Nigeria’s business challenge, infrastructural decay – Paul Kalu

Posted by admin | 9 years ago | 4,282 times



It was the most delightful moment for PIK Natural Spring, as they celebrated the one year anniversary of their prime product, PIK Table Water recently. In this interview with Blessing Gabriel, Chief Executive Officer (CEO) of the company, Paul Kalu, he explained the challenges that have confronted the company this past one year, and the successes.

 

What inspired you into plunging into table-water production?

God gave me the vision. He dropped it into my heart and I caught it and he encouraged me to bring it into fruition. We started this vision in the year 2011 and I want to put on record that this vision came to me as a result of the work of President Goodluck Jonathan’s government, and that of Ngozi Okonjo-Iweala, Minister of Finance and Coordinator of the Economy.

Somebody might be asking why am talking of these two individuals. I had the vision of bringing potable water to rural communities after I visited my village on a festive period and found it difficult to get potable water. So, I caught the vision to provide portable water that is affordable to the populace. To bring that vision to fruition, the finance was a challenge. Then, in the year 2010, the government of President Goodluck Jonathan introduced the YouWin program and I was one of the applicants and through that transformational initiative of our transformational President, a Grant was given me to bring the dream to reality.

We were charged to create jobs through our individual visions and business ideas. That is what I have done, and that is how the company came to be.

 

Were there challenges and discouragements when you started this business?

The first discouraging moment we had was in getting location. You cannot start up a business in the air. We had in mind to site this business at Abiriba. But we saw the challenges and changed our plan to siting it at Owerri. These were the first discouraging moments.

From Owerri, the challenges became much more daunting and we came to Aba and then modeled the business to suit Aba. God used men like Mr. John Okiyi Kalu to see us through that challenge. He was always there encouraging, giving all sought of assistance. When you need him physically, he will abandon everything he is doing to make sure we get to where we are now. We've also had challenges during procurement, we had challenges with contractors breaching our contracts and delaying the vision.

Another great challenge we had was with NAFDAC. You know, for you to get potable water into the market, it has to be certified by NAFDAC and I want to state that this water is certified by NAFDAC. Getting the certification was a challenge because we needed to meet the standard and they came a lot of time for inspection, guiding us on what to do. So, it was a very big challenge. After they had approved our water, getting the certificate was something else. Due to bureaucratic processes in NAFDAC, it took us months before we could get the document. During recruitment; for you to actualize your dream, you must have a team that I call vision bearers. Anyone who is not working with your dream will pull your dream down. Currently, we have 15 staff and out of that, many who started with us are no more with us. But presently, we have 15 staff. So we've had it up and down.

 

At the moment, how is PIK Table water fairing in the market?

I can tell you in confidence that PIK Table water is not struggling in the market. There is lots of drinking water in Aba but how many of them are portable? That is the big question for the consumers and the scientists to answer.

We came in at a time when there are over 150 brands but due to the quality of our product, it took us less than two months to break into the market. I can tell you that at our level, we have a chunk of the market that is holding and sustaining us and the demand is exceeding what we can produce and supply. That’s why we have plans of expansion so we can meet our daily demand.

Currently, we don't satisfy our daily demand, so with that, you can see by yourself that we are not struggling in the market. The dream is to make the brand a household name. There some families that don't know the brand now due to the challenges of distribution. We need to expand our distribution channels. By the time we get more funds, we will be able to expand our distribution channels and chains of marketing.

 

What's your advice for unemployed graduates who have the vision of starting their own businesses someday?

The first step of being a successful entrepreneur, or even a successful career person is conception of idea. My word of advice for those out there striving to be entrepreneurs or career persons is self-development; Continuous self-development. Develop yourself to fit into the field you want to establish on. Develop your ideas first. Your ideas will attract the fund for it. There are a thousand and one investors attracted by the Federal Republic of Nigeria headed by his excellency, Dr. Goodluck Ebele Jonathan, that are looking for smart ideas to invest in.

I will advice even under graduates to start conceiving ideas. The mentality of working in blue chip companies; who said you can't own one? Conceive your ideas; keep refining it as the day goes by. When you have the opportunity to sell the ideas, be at your best.

 

What's your take on people who clamour for government to provide jobs?

If you look at so many developed countries, you'll find out that governments don't provide jobs per se. Majority of the jobs in those countries are being provided by individual enterprises. Look at China; they have a whole lot of companies, South Korea and even United States of America (USA), how many people work for the government? They work for individual companies.

So, I will tell people to stop blaming the government for the unemployment in this country. The challenge of every business in Nigeria is inadequate, especially that of decaying infrastructure. If the government can provide enabling environment, individuals can then invest and create jobs for the populace, which is what the government is trying to do with the Economic intervention fund. They are trying to encourage private companies so they can create these jobs.

 

You mentioned decaying infrastructure what about government policy, does it not affect your business?

Yeah. Chief among the policies is multiple-taxation. One of the things that entrepreneurs suffer which leads to some running into loss is multiple-taxation, especially here in Aba. One has to pay for a particular thing over and over again and the rate by which government go about it is another discouragement to businesses. Power supply is another challenge.  I run generator everyday here. So, if government can give us these infrastructure, forget about the jobs, we will create them.

 

Before you started PIK Table Water, were you an applicant? Kindly tell us about yourself before PIK table water.

I've always had the spirit of entrepreneur in me from childhood. I've always had the idea of being on my own. I've always believed in creating hope for the hopeless. In this nation, the first set of hopeless people you see are the graduates. This is because the situation of unemployment in Nigeria is hopeless! So, I've always seen myself as one that will bring hope to the hopeless and when I caught the vision of producing potable water, I was a fresh graduate, though serving.

I started developing the ideas, I started going for training in the field. I served with Zenith Bank. After my service, I stayed back with them for couple of months. While I was there, I found out that banking industry is not where am supposed to be. I came out searching for Job while building on my ideas as well. All I was doing was preparing for the right time, get the finance and launch into the business. When the program came, I sold the idea to them and it turned out one of the best among all the applicants in South east.

We got recommendations in Abuja. So, with YouWin Grant and other sources of funding, the dream came to fruition. There were also men God used to help me. Mr. John Okiyi Kalu, is one of them. He is a brother, a friend and a mentor. His ideas and advices were second to none. Mr. Collins Iroegbu Kalu, my elder brother is another man whose business ideas I chose to call “crazy". He helped this dream to stand today.

 

It's been wonderful speaking with you Sir, we hope to be obliged the next time we call on you

It's a pleasure


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