‘How FG can rescue indigenous quarries’
The struggle for survival by indigenous quarries in a sector dominated by foreign companies seems to have gone unnoticed or is been ignored by relevant stakeholders. Weekend Trust gathered that this neglect has led to the closure of several local quarry companies, forcing the country to rely almost exclusively on foreign firms operating within its […]
The struggle for survival by indigenous quarries in a sector dominated by foreign companies seems to have gone unnoticed or is been ignored by relevant stakeholders.
Weekend Trust gathered that this neglect has led to the closure of several local quarry companies, forcing the country to rely almost exclusively on foreign firms operating within its borders.
Experts and surviving operators have highlighted the long-term dangers of this continued reliance on foreign investors for Nigeria’s quarrying requirements.
Weekend Trust visited Nextstone Works Limited, one of the few surviving indigenous quarries in the Federal Capital Territory.
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The Managing Director, Engr. Ibrahim Abbas Tafida, laid bare the daunting challenges facing local operators and provided a roadmap for the Federal Government to revive the sector.
How did they survive while others perished? And more importantly, what can the federal government do to ensure that local quarries do not become extinct in a country that desperately needs their products for roads, bridges, schools, and hospitals?
These are the questions Weekend Trust put to the Managing Director of Nextstone Works, Engr. Ibrahim Abbas Tafida. The young engineer laid bare the challenges, pointed fingers where blame is due, and offered a detailed, practical blueprint for resuscitation.
The survival secret
When asked how his company has remained afloat while larger local names collapsed, the MD said, “We have been able to cope by running very efficient operations, keeping a very tight lid on everything we do, and running as much as possible on brand-new machines only. The secret in any business that involves manufacturing or mining is efficiency.”
He explained that most local companies that collapsed made the fatal mistake of starting with used or “foreign-refurbished” equipment.
“Unfortunately, you cannot survive in this industry that way. This business requires a lot of hard work from the machines; there is a lot of wear and tear. Foreign-used machines have already exceeded their lifespan. By the time you bring them here to use them afresh, they are dead on arrival.”
This insight is the first clue for any government looking to revive the sector: access to new, reliable equipment is not a luxury; it is a matter of life and death for local quarries.
The foreign factor
The Managing Director did not mince words when discussing the role of foreign companies in the Nigerian quarry space. While he is not against foreign investment, he described a pattern of behavior that systematically undermines local players.
“Wherever you go, home is home. Locals will do things for the benefit of the nation, but foreign companies will do everything for the benefit of themselves and their countries,” he stated. “Every kobo made is repatriated back home. They don’t leave capital here, and they don’t really facilitate as much technology or knowledge transfer as you would want.”
The most damaging tactic, he revealed, is the price war.
“When local companies, which are unfortunately sometimes less efficient, are working, foreign companies may initiate price wars, cutting prices for a short time. Once they have cleared the competition and secured a monopoly in the market, they dictate whatever price they want.”
He posed a rhetorical question that cuts to the heart of Nigeria’s economic dilemma: “Isn’t it amusing that we cannot fend for ourselves? Why do we have to depend on any foreign entity? We are human beings, not donkeys. If we say foreigners can give us everything, we might as well wait for them to come and recolonise us.”
Biggest challenges facing local quarries
Asked to list the specific obstacles that have decimated indigenous quarry companies, the MD identified three critical areas requiring urgent government intervention.
“First and foremost, the interest rate in this country is now about 28 to 30 per cent,” he said. Foreign companies come in with foreign capital at very affordable rates. With that cheap capital, they are able to bring in equipment and assets that perform wonders. Local companies lack that.”
He explained that manufacturing and mining require long-term lending. “You cannot expect me to buy an expensive piece of equipment and pay it back within a year or two. It’s not possible, unless I charge my customer his kidney and lungs.”
The second challenge he notes is a shortage of trained local expertise. “A lot of foreign companies bring their own skills. We try our best to train our people, but as a single company, it is impossible to train enough expertise for the scale of operations required.”
His solution points directly to the government; “The government should reintroduce vocational and technical training centres to close the skill gap and enable us to employ more people.”
The third major headache as he describes it, is a bewildering web of taxes and levies.
“You don’t even know who to pay. The FIRS (Federal Inland Revenue Service) is asking on one hand, and the Ministry of Mines on the other. At the state level, every state imposes its own taxes. Every person that wakes up imposes a new levy. You wonder which tax is legitimate and which is not.”
What government must do
Based on these challenges, the Managing Director said, “Government must provide accessible, long-term facilities through the Bank of Industry and other development finance institutions. Manufacturing requires patient capital. Secondly, diversify economic focus: We are such a rich country that our lowest-value material is crude oil. Everything else we have is more valuable and safer. Why are we concentrating solely on oil? There is an urgent need to harmonise payments between federal, state, and local governments. The current confusion drives away investment and kills local businesses.”
“Lastly, the government must engage stakeholders before making rules. You cannot make rules for an industry without sitting down with the people who work in it every day.”
Tafida drew a sharp distinction between indigenous and foreign operators regarding community safety.
“There are rules. There is a specific distance you must maintain from communities when blasting. Some foreign companies have blasting sites within a stone’s throw of residential areas. These are our people; I cannot blast and kill someone for a few Naira. For foreign companies, it isn’t their people.”
He challenged journalists to visit sites and measure the distances. “Our blasting areas are over three or four kilometres from communities. No explosion will reach those places.”
On the environment, he notes that Nextstone Works uses dust suppressants and plans to convert to greener energy sources like solar or natural gas. “We are climate-conscious because this country is ours. If I destroy it, my son or grandson will suffer.”
Given the sensitivity of explosives, the MD described a security framework. “Before you procure even a kilogram of explosives, you need licenses from the Ministry of Mines, the Anti-Bomb Squad, and the Explosive Ordnance Department of the Nigerian Police. Storage is in a highly secured bunker called a magazine.”
He praised the Nigerian Police, DSS, Civil Defence, and Ministry of Solid Minerals. “They witness every kilogram used, and anything left over is taken back. Even though the stress of these controls sometimes delays our activities, we appreciate them for keeping the country safe.”
Advice for upcoming quarries
For local entrepreneurs, Tafida’s advice was simple: Resilience. “Nothing is easy, especially manufacturing. We have no home but Nigeria. Every stone you crush is a contribution to national development. You might not make an immediate profit, but persevere. Your country will be greater for it.”
He concluded by saying,“For decades, which foreign company built a refinery here? None. They would rather take our crude abroad, refine it, and sell it back to us. We export our crude and import inflation; we export our jobs and import poverty.
“The government must support local industry—not with speeches, but with financing, policy, and protection. If locals do not invest in their own country, no foreigner will do it for us.”