By: ‘The Rock Post’ team
Engineer Cum Solid Mineral Investor, IFESIE BONIFACE is a director of many engineering-based companies including IBI Corporate Solutions Limited, which is into the business of dimension and aggregate stones production. In this exclusive interview view, he delves on some of the impediments bedeviling the rapid growth of the sector based on his vast Nigeria experience.
Q. Give us a brief into your personality and background! In order words, who are you sir?
R. I am a creative young man with innate Engineering abilities which has seen to the formation of a number of engineering-based companies under my directorship. A highly rational being with very strong moral upbringing which form the bond for my success in life. I have a strong believe in my country Nigeria and in the power, intellect, population and the energy of the Nigerian youth to take the country to enviable position considering our abundant natural and human resources. I am a lover of nature
Q. You are a dimension / aggregate quarry owner and specialist. Tell us about the competition between foreign quarry owners and local companies like yours.
R. There seems to be serious competitions between the foreign and locally owned dimension stone in which the foreign owned (mainly Chinese) have some edge over the local ones in the following areas:
- They have access to finance from their government at almost zero % interest rate
- They have access to machines and the parts as the machines are not produced in Nigeria
- They have access to labor and even most times bring in people serving prison terms in China to come and work in Nigeria under no wages responsibility from the company. (it is surprising how this which is in flagrant violation of the provisions in the mining act even in the faces of the mines inspectorate and the ministry of interior that have the responsibilities of the implementation should happen. This is allowed to happen in the face on millions of jobless Nigerian roaming the street)
Q. Would you say the foreign owners have an undue advantage?
R. Yes, they do. These are already mentioned above
Q. How can this imbalance be addressed such that there is a level playing ground?
R. The financial institutions must step in towards the promotion of growth and development of the economy through the availing of financial instruments at about 1 to 2 % interest rate for the critical sector of the economy whose viability means the viability of the entire sector of the economy. Government should be serious about her employment creation drive and must not allow foreigners to come and to take up job positions that a number of Nigerians are suitably qualified to do. In cases where requisite skills could not be found in Nigeria, successive plans must be in place with definite timing
Q. Is the indigenization policy of any effect over the influx of these nationals?
R. The indigenization policy exists in most cases in the paper. Government is not doing enough to ensure the policy works. These are the facts to ponder about
- Same government gives work permit to foreigners on jobs that Nigerians can do
- Same government awards contracts mainly to foreign company while abandoning their indigenous capacities
- Same government opens Letter of credit for the importation of equipment that are manufactured in Nigeria
Q. Let’s look at the issues of expatriate quota. Is it necessary considering the availability of local skilled manpower?
R. Expatriate quota is necessary only in cases where the requisite skill cannot be found in Nigeria. This must be for a short period of time and with list of Nigerians understudying the expatriates and a detailed training programme. To this end, the ministry of interior, the Nigerian immigration service and the Nigerian embassies must work in close collaboration.
Q. Take us through ideal process for obtaining and expertrate quota and where do you think lies the loose end, giving room for abuse, that requires strengthening?
R. The following are the steps towards the obtaining of expatiate quota for expatriate personnel for the purpose of mining:
- Getting approval from mines inspectorate on the expatriate personnel to come to Nigeria for mining purposes. (approval can only be granted where there is skill gap in Nigeria for the intended position)
- Application to the ministry of interior for the issuance of expatriate quota for the positions approved by the mines inspectorate. This application is however made in conjunction with other required documents as required by the ministry of interior
It unfortunate that expatriate quota for expatriate personnel for the purpose of mining have little or no input from the mines inspectorate hence accounting for the reasons prisoners come in as expatriates and taking up jobs meant for Nigerians while millions of Nigerians roam the street jobless
Q. What are the features that makes dimension stone attractive and suitable?
R. The dimension stone industry is very attractive for the following reasons
- The country is endowed with millions of tons of non-radioactive granite rocks, dolomites, calcites deposits with varying coloration among the rock outcrops
- There are consistent mineral policies
- The law allows for mineral ownership
- Very attractive royalty payment to the government
Q. Compare and contrast these features, in terms of financial implication, with those of exported products.
R. Nigerian stones are adorn with beauty and strength. The porosity, hardness, slake durability index , abrasive resistance, resistance to ageing are all in excess of industrial average
Q. There are existing dimension stone companies such as CIBI, OFL etc. what is your company’s outstanding selling point?
R. There are a number of dimension stones processing factory in Nigeria. We stand out due to our strict adherence to quality and all operational standards
Q. Let us discuss varieties and your advice for new investors in this business
R. As mentioned earlier, Nigeria is blessed with millions of tons of rock deposits that can be cut into decorative tiles. The consistent mineral policies and mineral tile ownership makes it really very attractive sector to invest in
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