Lagos traders protest Chinese merchants’ entry into retail business - Punch Newspapers

Some traders at the Lagos International Trade Fair Complex along the Lagos-Badagry Expressway protested on Monday against the alleged expansion of Chinese merchants into retail trading in the market. The traders expressed concern that the growing involvement of Chinese merchants in retail business could threaten the survival of local businesses and displace Nigerian traders from the market. However, the protest was later suspended following interventions by the leadership of the Traders Association, local government officials and the police. Speaking with our correspondent on Tuesday, the Secretary of the Traders Association in the complex, Juventus Okpala-Okaka, said the protesters acted despite steps already taken by the market leadership to address their concerns. Okpala-Okaka said the association had received complaints from youths in the market over the activities of Chinese merchants and subsequently set up a committee to investigate the matter. “We heard their complaint and decided to set up a committee that would look into it,” he said. According to him, the youths nevertheless commenced the protest on Monday, prompting the association to invite their representatives to a meeting with its president, who appealed to them to suspend the action while the committee addressed their grievances. He said the protesters were subsequently asked to nominate between 30 and 50 representatives to work with the committee and the association’s executives. Okpala-Okaka said a meeting was held on Tuesday involving the committee, the protesters’ representatives and the association’s executives, adding that significant progress was made towards resolving the dispute. “Everything was gradually resolved,” he said. He added that the local government chairman and the police area commander later visited the complex to assess the situation. According to him, the officials were briefed on the steps already taken by the market leadership before addressing the traders, including Chinese representatives operating in the complex. He said the intervention further helped to resolve the matter, adding that “things have been resolved.” Videos circulating on social media on Tuesday showed some traders carrying placards with inscriptions including, “Chinese must go,” “They should go far from our market environment and not be taking our customers,” and “This is a peaceful protest.” Providing context to the development in a Facebook post, Martin Nworah said local traders and distributors were concerned that Chinese manufacturers and wholesalers were bypassing traditional supply chains by opening direct retail outlets within local markets. Nworah said the protesters believed Chinese merchants were cutting out local middlemen by selling directly to consumers at wholesale prices and undercutting Nigerian traders. “The entire trading model is based on the middleman, and once the wholesaler becomes the middleman, the retailer is edged out. “It is not yet too late for business leaders and the government to discuss a strategy to encourage collaboration and protect all relevant interests. “Left on their own, I do not see these local traders surviving because the Chinese wholesalers have direct access to low-interest credit from home and can afford to import more, sell for less and capture the market easily,” he said. Nworah, however, advised local traders to explore partnerships and move into manufacturing rather than rely solely on protests. 600 supporters march for Tinubu in Lagos Lagos parking defaulters owe N500m – LASPA NIM seeks stronger institutions for economic devt “While waiting for proper government-backed guidance, wealthy traders who can afford to go into manufacturing should do so now. If you cannot do it alone, team up with your social clubs and do something. “If you cannot produce the finished product here in Nigeria, find an aspect of the value chain you can support and own right here at home. “Protests will not solve economic problems because buyers will always seek out the best prices they can get. Collaboration will work best because these traders get most of their goods from China. Stakeholders need to discuss and map out a solution as soon as possible,” he added. In a video shared by social media activist Martins Otse, popularly known as VeryDarkMan, one of the protesters, speaking in Igbo, warned that the continued expansion of Chinese merchants into retail trading could drive local traders out of business. “If this continues, I am telling you, five to six years from now, your shops will be taken away from you,” the trader said. Explaining the traders’ grievances, he acknowledged the importance of their relationship with Chinese merchants but argued that the foreigners should not take over businesses traditionally operated by Nigerians. “What we are saying is that the personal relationship between us and the Chinese is important to us, but they should not do our business. “They came and built warehouses, rented shops and are now selling as we do as retailers. If we send a waybill, they copy the customer’s number. We no longer make sales. “If you import goods, they slash their prices lower than ours and sell to our customers. Is this how we would continue? Our forefathers, who did this business before us, was this how they did it? If this continues, five years from now, your shop will be taken away from you,” he said. In another short clip, the trader alleged that the development could reduce local traders to dependence, saying, “They want to turn us into slaves,” while others in the crowd chorused, “Say no to China.” Meanwhile, in another video shared by the Senior Special Assistant to Governor Babajide Sanwo-Olu on New Media, Jubril Gawat, a senior police officer, whose identity was not disclosed, described the protesters as “disgruntled fellows” and said arrests would be made. “This is just the handiwork of a few disgruntled fellows in the market. They have been cautioned, and arrests will be made as soon as possible,” he said. The statement could not be independently verified as of the time of filing this report. Reactions on social media were divided, with some Nigerians warning against allowing any group to monopolise the market, while others urged the traders to pursue dialogue and lawful means of addressing their grievances. A Facebook user, Longwul Damulak, said foreign nationals should be allowed to conduct business in Nigeria provided they complied with the country’s laws and regulations. “There should be no monopoly of the market. If Nigerians can go to other people’s lands and be allowed to trade, why then should we not allow others to come and do business in our country, as long as they observe and respect all the rules and regulations guiding the business environment,” Damulak wrote. Another user, Chisom Ogochukwu, expressed concern over the growing presence of Chinese-owned companies and warehouses in Nigeria. “It’s already late because the multiple companies and warehouses they have in Nigeria now, especially Ogun State, is something else. They have conquered the market already and many are still trooping in daily,” Ogochukwu wrote. Other social media users criticised the protest and urged the market authorities to address the traders’ grievances without allowing the dispute to degenerate into hostility towards Chinese nationals. They also warned against actions that could negatively portray Nigerians amid concerns over attacks on foreign nationals and their businesses in some African countries, particularly South Africa. Uthman Salami Uthman, a Mass Communication graduate from Ahmadu Bello University, Zaria, has over six years experience in journalism. He reports crime to community-related news for Metro, business with a focus on the capital market and the oil and gas.

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