THE IMPACT OF SMUGGLING ON OUR LOCAL INDUSTRIES
CHAPTER ONE
INTRODUCTION
BACKGROUND OF THE STUDY
Nigeria is one of the developing countries of the world yet at the fringe of industries development, but the huge internal market and the vast resources base both human and material are so formidable that local and foreign investors should be tumbling over each other in advancing the peace of industrial development. At this point one may ask, what are the restraining factors? First on the list of these factors is smuggling which is going to be main research topic of this project.
One of the measures taken by General Ibrahim Babangida the former President of Nigeria and also regime of Gen. Sani Abacha to accelerate the growth of local industries is the widespread ban on importation of raw materials and certain classes of goods which was seen to be detrimental to the growth of our local industries. If must be admitted that this measure conflicts with the interest of foreign experts and home importers so it was easy to speculate that every effort would be made by them to render it nugatory. The measure was generally welcomed by, the private sector and should have assisted local industries to grow and expand, if properly enforced. However, the act of some unscrupulous men through of our local industries.
There have been reports of large scale smuggling of goods in and out of the country. Various groups of local business men are being accused including some Orientals (Japan, Europe and China and Assists who are said to be notorious in the malpractice.
In 1995, lien. Sani Abacha and the federal government reviewed to check this hideous crime by given priority on agriculture and domestic investors. There have also been incessant calls from different government agencies that the organized private sector should join in the crusade by giving members and these swaggers in order to ride Nigeria out of this malpractice and ensure a strong and viable economic environment within which to operate.
Smuggling is not a new way of life in any part of the world. nations down through the stream of time have had on one occasion or the other need a way(s) to curb smuggling there is no nation through that can claim to have successfully curbed its entirely smugglers and their unpatriotic notorious acts. But in recent time, this act has become a regular feature of life in Nigeria and Nigerian’s in their increasing members have bee calling on the governments and citizens to do this or that to save them from this curse that can lead to a retardation of the much needed industrialization take off.
At this juncture, lets draw attention to SUNRISE FLOUR MILL EMENE, which is one of the Enugu state government established local industries established in 1983 under the defunct administration of Chief Jim Nwobodo. The industry is solely of food processing industries with the following products line, SUNRISE Flour, SUNRISE SEMOLINA, SUNRISE WHEAT. Unfortunately, the industry could not survive the strain of the economic depression as a result it went out of production in 1985 and reassumed production again 1992. It was later found out that SUNRISE FLOUR could not survive the flux of smuggling of flour in the market hence its inability to survival. This research work will fully treat the effect of smuggling on our local industries.
STATEMENT OF PROBLEMS
One major problem militating against the growth of our local industries is smuggling of goods in and out of the country. This has prompted this research (into finding the causes, ways of preventing it and exposing the people who engage in this act). To this effect, the following problem questions would be answered in the course of doing this work.
To what extent is the growth of our local industries?
Is the average local industry able to provide the needs of Nigeria require of them.
If no to question 2, why can’t they provide these needs? What are the avenues open to them to accelerate their growth?
Can’t there be a way of preventing smuggling which is one of the factors retarding their growth?
Can there be argument for smuggling?
Which are the industries most effected by smuggling?
All these problem questions would be taken care of in this research work through efficient and effective conduct of this task by the researcher.
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