‘Steel vital to automotive industry sector’s growth’
Economy
THE Executive Vice Chairman/Chief Executive, National Agency for Science and Engineering Infrastructure (NASENI), Prof. Mohammed Haruna said the development of the steel industry in Nigeria is vital to the automotive industry.
He said although the government is establishing automotive industry parks, the dream cannot be possible without a developed steel sector.
Haruna said Ajaokuta Steel Complex has the capacity to become a major producer of industrial machineries, auto-electrical spare-parts, shipbuilding, railways and carriages when resuscitated.
The chief executive spoke yesterday in Abuja as a guest speaker at the retreat of the newly constituted National Steel Council.
He also identified the missing links for the collapse of the Nigerian iron and steel industry.
“The presentation is basically to look at where we came from, where we are and what we need to know and do to ensure that this important sector of the economy is brought to the mainstream.
“The automotive industry in Nigeria cannot function well without the steel industry, we are establishing an automotive industry park in Nigeria and looking at Nigerian professionals, providing services elsewhere in the world to come back let’s develop our country together’’.
“Ajaokuta steel has the capacity to become a major producer of industrial machineries, auto-electrical spare-parts, shipbuilding, railways and carriages.
“The missing link responsible for the collapse of the Nigerian iron and steel industry can be seen in three dimensions: First, the taking out of the steel project out of the Presidency; second, the dissolution of the National Steel Development Authority (NSDA) and third, the annexing as appendages of the steel projects to various ministries at different times.
“Looking back from the present status of the iron and steel industry of Nigeria, it can be seen that taking out the iron and steel projects from the Presidency technically speaking was a great mistake.
“The steel sector has been independently polarized by the perpetuation of non-structure since being moved from the Presidency in the early nineteen-eighties. It need be recalled that since early nineteen-eighties, the Iron and Steel development of this country has been treated like the plant Mimosa Pudica popularly known as “touch me not” since it was taken from the Presidency because the moment you touch the leaves of the plant, they wither.
“The constitution of this council to function 40 years after its establishment by law is one of the best things that this administration will bequeath to the next administration.
“The lack of this council left the steel sector without an authority that would direct the affairs of the council. Hope is not lost, Ajaokuta can be resuscitated with the calibre of people assembled to chair the council and its members.”
The Chairman of the National Steel Council, Mohammed Murtala said the steel sector at the moment is in bad shape.
He said: “Nigeria’s steel sector is in a bad shape at the moment because if you look at our per capita consumption, it is below the African average by looking at our population and quantum of steel required in the country, a lot has to be done.
“What you will notice is that the steel sector has been running in bits and pieces, this is the first time since the enactment of the act 40 years ago that the council is being set up.
“We intend to carry out an audit both on ground and under like the steel plants and so on, players in the Industry, importers, exporters, miller’s and so on. In everything we are going to ensure that we use local expertise as much as possible.”
-The Nation
KN
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