrive implementation stage

Yep...Govt never dissapoints. Follow the script: Treat the symptoms, and let the disease kill you.....

Till we get power right - i'd really be wary of Manufacturing companies...I dont work in one, but we spend about $1million/month to power our offices and few associated buildings... I can only imagine what these manufacturing guys are spending monthly....

Cheers...B

[Babs_O]

Originally Posted by donchisel

My people,

CSL weekly report attached below revealed that the Federal Government may have initiated steps to prevent the closure of Dunlop, the remaining tyre maker in West Africa which recently gave notice of shut down of its Nigerian factory. According to the Minister of Commerce and industries Charles Ugwu, government was already in talks with the company’s management and is taking steps aimed at reviewing the current price of diesel and the existing tariff regime for imported good well as inputs and raw materials imported by manufacturers.

Does this mean that their could be light...............em.............sorry i mean Lantern at the end of the tunnel. I hope that Kerosine will not get scarce before the minister's initiative arrive implementation stage

This is good news though may be late for the Dunlop workers already sent packing. May also be late for those alreay sold out on the stock and those already bent on selling out. Hope the power problem is resolved promptly as it is part of the solution to the market lull.

[ttoladele]

Originally Posted by donchisel

My people,

CSL weekly report attached below revealed that the Federal Government may have initiated steps to prevent the closure of Dunlop, the remaining tyre maker in West Africa which recently gave notice of shut down of its Nigerian factory. According to the Minister of Commerce and industries Charles Ugwu, government was already in talks with the company’s management and is taking steps aimed at reviewing the current price of diesel and the existing tariff regime for imported good well as inputs and raw materials imported by manufacturers.

Does this mean that their could be light...............em.............sorry i mean Lantern at the end of the tunnel. I hope that Kerosine will not get scarce before the minister's initiative arrive implementation stage

This is the hallmark of incompetence, fire fighting!!! A reflection of the bigger picture of our national crisis with no economic direction. I hope Dunlop will go ahead with the plan to join the club of tire traders to enable it honour her obligation to the Shareholders.

[knightofdelta]

The Nigerian Government is an expert at setting up ad hoc committees to look into situations when they are already gone bad. Just like trying to treat a stage 4 cancer when it has spread to the whole body. There is a systematic failure in place and they are looking at doing to acrobatic economic move to save Dunlop. This company has been crying for several years for the government to do something about the tariffs but it all fell on deaf years and now they are magnanimous enough to come to their aid.

I know they will come out with a wonderful blueprints on how to revive the industry... it will be so good it will make American professors of Economics go green with envy but implementation nko...

[BLUEMONEY]

Originally Posted by Babs_O

This is good news though may be late for the Dunlop workers already sent packing. May also be late for those alreay sold out on the stock and those already bent on selling out. Hope the power problem is resolved promptly as it is part of the solution to the market lull.

MR PRESIDENT have openly declared that he doesnt see the power problem solved until about ten years time.

if they are realy seriuos about helping this company, they should not even bother setting up any stupid ad hoc committee. one of the things they can and should do is to increase the tarriff paid on imported tyres to 80% so as to discourage importation and enable Dunlop to compete favourably in the market.

But it seems like they were not ready to help the company that was why the reduced the tarriff paid on imported tyres from 40% to 10%. how do they expect them to compete under this harsh production environment ?????

if this company is going to start importing tyres so as to add value to it's shareholders, i am in total support of it and no stupid ad hoc committee should try to stop them.

[Babs_O]

Originally Posted by BLUEMONEY

MR PRESIDENT have openly declared that he doesnt see the power problem solved until about ten years time.

if they are realy seriuos about helping this company, they should not even bother setting up any stupid ad hoc committee. one of the things they can and should do is to increase the tarriff paid on imported tyres to 80% so as to discourage importation and enable Dunlop to compete favourably in the market.

But it seems like they were not ready to help the company that was why the reduced the tarriff paid on imported tyres from 40% to 10%. how do they expect them to compete under this harsh production environment ?????

if this company is going to start importing tyres so as to add value to it's shareholders, i am in total support of it and no stupid ad hoc committee should try to stop them.

That doesn' t stop us from praying oh. for something tangible to be felt before them.

[donchisel]

Originally Posted by BLUEMONEY

MR PRESIDENT have openly declared that he doesnt see the power problem solved until about ten years time.

if they are realy seriuos about helping this company, they should not even bother setting up any stupid ad hoc committee. one of the things they can and should do is to increase the tarriff paid on imported tyres to 80% so as to discourage importation and enable Dunlop to compete favourably in the market.
But it seems like they were not ready to help the company that was why the reduced the tarriff paid on imported tyres from 40% to 10%. how do they expect them to compete under this harsh production environment ?????

if this company is going to start importing tyres so as to add value to it's shareholders, i am in total support of it and no stupid ad hoc committee should try to stop them.

I bet that even if the Gov increase the tariff to 100% for imported tires, all motorist would head to contonou for a weekend holiday each time their tires are due for a change.

Meanwhile the tax levied on Dunlop would be so much they won't still meet up with the require PAT.

Bottom line, Gov should restore Power.

[BLUEMONEY]

Originally Posted by Babs_O

That doesn' t stop us from praying oh. for something tangible to be felt before them.

you are right.

[BLUEMONEY]

Originally Posted by donchisel

I bet that even if the Gov increase the tariff to 100% for imported tires, all motorist would head to contonou for a weekend holiday each time their tires are due for a change.

Meanwhile the tax levied on Dunlop would be so much they won't still meet up with the require PAT.

Bottom line, Gov should restore Power.

Heading to Contonou to change tyres has another name called MADNESS

[chokit]

I certainly do not see any hope for investors on this company.I bought the stocks even with the droping of the price to the bearest point i still couldnt sell.This is a really money gone the drain.

[BLUEMONEY]

Originally Posted by chokit

I certainly do not see any hope for investors on this company.I bought the stocks even with the droping of the price to the bearest point i still couldnt sell.This is a really money gone the drain.

Well if the Management are serious about adding value to shareholders and go ahead by importing Tyres doing it Effectively while taking advantage of the low Tarrif paid on imported Tryes, then there is Hope.

[BLUEMONEY]

Originally Posted by chokit

I certainly do not see any hope for investors on this company.I bought the stocks even with the droping of the price to the bearest point i still couldnt sell.This is a really money gone the drain.

I learnt that this company has not left the country after all but are now waiting for the intervention promised them by the government. though the option of leaving the country is still on the table, they are among other things asking the government to do an upward review of the duty paid on imported bus and truck tryes to 50% which i believe is too generous.

For me 80% will be preferable.