By Chidi Ugwu
The Federal Government’s plan to suspend the processing and exporting of wood from Nigeria is expected to significantly increase the country’s unemployment rate with over six million jobs being threatened, according to Barr. Folorunsho Dada, Legal Adviser to the Processed Word Producers And Marketers Association (PROWPMAN).
In a 6-page letter, addressed to the Chief of Staff to the President, Hon Femi Gbajabiamila, Dada argued that the suspension will lead to the loss of over six million jobs in the wood processing and export value chain sector.
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He urged the government to reconsider the decision, stating that Nigeria cannot afford such a heavy blow given the current economic and social realities, including a 40% inflation rate.
Dada highlighted the huge financial benefits accruing from wood processing and exporting, with Nigeria’s capital base conservatively put at USD500million.
He noted that developed and developing economies like China, USA, Canada, Germany, Indonesia, Finland, Poland and Brazil are reaping billions of dollars from this industry for their economic development in a post-COVID-19 era.
The PROWPMAN Legal Adviser also mentioned the contributions of PROWPMAN and the Tropical Wood Exporters Association of Nigeria (TWEAN) to sustainable forest management.
Following the lifting of the 2014 blanket ban on wood processing in Nigeria, PROWPMAN mobilized over N11.2billion as seed fund for sustainable forest management projects.
Dada emphasized the opportunity for the three tiers of government to access greater funds for infrastructure development through various tax regimes related to the wood processing and exporting industry.
He called for a townhall meeting of industry players and stakeholders to provide a more holistic review of the industry and its potential as a critical source of funds for the nation’s economic challenges.
