The Chattered Institute of Logistics and Transport (CILT) has said that with Volkswagen Of Nigeria reopening its factory in Nigeria after 20 years, transportation problem in the nation will soon be a thing of the past.
The Acting National Director of CILT, Mr. Paul Ndibe, who disclosed this in an interview with Shipping Position Daily in Lagos, last week, also said that the opening of the factory came at the right time when the nation cannot boost of a good public transport system.
He also said that with the opening of the factory, most Nigerians will be able to afford new vehicles at affordable prices adding that it will be cheaper compared to the price you pay for bringing in a vehicle as a complete unit.
He also reiterated that assembling them here will reduce the unit cost of such vehicles and thereby making it more affordable.
“So far, it has been outrageous when you talk about the prices of imported brand new vehicles and with them consistent devaluation of the exchange rate of Naira. Now it becomes extremely difficult for majority of Nigerians who would like to buy brand new vehicles. So the whole idea is if the Volkswagen plant as we used to have it then is now very active, they will be able to produce medium range vehicles that people can buy and that will also assist us in our transportation need. As you know currently, there is no public transportation system in Nigeria as at today, what we have is majorly individual intervention. So if Volkswagen Nigeria can come back to their production line in Nigeria, that will lead to the availability of brand new vehicles of certain range so that Nigerians will be able to buy it at an affordable price. Because if you’re bringing a vehicle as a complete unit, the duty you will pay will make it to be very high and it will be based on foreign exchange equivalent. But bringing them in and assembly them or producing them in Nigeria will drastically reduce the unit cost and automatically that will make it more affordable to majority of Nigerians”, he stated.
He also charged importers to abide by the over-age policy of the government by not importing vehicles above 15 years of age into the country even as he urged the German automaker to produce a Multipurpose Vans (MPV) that will replace some of those vans that have stayed more than 15 years of age.
“On the over-age cars, it is a government policy if it is classified as a bus of private cars, I know that the government as some point, said that a vehicles of that age should not be imported and if it is that age then it is caught up in that regulation, the only thing is for the regulation to be reviewed. With this particular issue of MPV, if Volkswagen Nigeria is produced it is possible that they will produce vehicles of that range and people can b able to buy in place of MPV. Then you have the maintenance, spare parts available, the know-how to maintain and the replacement is easier”, he concluded.
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