AMMASCO oil is now global – Mustapha

Al­haji Mustapha Ado Muham­mad is the Chair­man/C.E.O of AMMASCO In­ter­na­tional Limited, a Kano-based com­pany that spe­cialises in lu­bri­cants pro­duc­tion. In this in­ter­view, he re­veals some of the se­crets be­hind the suc­cess of his busi­ness, among oth­ers. Ex­cerp

Daily Trust - - BUSINESS - From Ab­dulka­dir Bad­sha Mukhtar, Kano Muham­mad

How do you find yourself into this busi­ness?

I just have in­ter­est in the busi­ness. This is the type of busi­ness that we see Western na­tions and in Nigeria, you see it in the South-east and mostly they are big ma­jor com­pa­nies owned by multi-mil­lion­aires. I de­vel­oped an in­ter­est in it and wanted to put some­thing on the ground that will eco­nom­i­cally ben­e­fit our people in the North and Nigeria in gen­eral - in terms of giv­ing qual­i­ta­tive lu­bri­cants to our mo­torists. In the past, you will see smoke pol­lut­ing the en­vi­ron­ment be­cause of bad lu­bri­cants in our cars, par­tic­u­larly in the north­ern part of the coun­try. Be­cause of this, I said let me come up with a brand new en­gine oil as many people are suf­fer­ing from bad en­gine oil in their ve­hi­cles. In terms of em­ploy­ment, I saw a lot of youths on the streets do­ing noth­ing - be­fore we have more than 20,000 com­pa­nies but to­day only 1% of these com­pa­nies are op­er­at­ing. Be­cause of this prob­lem, you will see many youths play­ing foot­ball day and night, and they find them­selves with bad friends. With this work, we op­er­ate 24 hours and we give em­ploy­ment to 800 people. At the mo­ment, we are ISO cer­ti­fied. Our qual­ity stan­dard is equiv­a­lent to any qual­ity stan­dard any­where in the world. It means that AMMASCO can take its prod­ucts to any­where - Europe, Amer­ica and Asia. This shows that our qual­ity has met the in­ter­na­tional stan­dards and needs. Be­cause what­ever prod­ucts you are mak­ing, it must meet the stan­dard of ISO that does not com­pro­mise its stan­dards.

What chal­lenges are you fac­ing in this busi­ness?

There are many chal­lenges. The main one you know it yourself, that is elec­tric­ity. You can­not get con­stant power sup­ply for two hours with­out any in­ter­rup­tion, even if you get it you will see that it is low volt­age, which can­not run your ma­chines. That is num­ber one, so we need con­stant elec­tric­ity sup­ply. We need wa­ter also and thank God we are hav­ing it now in Kano. If this can be sus­tained, things will im­prove.

How long have you been in this busi­ness?

Well, I am a busi­ness­man for over 30 years. I started op­er­at­ing a com­pany for nearly 8 years now but AMMASCO is six years old. We have ap­plied for MANCAP six years ago be­cause you can­not get NIS ISO at once with­out get­ting MANCAP.

What role do you think man­u­fac­tur­ers can play in ad­dress­ing the un­em­ploy­ment is­sue in Nigeria?

Look! If we can get com­pa­nies like ours to give em­ploy­ment to 200 people each, I think the un­em­ploy­ment rate will be re­duced, all these kind of crime will be re­duced and also it will help to boost the econ­omy. It will move the econ­omy from be­ing a con­sumer econ­omy to a pro­ducer econ­omy. Govern­ment, on its part, must sup­port man­u­fac­tur­ers by giv­ing them in­cen­tives. And if the govern­ment can come up with plans like that of In­done­sia and some coun­tries, I am sure more com­pa­nies will spring up. Tax hol­i­day is good also for com­pa­nies be­cause the money that you will use to pay tax you will make use of it to buy and ser­vice your ma­chines and equip­ment and em­ploy more people and that will re­duce the un­em­ploy­ment rate. If the govern­ment can help the in­dus­tri­al­ists to set up more and pro­vide more em­ploy­ment that will be good. And a lot of com­pa­nies will come back to busi­ness and, at the end more than 1 mil­lion youths would be em­ployed in Nigeria.

Sup­pos­ing you now get sup­port, how many jobs would you pro­vide?

Well, this is just the be­gin­ning. We have people work­ing in our car­ton depart­ment. We have in this place a depart­ment we call pack­ag­ing and pro­duc­tion that also works 24hours. We now set up a re­cy­cling depart­ment, this can also em­ploy an­other 150 people and we will soon em­ploy them. If we can get sup­port, we can help Nigeria in terms of pro­vid­ing jobs to the youths.

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