NNEWI, Nigeria – Chief Executive Officer of Cutix Plc, Ijeoma Odunoye, has raised fresh concerns over the challenges confronting Nigerian manufacturers, particularly in the cable industry. In a recent interview, Odunoye painted a grim picture of the business environment, citing surging interest rates, scarcity of foreign exchange, insecurity, poor infrastructure, and the unchecked importation of substandard goods as key threats to local firms’ survival.
Odunoye said Nigerian manufacturers are struggling to stay afloat due to interest rates that now range from 33% to 37%, describing the cost of borrowing as unbearable. “It’s not palatable for businesses out there,” she said. She added that the forex crisis has also compounded the woes of manufacturers who import raw materials, noting the Central Bank of Nigeria’s inability to provide adequate foreign exchange.
“Sometimes, you wonder why Bureau de Change operators have access to forex while businesses that employ people and pay taxes struggle,” she queried.
Odunoye also expressed deep frustration over the continued presence of fake and substandard products in the market, which she described as a national safety hazard. She warned that if electricity supply ever becomes stable in Nigeria, the poor quality of many of the imported electrical products would likely lead to fatal accidents, including fires.
She lamented the lack of regulatory enforcement, urging government agencies to step up efforts in removing dangerous products from circulation. “Some people buy these products unknowingly, and lives are at risk,” she warned.
Despite the challenges, Odunoye highlighted how Cutix Plc continues to maintain quality and uphold standards, even at the cost of higher prices. “People will say Cutix is expensive, but they also say if you don’t want to spend on repairs or maintenance, use Cutix,” she said.
The Cutix boss further warned that unless government policies start to favour local manufacturers, many of them will be pushed out of business due to rising costs and the public’s preference for cheaper foreign alternatives. She added that the situation threatens not only economic growth but also public safety and national security.
According to her, local businesses also face the twin burdens of insecurity and poor infrastructure. She pointed out that the sit-at-home orders and attacks in the South-East region have reduced their operating days to four per week. Even within those days, she said, the company contends with risks of violence and delays due to bad roads. “A trip from Anambra to Enugu, which should take two hours, now takes five hours,” she said.
Speaking on her recent recognition as “Most Successful Female Entrepreneur/Excellent Performer as a Female Chief Executive” by the Nigerian Association of Small and Medium Enterprises, Odunoye attributed the honour to the efforts of the board, staff, and loyal shareholders. She said Cutix now has about 300 permanent staff and 100 interns or casual workers across its head office in Nnewi and branches in Abuja, Lagos, Uyo, Port Harcourt, and Abia State.
She explained that what sets Cutix apart is its commitment to staff welfare, consistent dividend payouts, and quality assurance. “We pay dividends consistently, do bonus issues every three years, and offer solid insurance coverage for our employees,” she said. “Some people have stayed with us for 30 years because of these values.”
Looking ahead, Odunoye said the company aims to become one of the top three providers of electrical energy products globally. “It’s possible,” she said, citing their quality products, experienced workforce, and loyal customers.
Advising small and medium-scale manufacturers, Odunoye urged them to focus on quality and industry standards. “Let quality speak for you,” she said, stressing that cutting corners in the name of profit could lead to avoidable tragedies.
She also noted that the volatility of the naira has made business planning difficult, especially for companies engaged in foreign transactions. “You may start a transaction at one exchange rate and finish it at more than double the rate,” she said.
Reacting to recent data showing that private sector activity is growing despite inflation, Odunoye said it reflects the resilience of Nigerian businesses. “We don’t fold up when things get tough; we adjust and survive,” she said. However, she added that while revenues may rise in naira terms, volumes may drop due to weakened consumer purchasing power.
She said the trend may continue depending on whether people can afford essentials, adding that many Nigerians are now forced to prioritise only necessary purchases.
In her final remarks, Odunoye emphasised the long-term cost of compromising on quality, pointing to building collapses as an example of what happens when inferior materials are used. “Quality should be the benchmark across all industries,” she said.
