Vanguard||Nigeria spent a total of N1.2 trillion on importation of vehicles last year. A break down of the figure showed that N550 billion was spent on importation of cars, buses and trucks.
This does not include tractors and military vehicles. Also, Nigeria spent around N500 billion on spare parts and on tyres alone, it spent N150 billion. This same trend is continuing unabated.
These facts were disclosed by Engr. Aminu Jalal, Director-General, National Automotive Council (NAC) in an interview with Financial Vanguard on the recently introduced automotive policy by the Federal Government. He said, “This is not good for our country. With the new policy, we are going to support our car plants to produce very standard cars at globally competitive prices.
“This is going to greatly add to our local content. For example, to assemble a car here, you need about 2,500 parts. If many cars are produced and sold here, it would encourage the local manufacturing of these parts, creating more wealth here and driving down the cost of vehicles. By the time we start implementing this policy, you will see a very impressive positive change in just six months”
Stakeholders in the local automotive industry however are demanding for 50 per cent patronage of locally produced vehicles, a vibrant vehicles purchase scheme and policy consistency through legislation by the Federal Government if the new policy for the sector is to work.
They say if the policy is well implemented this time, distributors of foreign brands of cars in the country will go out of business by 2024. The local industry is made up of 19 companies such as PAN Nigeria in Kaduna, National Trucks Manufacturers Limited (NTM) in Kano; Steyr Nigeria Limited in Bauchi; ANAMMCO in Enugu; Innoson Vehicle Manufacturing Company in Nnewi, Anambra State; Zahav Automobile in Lagos; Leyland in Ibadan; VON Automobile, Lagos; Leventis in Lagos; Iron Products Industries Limited in Lagos; Gorgeous Metals Limited in Kaduna; Autobahn Techniques in Lagos; Proforce Limited (armoured vehicles) in Ode-Remo, Ogun State and Lasbag in Akure etc.
– See more at: https://www.vanguardngr.com/2014/02/nigeria-spends-n1-2trn-vehicle-imports-2013/#sthash.EONvlQ8F.dpuf
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