Stakeholders Comment On National Automotive Industry Dev Plan

The Federal Government
Pronouncement on the National Automotive Industry Development Plan has been generating a lot of reactions from stakeholders in the country.
The stakeholders mostly car dealers said the government policy on importation of vehicles into the country is too hasty and could have been carried out in a gradual process so that they would not make mockery of the whole plan.
According to them, the policy is for the interest of the nation but reserved their fears  it could be well implemented, and added that it would not affect their second-hand car business.
They, however, called on the federal government to ensure every  necessary modalities are put on ground before the implementation of the Policy to avoid any loophole.
A salesman with Yarsuda Motors Nigeria Enterprise in Port Harcourt, Umaru Adamu said the government’s new policy on importation of vehicles into the country would not affect their business but expressed worry that every thing had a process before implementation and pointed out that the federal government idea was good but there should be a transition before the implementation.
“Manufacturing cars in Nigeria will bring competition as well as bring down cost of vehicles. It is better for Nigeria I will advise the government to subsidise so that Nigerians could afford to purchase cars of their choice,” Umaru posited.
He, however, noted that when the policy comment fully implemented, it would  be difficult for one to buy a new car as second hand cars ‘Tokumbos” are durable their spare parts are always available unlike some new cars and experienced auto mechanics to repair them in case of any fault is also difficult to get in Nigeria.
“It is a good idea but lets follow process for the policy to work better in Nigeria.”
Another car dealer, Azubuike Donald said already duty cars have started complying with the government policy of 35 per cent, and said the policy was good if it would be well implemented because currently there were so many new cars on sale but most people prefer and patronise fairly used cars because of their durability.
Donald noted that the policy would not affect their business and lauded the government that the policy if well implemented would generate revenue and stop illegal smuggling of vehicles into the country, and more so would benefit the masses.
In his reaction, Ibrahim Addo of Kwajaffa motors maintained that the policy would only affect some dealers on second hand cars, depending on the understanding of the business.
Addo said car dealers and customers despite the policy would decide where to buy their cars depending on choice.
It would be recalled that the National Council of Managing Directors of Licensed Customs Agents (NCMDLCA) has described the federal government policy as inimical to the over all interest of Nigerians, describing it as anti-people.
According to the National President of the group, Lucky Amiwero said, “The automobile policy is actually inimical to the growth of the nation and we are not in support of it, in the said policy, there are some indexes that are not too comfortable for growth.”
Amiwero said the assembly plans that promised to manufacture made in Nigeria cars are yet to put structures on ground, stressing that it is wrong for government to start collecting the 35 per cent on duty as well as the 35 per cent levy that is expected to commence in January 2015.
Why are we increasing that tarrit to 35 per cent when no country in the world has such high charge and it means we are going to have a problem in the transport system in the country.”
We are saying that Kia, Toyota and others are coming to manufacture vehicles in the country, but where are the plants situated and they have started implementing the 35 per cent duty,” he lamented and added that with the policy in place, prices of imported cars will be very high and such would affect the sector negatively.
A source told our correspondent that some auto manufacturing companies in Nigeria have commenced production of made-in-Nigeria Cars.