NASCON Allied Industries Plc, one of the many subsidiaries of Dangote Industries Limited, has disclosed that it has moved some of its operations away from the Apapa area of Lagos to Oregun and Port Harcourt.
Why this? While disclosing the development, the company’s Managing Director, Paul Farrer, said the decision to move its operations was in response to the lingering gridlock in Apapa.
Farrer said the Apapa gridlock was one of the key risks to the company’s business last year. He added that the Apapa gridlock affected the movement of raw materials to Oregun, timely delivery of finished goods to customers, and increased turn-around time of the company’s trucks.
Addressing shareholders during the company’s Annual General Meeting in Lagos on Thursday, June 13, 2019, Farrer said the following;
“We relocated 60 percent of our Apapa Plant production capacity to our Oregun and Port Harcourt Plants to reduce the effects of the gridlock. We also engaged third-party transporters to ensure timely delivery of our finished goods.”
The Apapa Gridlock Challenge: Apapa is a Local Government Area in Lagos, located to the west of Lagos Island. It contains a number of ports and terminals operated by the Nigerian Ports Authority (NPA), including the major port of Lagos State and Lagos Port Complex (LPC).
Apapa contains ports and terminals for various commodities such as containers and bulk cargo, houses, offices and a small old disused railway station (Apapa North).
It also houses major companies such as BUA Group, as well as the commercial offices of many shipping, clearing, and transportation companies.
How FG is challenging the lingering menace: Over the past years, Apapa has been known for its gridlock caused by trucks and other vehicles.
In a move to clear up the Apapa gridlock and restore law and order to the area and its environs, the Federal Government had extended by two weeks, the time given to the Presidential Taskforce on the Apapa traffic gridlock to resolve the matter.
The task force which commenced its assignment on May 24, had up to June 7th to complete the assignment. It is now expected to present a formal report at the end of its extended mandate on June 24.
About NASCON: Established in 1973, NASCON Allied Industries Plc (previously known as NASCON Plc), is a registered company in Nigeria which is engaged in salt refining.
The company has since evolved with additional business lines that now include Vegetable Oil, Tomato Paste, and seasoning.
