Innoson General Tyres Nigeria executives seek to reopen plant

Executives are moving to re-open the former General Tyres and Tubes factory in Nigeria, according to local news sources. The bid to reopen General Tyres and Tubes Company, Emene, Enugu, a subsidiary of Innoson Group, the Bank of Industry (BOI) sees executives promise to meet the relevant stakeholders with a view towards resolving lingering problems between the company and the National Environmental Standards and Regulations Enforcement Agency (NESREA).

BOI chief executive Rasheed Olaoluwa told local newspaper This Day: “The closure of General Tyres and Tube Company is very lamentable in a country in dire need of industrial growth. I understand that the company transforms rubber materials to finished products, thereby enhancing the economic drive in the country. I’ve also noticed that the closure is as a result of little misunderstanding between the agency and the company. I will look into the matter to get the place reopened.”

Meanwhile Innocent Chukwuma, Innoson group chairman expressed disappointment over the behaviour of industrialists who borrow money from BOI in order to use it to import foreign goods: “This attitude is very discouraging. People who indulge in such acts always play hide-and-seek game with BOI officials. It also discourages the spirit of industrialisation which the government has in mind while establishing BOI. Such people are not promoting the economic agenda of President Goodluck Jonathan”.

For further context (including details of the challenges for those operating in the Nigerian market, such as part worn and even regrooved second hand tyres and the de-industrialisation of the market’s tyre capacity) click here.