Michelin has closed its manufacturing shop in Nigeria and this is on authority. A release circulated by its management to affected workers earlier in the year said that Michelin would close down for "strategic reasons". this was not defined, but the workers think it is due to the incessant power outages which the manufacturing sector in Nigeria has had to grapple with.

However, critics refuse to accept this reason for Michelin's drastic decision to leave Nigeria. The argument is that any investor in Nigeria, who wants the economy to grow should be able to weather the storm with the Nation. Others say Nigeria's population of about 140 million people is an advantage to investors despite its energy problems. The National President of Footwear, Leather and Rubber Products Union, Comrade Kayode Oladimeji in an interview he granted a national daily said, "Michelin is a French company, and the French are not used to developing countries outside their territory." That is why they have been looking for an opportunity to get out of our economy. Now Nigeria must not suffer for lack of Michelin tyres.

Oladimeji further emphasized that Michelin has a very large rubber plantation in Nigeria and Michelin alone cannot consume the huge raw materials from the plantation.

The scenario, according to Oladimeji, is that more tyres will be produced which will be useful to their industry in France and other parts of the world. "The plan is to use Nigeria as a farm, where raw materials are extracted to feed factories in Europe and other Western countries, to the detriment of our economy. The implication of this is that Nigeria will eventually become their dumping ground.

How does Michelin's exit affect Dunlop Nigeria Plc, a tyre manufacturing company? One would expect this scenario to be at Dunlop's advantage, but Oladimeji does not think so. "Prior to Michelin's plan to shut down, Michelin and Dunlop both produced 60% of the tyres used in Nigeria. Michelin has gone, only Dunlop will be producing tyres in the country. This means that soon there would be a shortfall of locally manufactured tyres and Dunlop must be encouraged to meet the demand for the product in a huge country like Nigeria.

There must be legislation to protect companies and workers in Nigeria. Michelin has left over 1300 workers in the lurch, some with 30 year or half a life time service with the company. Really will the French view this situation kindly if the table were reversed?

The Minister for Commerce and Industry must take a closer look at this issue. He should know. He is a manufacturer. Should Nigeria be further reduced to consumption when it can produce? Is Michelin's Exit a great business strategy to the company and a tragedy to Nigerian workers?

Every country has a duty to protect its citizenry from brazen Economic banditry. Every company must show some measure of responsibility to its host community. Michelin's exit may be for the fudicial interest of the outfit. Likewise, the government must show some measure of responsibility to the people and companies like Dunlop. These companies have kept faith with the country. Government must cut down the numerous taxes for them. Companies that keep Nigerians at work must be kept working. Think! + Read More