Problems with Garden City Building Material Market, Port Harcourt
The Garden City Building Material Market (GCBMM) in Port Harcourt is troubled with high cost of shop rent, dwindling rate of nation’s currency, the Naira to foreign currency; low turn out of customers’ patronage, non-compliance by some of the traders who are not members of the association and above all, lack of space to accommodate the apprentices that graduate yearly from their masters and some traders who relocated from the insurgence prone states in Nigeria to the city of Port Harcourt to join the building materials trade.
The Garden City Building Materials Market is a unified building market in the city of Port Harcourt that annexed all kinds of building materials. It is located along the Abuja bye pass, the Rivers University of Science Technology junction--Ikwerre Road and Ada George Road, all at Mile 3 vicinity in Diobu area of Port Harcourt City Local Government Area.
The Chairman of the Garden City Building Material Dealers Association, Mr.Calistus Nnadika told The AUTHORITY that most of the problems the union is encountering is as result of the market which is not in the government allocated and gazetted area.
He said some individual land Lords in the market indiscriminately increase their rents in a shop of 20 by 23 meters to the tune of N1,500, 000.00 per annum. And because the number of traders who are in search of shops are very many. The scarcity of shops in the market has resulted for the rush to any available shop, which economics reasoning will raise the prices of the rent of the shops
“One of the major challenges the union is having is none availability of shops in the market which has resulted to the astronomical increase of rent by the individual land Lords who see it as gold mine. They persistently increase the rent of the their shops because there are already traders who want to take over the shops if the present occupant is not ready pay. In fact a shop of about 20 by 25 meters shop cost not less than N1.5 million per annum.
“And it affects the cost of the goods we are selling in this market, because the number of shops are very limited compared to the numerous number of the influx of people from the North that wants to join the trade, and the number of apprentices that are graduating from their masters on yearly basis. It make the shops in the market to be a hot cake. Traders scramble for any available shop” the Chairman stressed.
The immediate past Chairman of the association, Comrade Emeka Onyekwum, in an interview with The AUTHORITY observed that most of the goods sold in the market were all imported either from China or Europe. He said that the dwindling value of the Naira has contributed to the instability of prices of the goods in the market. Most of the importers in this market has suspended importation till further notice because of the fluctuation of the exchange rate of the Naira with other foreign currencies.
Comrade Emeka Onyekwum said that the cost of goods in the market to a large extent reflects the current value of Naira to other international currencies, adding that most of the traders who import from China and Europe have suspended importation.
“The traders here that imports directly from China and Europe have suspended importation till further notice. If not that some Ceramics industries in this country are functioning, there would have been scarcity of Ceramics products which is the major item sold in this market”, he said.
The trunk “A” road of Ikwerre and Ada-Gorge roads are part of the market that are sometimes blocked by traffic as a result of the activities in the market. This occurs when heavy truck vehicles are either off loading goods from containers or are loading goods bought from the market by their customers.
However, the immediate past Chairman of the Garden City Building Material Market, explained that their activities does not course traffic hold-up. According to him the association is in collaboration with the Divisional Police Station in the area and the union has taskforce that controls the traffic hold-up along the roads to ease traffic congestion in and around the market.
In a chat with The AUTHORITY, one of the traders in the market, Mr Christian Amanze, said that there is no cash in the nation’s economy and this has affected the purchasing and selling of goods in the market. He also lamented over the high cost of renting a shop of two rooms at the cost of N700, 000.00 per annum.
What he described as “bad market” in their market parlance was as result of government policies and multi-national companies which are no longer awarded building contracts and construction works. According to him the Traders depend on the few individuals that are building their personal houses, which he said does not span to make bulk purchase of their goods. He said it is when government or multi national companies award contracts that the Traders will make quantum sales.
“There is hardship now, and the cost of rent here is very high. Government and big companies does not award contracts again, there is no cash in the system, and it is only when government awards contract that we can sale large quantity of goods”
“Because we have individuals as our land lords, a shop of two rooms costs as much as N700,000 per annum. At the end of the year, all what we struggle for will all go for shop rent, it is really sad” Mr. Christian stated.
Also, one of the customers in the market, Engr. Samuel Ibe, a building contractor said that it is not just the high cost of the building materials. but instabilities and inconsistencies in the prices. This, according to him, has created big problem in their profession citing that before the approval of the quotations they gave to their clients while applying for a job, the prices of the materials would have changed to higher prices.This, according to him , has wildly affected their job.
“You come to this market to get prices to bid for a job but in less than one month, the price will increase. As a contractor you will find yourself at a cross road. You again apply for variations. Most times our clients see us being dubious minded, but its not so.
“Please, my brother help us to inform the government to urgently do something about this situation before we are sidelined out of business, because the impact is already being felt on us” , Engr. Ibe lamented.
Investigations by The AUTHORITY revealed that despite the high cost of rent in the market, there are no deliberate efforts to built public conveniences by the land Lords. Their Tenants and their customers are on their own when called by nature.z
The association has no intra union problems, but is faced with lack of membership by some traders who maintained that they will not associate themselves with the union. They have shown high level of nonchallant attitude and none compliance with the standing orders of the association. This, the Chairman attributed to the freedom of association as enshrined in the Nigerian constitution.
He said that if the government will live up to its promises by allocating some plots of land to their association it will solve most of these problems, and they will relocate to a permanent place. He said with this, the city will be decongested and more shops will be built at a cheaper rate, more traders will be attracted and accommodated in the market and it will create more jobs to the people and more Internally Generated Revenue to the government of the state.
“ By the grace of God, the union has no intra association problems, the problem we have is non-members of the association in our midst. There is freedom of association as enshrined in Nigerian constitution, nobody can be forced to be member of association. The few problems we have is from none members.
“We are expressly keying into Governor Nyesom Wike’s plans to decongest the Port Harcourt City. We were with the commissioner for Urban development and physical planning Hon. Chinyere Igwe. He promised that something will be done in that direction
“If the government allocates a permanent site for us, its going to solve a lot of problems within and outside the market. The site will be exclusively for members of the association to checkmate and monitor the activities of the traders and non-members of the association . There will be more number of shops to accommodate more traders.
“The shops’ rent will be drastically reduced. It will even go along way to reduce the high cost of goods we are selling in this market, because we add the high cost of the shops’ rent to the prices of the goods we sale in this market. There will be more jobs for the people. And above all, the Internally Generated Revenue (IGR) of the state will be enhanced” the Chairman further Stressed.
On the security situation in the market, Mr. Nnadika said that the association has taskforce on ground to control any act of violence amongst the members, adding that the association is working in conjunction with the Divisional Police Station at Nkpuolu to tackle any hoodlums that may create acts capable of causing public disorder.
“We have strong Taskforce with uniform and identity cards to enforce internal sanity in this market that operates in conjunction with the Nkpolu Divisional Police Station to tackle any external force that miay arise. Though, we have not experienced anything like that, God has been in charge of our security situation in this market”, he said.
The market according to the Mr. Nnadika has not experienced any fire outbreak because of the measures the association introduced. According to him, “The Union introduced a self help measure to checkmate fire outbreak within the market.” He said the association made it mandatory for every member to install fire extinguisher in his or her shop, adding that so far, this has been working for the traders.
The Garden City Building Materials Market is a unified building market in the city of Port Harcourt that annexed all kinds of building materials. It is located along the Abuja bye pass, the Rivers University of Science Technology junction--Ikwerre Road and Ada George Road, all at Mile 3 vicinity in Diobu area of Port Harcourt City Local Government Area.
The Chairman of the Garden City Building Material Dealers Association, Mr.Calistus Nnadika told The AUTHORITY that most of the problems the union is encountering is as result of the market which is not in the government allocated and gazetted area.
He said some individual land Lords in the market indiscriminately increase their rents in a shop of 20 by 23 meters to the tune of N1,500, 000.00 per annum. And because the number of traders who are in search of shops are very many. The scarcity of shops in the market has resulted for the rush to any available shop, which economics reasoning will raise the prices of the rent of the shops
“One of the major challenges the union is having is none availability of shops in the market which has resulted to the astronomical increase of rent by the individual land Lords who see it as gold mine. They persistently increase the rent of the their shops because there are already traders who want to take over the shops if the present occupant is not ready pay. In fact a shop of about 20 by 25 meters shop cost not less than N1.5 million per annum.
“And it affects the cost of the goods we are selling in this market, because the number of shops are very limited compared to the numerous number of the influx of people from the North that wants to join the trade, and the number of apprentices that are graduating from their masters on yearly basis. It make the shops in the market to be a hot cake. Traders scramble for any available shop” the Chairman stressed.
The immediate past Chairman of the association, Comrade Emeka Onyekwum, in an interview with The AUTHORITY observed that most of the goods sold in the market were all imported either from China or Europe. He said that the dwindling value of the Naira has contributed to the instability of prices of the goods in the market. Most of the importers in this market has suspended importation till further notice because of the fluctuation of the exchange rate of the Naira with other foreign currencies.
Comrade Emeka Onyekwum said that the cost of goods in the market to a large extent reflects the current value of Naira to other international currencies, adding that most of the traders who import from China and Europe have suspended importation.
“The traders here that imports directly from China and Europe have suspended importation till further notice. If not that some Ceramics industries in this country are functioning, there would have been scarcity of Ceramics products which is the major item sold in this market”, he said.
The trunk “A” road of Ikwerre and Ada-Gorge roads are part of the market that are sometimes blocked by traffic as a result of the activities in the market. This occurs when heavy truck vehicles are either off loading goods from containers or are loading goods bought from the market by their customers.
However, the immediate past Chairman of the Garden City Building Material Market, explained that their activities does not course traffic hold-up. According to him the association is in collaboration with the Divisional Police Station in the area and the union has taskforce that controls the traffic hold-up along the roads to ease traffic congestion in and around the market.
In a chat with The AUTHORITY, one of the traders in the market, Mr Christian Amanze, said that there is no cash in the nation’s economy and this has affected the purchasing and selling of goods in the market. He also lamented over the high cost of renting a shop of two rooms at the cost of N700, 000.00 per annum.
What he described as “bad market” in their market parlance was as result of government policies and multi-national companies which are no longer awarded building contracts and construction works. According to him the Traders depend on the few individuals that are building their personal houses, which he said does not span to make bulk purchase of their goods. He said it is when government or multi national companies award contracts that the Traders will make quantum sales.
“There is hardship now, and the cost of rent here is very high. Government and big companies does not award contracts again, there is no cash in the system, and it is only when government awards contract that we can sale large quantity of goods”
“Because we have individuals as our land lords, a shop of two rooms costs as much as N700,000 per annum. At the end of the year, all what we struggle for will all go for shop rent, it is really sad” Mr. Christian stated.
Also, one of the customers in the market, Engr. Samuel Ibe, a building contractor said that it is not just the high cost of the building materials. but instabilities and inconsistencies in the prices. This, according to him, has created big problem in their profession citing that before the approval of the quotations they gave to their clients while applying for a job, the prices of the materials would have changed to higher prices.This, according to him , has wildly affected their job.
“You come to this market to get prices to bid for a job but in less than one month, the price will increase. As a contractor you will find yourself at a cross road. You again apply for variations. Most times our clients see us being dubious minded, but its not so.
“Please, my brother help us to inform the government to urgently do something about this situation before we are sidelined out of business, because the impact is already being felt on us” , Engr. Ibe lamented.
Investigations by The AUTHORITY revealed that despite the high cost of rent in the market, there are no deliberate efforts to built public conveniences by the land Lords. Their Tenants and their customers are on their own when called by nature.z
The association has no intra union problems, but is faced with lack of membership by some traders who maintained that they will not associate themselves with the union. They have shown high level of nonchallant attitude and none compliance with the standing orders of the association. This, the Chairman attributed to the freedom of association as enshrined in the Nigerian constitution.
He said that if the government will live up to its promises by allocating some plots of land to their association it will solve most of these problems, and they will relocate to a permanent place. He said with this, the city will be decongested and more shops will be built at a cheaper rate, more traders will be attracted and accommodated in the market and it will create more jobs to the people and more Internally Generated Revenue to the government of the state.
“ By the grace of God, the union has no intra association problems, the problem we have is non-members of the association in our midst. There is freedom of association as enshrined in Nigerian constitution, nobody can be forced to be member of association. The few problems we have is from none members.
“We are expressly keying into Governor Nyesom Wike’s plans to decongest the Port Harcourt City. We were with the commissioner for Urban development and physical planning Hon. Chinyere Igwe. He promised that something will be done in that direction
“If the government allocates a permanent site for us, its going to solve a lot of problems within and outside the market. The site will be exclusively for members of the association to checkmate and monitor the activities of the traders and non-members of the association . There will be more number of shops to accommodate more traders.
“The shops’ rent will be drastically reduced. It will even go along way to reduce the high cost of goods we are selling in this market, because we add the high cost of the shops’ rent to the prices of the goods we sale in this market. There will be more jobs for the people. And above all, the Internally Generated Revenue (IGR) of the state will be enhanced” the Chairman further Stressed.
On the security situation in the market, Mr. Nnadika said that the association has taskforce on ground to control any act of violence amongst the members, adding that the association is working in conjunction with the Divisional Police Station at Nkpuolu to tackle any hoodlums that may create acts capable of causing public disorder.
“We have strong Taskforce with uniform and identity cards to enforce internal sanity in this market that operates in conjunction with the Nkpolu Divisional Police Station to tackle any external force that miay arise. Though, we have not experienced anything like that, God has been in charge of our security situation in this market”, he said.
The market according to the Mr. Nnadika has not experienced any fire outbreak because of the measures the association introduced. According to him, “The Union introduced a self help measure to checkmate fire outbreak within the market.” He said the association made it mandatory for every member to install fire extinguisher in his or her shop, adding that so far, this has been working for the traders.
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