By Onome Amuge
The $2 billion petrochemical plants being built by Dangote Industries Limited in the Lekki Free Trade Zone (FTZ) in Ibeju-Lekki, Lagos State, will produce 77 different high-performance grades of polypropylene in Nigeria, it has been confirmed.
The country’s largest conglomerate disclosed in a recent statement that with a turnover of $1.2 billion, the 900,000 metric tonnes per annum capacity plant has been positioned to cater to the demands of the growing plastic processing downstream industries in Africa and other parts of the world.
Devakumar Edwin, group executive director, strategy, capital projects and portfolio development, said the plant will drive investment in the downstream industries, generate value addition in the country, create employment, increase tax revenues, reduce foreign exchange outflow and increase the gross domestic product (GDP) of the country.
He added that the petrochemical plant, which is nearing completion, would also embark on the production of polyethylene products in the near future.
Edwin lamented that raw materials from polypropylene are currently imported into the country and there is no foreign exchange for manufacturers to import raw materials. He assured that the Dangote petrochemical plant, when fully completed, will address the challenge.
The executive director also said the petrochemical plant would reduce the demand for foreign exchange from the nation’s treasury to import petrochemical by-products.
According to him, when the raw materials are locally available, there will be many more people who will be willing to invest in the economy. He also explained that the project will not only boost the savings of foreign exchange from petrochemical products’ importation as the country’s downstream sector will also benefit hugely from the availability of petrochemicals in the country.
Frontpage October 1, 2019