Olasunkanmi Akoni
21 September 2008
interview
A group known as the Committee of Friends and Associates of the Chinese Business Community in Nigeria otherwise known as Chinese Business Community in Nigeria (CBCN) in collaboration with the Federal Government has concluded arrangements to hold the first private sector driven Nigeria-China trade and CBCN coordinator, Chief Matthew Uwakwe
...trade between Nigeria and China is looking up investment forum in Abuja sometime in October, with the theme "Balancing Trade and Investment- Role of SMES".
The Coordinator of CBCN, is Chief Matthew Uwaekwe, a businessman and a politician of note. He has played major roles in private sector having run several businesses successfully locally and internationally.
In this interview, he traced the history of the Chinese Business Community whose origin goes as far back as October 2003, when a Memorandum of Understanding (MoU) was signed on the establishment of the organisation.
The organisation which he said was fully supported by President Olusegun Obasanjo administration, has the objective of accelerating the economic development of Nigeria through enhanced trade and investment between Nigeria and China, especially in the promotion of the development of Small and Medium Scale Enterprises (SMES) in Nigeria.
WHAT really informed the Nigeria-China Trade and Investment Forum. In other words, how did the idea of investment forum come about?
It is a long way from here. The idea had long been conceived. Well, I think after the completion of my formal education from 1993 to 1998, I played partial politics but from 1988 to1999, I decided to go into full time politics, this really affected my business empire in some areas. At the same time, I looked at areas to be of good use to the nation.
However in 2003, I met with the then Chinese Ambassador to Nigeria, Mr. Wang Yun Kwi along with other diplomats and in the course of discussion, he (Yun Kwi) expressed his satisfaction with great contributions during the business interaction and would prefer further discussion and work out modalities on improving business relationship between Nigeria and China. As a matter of fact we rescheduled another appointment in the Chinese Embassy. There and then we fashioned out ways we could improve the business relationship between the two countries and the meeting took place in the ambassador's office in Abuja. At the end of the day we generated ideas which have now resulted into this forum.
The arrangement that was put in place, led into signing of Memorandum of Understanding between the two countries and that memorandum was signed during the time we gave a reception at NICON Hilton Hotel at Abuja where Nigerian and Chinese businessmen converged. After sometime, the MoU was signed and the bilateral case was cut.
The then president of Nigeria, Chief Olusegun Obasanjo sent high powered government delegations, people like Ambassador Idris Waziri, former deputy Senate president Ibrahim Mantu, Mrs Modupe Adelaja, the former minister of state for defence and director general Small and Medium Scales Industries including the son of the former head of state, late Gen, Murtala Muhammed among ministers and senators.
President Obasanjo was happy at the outcome of the meeting which he described as a very good beginning. Following this, we started arranging visits to China inviting Chinese businessmen and introducing them to business opportunities available in the country. The idea of free trade zone came on board, in Calabar, Ikorodu and Lekki as we speak and there is another one going on in Ogun State.
All these formed the basis of our discussions including the exchange of programmes between Nigeria and China universities, so that there would be a Chinese school to be established here in Nigeria. But, the fact is that the Chinese are not well acquainted with business climate in Nigeria which they found to be difficult. We then decided to say the first thing to do is to get the Chinese convinced having seen China as one of the biggest world economies, we felt it was important to attract Chinese investors as well as tap from their wealth of experience as far as the economy is concern.
One of the things that bothers my mind is that a lot of people in this country focus their attention on politics day in day out. Not even five percent of people in this country thinks or does anything about the economy. That is what is making of the environment very unsafe because the government and the people of this country are concentrating on politics alone to the detriment of our economy by not knowing that you can not have political stability unless there is economic stability.
When people can feed very well they do not need to worry themselves with what is going on in Abuja but for the fact that people believe that politics is the booming business and they concentrate on that. Thus, the essence of this forum is to see how we can reduce peoples' focus on politics through focusing on how to develop this country economically.
The economy of this country is very important and it is my believe that if we must make any headway in this country we must focus on developing our economy that is how people in Abuja can be safe and people in Lagos can be safe, people in rural areas and so on and this is achievable, is just determination and commitment, we can do it.
That is why over the years Chinese have been coming to Nigeria to give aids. We can't continue to live on aids, we must find a way of bringing them into the nation's economy and make them work, so that those things can be established for us to assist ourselves. But if somebody comes today and is giving Nigeria N50 billion, then it is not good for the economy of this country because they expect a return and before we could get to that area of paying back, the interest of the aids will probably be more than the borrowed money.
We should focus more attention and channel our energies on how to be self sufficient and how to provide for ourselves. Once that is tackled, we have stable electricity, pipe borne water, good roads and a lot of infrastructure on ground for people to be busy and be employed both in the urban and rural areas these will surely improve the security issue in the country. If we can attract Chinese to tap from their experience and technology that is in place, I believe with determination and commitment we can still do it.
What are the benefits of this initiative to Nigerians in general?
In all sincerity, going by the foregoing objectives, that the CBCN has evolved the idea of organizing the 'First Nigeria-China Economic Summit', with the theme 'Balancing Trade and Investment - Role of SMEs'. The benefits of the summit include among others: Attracting investment and investors in the area of SMEs to boost Nigerian Export to China. Tap from the experience of China, given the dynamism of the Chinese Economy in recent times. Transfer of critical/relevant Chinese technology to Nigeria.
Furthering ways of redressing the current trade imbalance, which is in favour of China. Providing opportunity for networking/one-on-one, interface between Nigerian and Chinese investors and presentation of papers that will enrich government policy framework, including factors hindering trade and investment. Seek investments in untapped natural resources of the country.
The summit being the first of its kind to be held in Nigeria, what are the other objectives?
The answers are not far fetch, they are: Large scale commercial production of rice and cassava. Implementation for agricultural production, meat processing/marketing, vegetable oil processing, Textiles, Dams/irrigation project, Telecommunications. Power generation.Oil and Gas/micro refined petroleum gas. Hospitality/Tourism, lead minerals exploitation/coal processing/bitumen production. Real estate/building materials/commercial car parks, waste management rail transport. Assembly/Manufacture of bicycle/motor-cycles.
Who are your other partners in this forum with you apart from the FG?
National Association of Chambers of Commerce, Mines and Agriculture (NACCIMA), Nigeria Investment Promotion Commission (NIPC), Nigeria Export Promotion Council (NEPC), Ministry of Foreign Affairs, National Planning Commission. Others include: Federal Ministry of Agriculture, Federal Ministry of Solid Minerals Bank of Industry, Small and Medium Scale Enterprises Development Agency of Nigeria (SMEDAN), National Association of Chambers of Commerce, Mines and Agriculture (NACCIMA).
The volume of trade between Nigeria and China which currently stands at $2.2b is a remarkable improvement from what it was few years ago, thus positioning the country as one of China largest trading partners in Africa. With the new economic policy thrust of the government, which liberalizes the economy, underscores preferential investment policy and the stable political situation, it is expected that there will be rapid increase in the flow of business traffic between our two countries, which will increase the volume of trade and change positively the balance of trade.
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WAIT UNTIL CHINA, EXPORTS ALL INCREASE QUOTES OF TEXTILES, FROM YOUR COUNTRY UNDER THE AGREEMENT, WITH THE USA FOR AFRICAN COUNTRIES. WAIT UNTIL MORE COUNTERFEITED MERCHANDISE, IS SHIPPED FROM YOUR SHORES, WHICH WILL ONLY MAKE YOUR COUNTRY BACK IN THE NEWS, AS "419ERS" AGAIN, BUT FROM THE CHINA PEOPLE. WAIT UNTIL ALL THE POISONS FOOD AND DRUGS, BEING SHIPPED AND RECEIVE BY AFRICA, KILLING PEOPLE. THEN YOU UNDERSTAND ALL MONEY IS NOT ALWAYS GOOD FOR THE COUNTRY. TONY