The quickest way to fix the economy is controlling the price of diesel. It is as simple as that. If the price of diesel is subsidized today everything will be fixed automatically.

Let me give you some example.

Golden penny factory is in Lagos. They will need maize to produce semovita. But the bulk of this comes from the north. Due to the bulkiness and quantity needed by the factory, Diesel powered trucks are used to transport the raw materials from the north to Lagos. Each of this trip costs gonden penny close to 2 million naira to convey the raw maize to Lagos when calculated based on current price. Mind you the price of the maize has not been factored in which is also relatively high because of high cost of production resulting from high cost of fertilizers and chemicals which also has high production cost. Everything is relative.

The raw maize is now processed by golden penny factory using equipments that runs on Diesel powered generators. This is another reason why pure water seem to be beyond the reach of people on the streets as cost of production is high owing to equipment that runs on Diesel, and cost of production of packaging nylons of which the equipments runs on Diesel.

The processed product is ready for distribution. Now it has to be transported again back to places they are needed using the same Diesel powered vehicles.

The price of this product is set while factoring in the cost of production, transportation and storage of the products.

This is the reason things are on a constant rise and as long as the price of diesel has not been rectified, every thing will continue in this upward trend.

Dangote is going to control the economy of this country when his Diesel is ready. But if the government is having any will to handle the economy and make it follow the directions it dictate, the federal government needs to start Diesel production in every working refinery and push it to the market at a very subsidized amount. This is not to discourage Dangote but to let him know that the economy is the responsibility of the government.

While dollar is dictating the price of diesel imported, it is not dollar that is pushing our local foods up. It is diesel.

Nigerians will begin to smuggle this too out of the country but if governor is proactive, it can see the thought of those having that mindset before they actually commit the crime and find ways to control it.

Diesel has not been subsidised about 4 years.

We can't go back to subsidising it.

Nigerians just don't understand the scale of the problems facing the country.

Nigeria is broke. I repeat, this country is super broke.

Mr Buhari's government was borrowing to subsidise petrol. Should we borrow more and more to add diesel subsidy?

Which generations will pay back all these debts?

G

DeLaRue:
Diesel has not been subsidised about 4 years.

We can't go back to subsidising it.

Nigerians just don't understand the scale of the problems facing the country.

Nigeria is broke. I repeat, this country is super broke.

Mr Buhari's government was borrowing to subsidise petrol. Should we borrow more and more to add diesel subsidy?

Which generations will pay back all these debts?

Everybody is now an economist

DeLaRue:
Diesel has not been subsidised about 4 years.

We can't go back to subsidising it.

Nigerians just don't understand the scale of the problems facing the country.

Nigeria is broke. I repeat, this country is super broke.

Mr Buhari's government was borrowing to subsidise petrol. Should we borrow more and more to add diesel subsidy?

Which generations will pay back all these debts?

Broke?
Maybe according to the 'official' stats doctored by the rogues in government.
This country is super rich.
We are just being ruled by greedy black idiots who don't understand how to really make money and build lasting wealth.

DeLaRue:
Diesel has not been subsidised about 4 years.

We can't go back to subsidising it.

Nigerians just don't understand the scale of the problems facing the country.

Nigeria is broke. I repeat, this country is super broke.

Mr Buhari's government was borrowing to subsidise petrol. Should we borrow more and more to add diesel subsidy?

Which generations will pay back all these debts?

Are you there accounting officer broke keeh continue to dey deceive yourself

thesolutions:
The quickest way to fix the economy is controlling the price of diesel. It is as simple as that. If the price of diesel is subsidized today everything will be fixed automatically.

Let me give you some example.

Golden penny factory is in Lagos. They will need maize to produce semovita. But the bulk of this comes from the north. Due to the bulkiness and quantity needed by the factory, Diesel powered trucks are used to transport the raw materials from the north to Lagos. Each of this trip costs gonden penny close to 2 million naira to convey the raw maize to Lagos when calculated based on current price. Mind you the price of the maize has not been factored in which is also relatively high because of high cost of production resulting from high cost of fertilizers and chemicals which also has high production cost. Everything is relative.

The raw maize is now processed by golden penny factory using equipments that runs on Diesel powered generators. This is another reason why pure water seem to be beyond the reach of people on the streets as cost of production is high owing to equipment that runs on Diesel, and cost of production of packaging nylons of which the equipments runs on Diesel.

The processed product is ready for distribution. Now it has to be transported again back to places they are needed using the same Diesel powered vehicles.

The price of this product is set while factoring in the cost of production, transportation and storage of the products.

This is the reason things are on a constant rise and as long as the price of diesel has not been rectified, every thing will continue in this upward trend.

Dangote is going to control the economy of this country when his Diesel is ready. But if the government is having any will to handle the economy and make it follow the directions it dictate, the federal government needs to start Diesel production in every working refinery and push it to the market at a very subsidized amount. This is not to discourage Dangote but to let him know that the economy is the responsibility of the government.

While dollar is dictating the price of diesel imported, it is not dollar that is pushing our local foods up. It is diesel.

To cut down on diesel costs for transportation of maize from the north to the Lagos factory and transportation of finished goods back to the northern markets, I am of the view that if golden penny's factory was closer to the source of raw materials, the diesel costs would be halved and only cost of actual production materials will matter.
Most food companies have their logistics wrong, Abuja looks more like a convenient solution for proximity to markets and raw materials for food processing companies

kettykin:


To cut down on diesel costs for transportation of maize from the north to the Lagos factory and transportation of finished goods back to the northern markets, I am of the view that if golden penny's factory was closer to the source of raw materials, the diesel costs would be halved and only cost of actual production materials will matter.
Most food companies have their logistics wrong, Abuja looks more like a convenient solution for proximity to markets and raw materials for food processing companies

This is part and most important of the solutions to our economic woes. Localization of industries is key to food security and economic recovery. But this is going to be too much capital intensive and requires much time to achieve this. Again, security challenges needs to be addressed.
The industries already in the north like NASCO for instance has not been innovative in creating quality that will make demand for products from factories located in Lagos to have less demands.
No breweries in the north because of religious oppositions. So some of these things needs to be addressed.

But for a quick fix, for visible results, diesel has to be addressed.

DeLaRue:
Diesel has not been subsidised about 4 years.

We can't go back to subsidising it.

Nigerians just don't understand the scale of the problems facing the country.

Nigeria is broke. I repeat, this country is super broke.

Mr Buhari's government was borrowing to subsidise petrol. Should we borrow more and more to add diesel subsidy?

Which generations will pay back all these debts?

The subsidy on Diesel should not be about importation of diesel but making our local refineries to focus more on Diesel. The government keep looking for foreign currency to import what we can produce in the country and then subsidize it while incurring deficit in forex. This is cluelessness. If we are producing Diesel from our refinery, no one will notice that the product is subsidized because the subsidy will be in payment of workers from government coffers which is in naira. The only time people will understand that the product is subsidized is when the price is compared with it prices in other countries.

Diesel is 1,650 here. Irregular prices continues.