Chemical union seeks reversal of CBN’s forex policy – The National Union of Chemical Footwear Rubber Leather and Non-Metallic Products Employees (NUCFRLANMPE) has urged the Central Bank of Nigeria (CBN) to rethink its recent policy on Form M, which has to do forex, to save players in the manufacturing sector from closing shops.
Its National President, Comrade Babatunde Goke Olatunji, who spoke in Ogun State, said in as much as the CBN was trying to guide against the dwindling economy, the effect of removing the third party from the chain is already having its toll on the sector
Olatunji stated the inability of many firms to have access to forex and form M would reduce the access to raw material for production and this might force many of them to go down.
He said if there’s no Letter of Credit, there would be more problems in the sector.
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On the hike in fuel and electricity prices, Olatunji said it was a double blow on the sector because the higher the price of both essential products the higher the cost of production will be and the higher the consumer would pay on the final products and this will not be good for the economy
He urged the Federal Government to come up with workable policies to ensure an adequate supply of electricity in the country.
According to him, poor electricity supply has contributed to the destruction of industries in Nigeria, which in turn, encourages smuggling.
Olatunji said it was only good governance that could address poverty and not collective bargaining.
He said employers alone would not tackle economic challenges without good governance that would help rebuild industries and reduce the poverty level.