Nigeria’s unreliable electricity supply prompted Dunlop Nigeria to set up the means to operate using natural gas power several years ago. However, Lawuyi reported that this alternate source of power has proven to be no more reliable. “The supply of electricity has remained epileptic while that of gas has deteriorated significantly that together has led to a 20% loss in the volume of production and sales of tyres in the first half of the year,” Lawuyi said.
Lawuyi also used the AGM as a platform to hit out at tyre importers, whom he accused of manipulating import tariffs in order to flood the local market with “substandard and under-priced tyres,” a practice he believes contributed to the closure of Michelin’s Nigerian operations in January. It was also his duty to inform shareholders than the company has achieved an annual turnover of N5 billion (£20 million) and a pre-tax loss of N370 million (£1.5 million).