Shoes, garments, leather processing factories for Abia, Kano
Aderemi Ojekunle is a Businessamlive Reporter.
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October 12, 2020926 views0 comments
The federal government of Nigeria last week approved the establishment of processing factories for shoes, garments and leather to be situated in Aba, Abia State and Janguza, Kano State, Rauf Aregbesola, Minister of Interior announced.
The establishment of the factories will be under a public-private partnership in collaboration with Erojim Investment Limited and Poly Technologies of China.
“The Federal Executive Council approved a memo I presented on the establishment of Shoe, Garment and leather processing factories in Janguza, Kano State and Aba in Abia State under a PPP arrangement,” a statement on the minister’s official twitter handle read.
“The PPP project with Erojim Investment Limited and its technical partners, Poly Technologies of China, will create 1,290 direct employment and 3,000 indirect employment when it becomes operational,” it concluded.
Aregbesola, while presenting the memo noted that the job creation potential of the factories when operational will be fantastic as he explained that the PPP arrangement with over 5 billion dollars will invest 1,290 direct employments and 3,00 indirect jobs.
The PPP arrangement is geared toward founding world-class factories that will utilise the best technologies as well as great materials to produce world-standard shoes, leather and garments. The federal government had in May this year announced that it was targeting a PP partnership with N5.08 billion to bring back the leather and garment industries.
Speaking through Chidi Izuwah, the director-general of the Infrastructure Concession Regulatory Commission, the FG had said the N5.089 billion would consist of 80 per cent debt, 20 per cent equity and zero financial contribution by the FG.