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Journal of Sustainable Development in Africa (Volume 12, No.2, 2010) - page 11 / 17





11 / 17

The collapse of manufacturing industries could be seen as a loss and deterrent to the industrial development of Kwara State. This is greatly noticed in the trend of employment income and potentialities over time from the survey. It was discovered that as of 1962, the demised industries at inception only had 40 employees, but by 1969, the figure rose to 1150 employees. The reason for the above is not far-fetched; the establishment of the Nigeria Sugar Company and the Nigeria Paper Mill, which employed over 5,000 people each, accounted for the rise in the number employed in 1969. By 1980, the employment size of these industries had increased to an alarming figure of 14,832, the figures finally rose to a total of 16,382 when the last sets of industries were established in 1987. The essence of this is to show us that Kwara State’s unemployed has increased by 16,382 people with the closure of these industries. This has contributed, in no little way, to the already worsened unemployment problem in Nigeria.

FACTORS RESPONSIBLE FOR THE DEMISE OF THESE INDUSTRIES During the survey, it was discovered that no single factor determined, exclusively, the demise of these industries. Responses were obtained through published information and enquiries into the existence of these industries during the fieldwork. However, combinations of factors were identified. In all, eleven factors and problems were identified by our respondents. These range from inadequate capital, poor marketing network, high overhead cost, to technical problems and mismanagement, among others. When asked to rank these factors in order of importance, 52% of our respondents ranked mismanagement and under funding as the most significant factors responsible for the demise of industries in the state. Similarly, it was discovered that more than 22.2% of the collapsed industries are found to be in this category. For example, it was discovered that most of the collapsed state government and federal government owned industries experienced some sort of mismanagement and underfunding at one time or another. The cases of Nigeria Paper Mill (Jebba), Nigeria Sugar Company (Bacita), and Kwara State Paper Converter (Erin-Ile) are prominent examples.

Following closely on the heels of mismanagement, is the death of the proprietors. This was ranked first by 20% of our respondents, while 78% of them ranked this problem second. The death of proprietor accounts for about 15.5% of the collapsed industries in the state. Notable among industries that suffered from this factor included Glory Candle industry (Iddo-Oro), Union Steel Industry (Ajase-Ipo), Cinsere Industries (Ilorin), Demosco Industry (Erin Ile), Kadico Industries (Igbaja), Olarinoye watch industries (Ijomu), Union Steel Limited (Ajasse-Ipo) and Buari Watch Industry


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