Hope alive as Ibeto Cement Company takes over NIGERCEM

FELIX UKA writes that with the procure­ment of NIGERCEM by the Ibeto Cement Company, there is the hope that the com­pany, which had laid moribund for years, would be revived.
On Friday, 3rd June, 2016, Ibeto Ce­ment Company, an indigenous cement pro­ducing firm, signed Deed of Understanding (DoU) with Ebonyi State govern­ment and four host com­munities for the purpose of rehabilitating the Nige­ria Cement Company, also known as NIGERCEM, located in Nkalagu, Ebonyi state. The host communi­ties are: Nkalagu, Nkalahia, Umuhiali and Amaezu, which have limestone, the major raw material for ce­ment production, in com­mercial quantities.

The signing of the deed at the Akanu Ibiam Inter­national Centre brought to end the incessant disputes that hampered rehabilita­tion of the firm by the in­vestor, Ibeto Cement Com­pany.
The event also witnessed signing of agreement to withdraw legal matters pending in courts.
The collaborative indus­trial venture between the Ebonyi State government, host communities and Ibe­to Cement Company was witnessed by stakeholders from the industrial sector.
To many observers, it was a genuine move to­wards diversification of the economy of both Ebonyi State and the South East geo-political zone, which had, before the near-demise of the NIGERCEM, sa­voured gross earnings from the company, one of the first generation cement fac­tories in West Africa. The factory had good hospital and schools that served the workers, including the ex­patriates and residents of the adjoining communities.
Unfortunately, the glory of the company which em­ployed about 7,000 Nige­rians was lost to politics of self-interest and ethnicity. The indigenization Decree and the privatization po­lices which were enacted shortly after the Nigerian civil war made the NI­GERCEM property of the Federal Government and East Central State, with the East Central state having a large chunk of the owner­ship.
With the creation of Anambra and Imo states in 1976, NIGERCEM be­longed to the Federal Gov­ernment, Anambra and Imo States. Antagonism over management and con­trol of the fortunes of the firm between former gover­nor of Imo State, Chief Sam Mbakwe and his Anambra State counterpart, Chief Jim Nwobodo, led to distrac­tions and mismanagement of the firm, a development that paved way for the at­tendant troubles.
By 1993, production ca­pacity of the company be­gan to diminish. There were cases where the much that were being produced were supplied to appointees of the two state governments, with some influential politi­cians being distributors.
The creation of Abia and Enugu States which further made the company asset of four states and the FG, worsened the situation, and led to the terminal status of the NIGERCEM.
When Ebonyi was cre­ated, the other states sold off their shares during the Olusegun Obasanjo pri­vatization scheme. Eastern Bulckcem bought the major shares and later transferred its shares to Ibeto Cement firm while Ebonyi State government retained its ten percent shares.
Under the circum­stance, the expectation was that the Ebonyi State gov­ernment would collaborate with the Ibeto Company to revive the company which they hoped to provide jobs for her people. But that was not the case as the gover­nor of the state at the time, Chief Martin Elechi, stood strong against Ibeto gaining entrance into the company.
Fortunately, however, on assumption of office, Gov­ernor David Umahi, began moves to encourage Ibeto to rehabilitate the company.
One-time Ebonyi state chairman of the Nigeria Union of Journalists (NUJ) and an indigene of Nkalagu community, Comrade Godwin Okafor told The AUTHORITY that they were certain that Governor Umahi led administration was going to actualize the rehabilitation of the firm which he said, was a pride of their community and source of livelihood for a good number of his people.
In his brief speech at the deed signing ceremony at Akanu Ibiam Interna­tional Conference Centre, Abakaliki, Dr. Cletus Ibeto, the Chief Executive Officer (CEO) of the Ibeto Com­pany, thanked Governor David Umahi for his efforts to resolve the issues which he noted, led to the process of commencement of the rehabilitation of the firm. He assured that, with the settlement of the misun­derstanding, the company would soon be brought back to its days of glory.
Ibeto said that the firm would not only serve the in­terest of the state but would also benefit the Nigerian nation when it is back on stream.
Governor Umahi, while assuring the Ibeto firm of conducive environment for its operations, told Ebonyi people that the ten percent equity owned by the State in the company is intact and that the state’s Head of Service, Mr. Chamberlin Nwaele, is a representative of the state in the board of the company.
Indeed, the prayer of the Ebonyi and the South East­erners is that nothing again comes against the revival of the NIGERCEM. The bur­den is now on Ibeto to jus­tify the confidence reposed in him and his firm.