Importers May Withdraw Vehicles From Dealers’ Shop Due To Low Sales

In an apparent reaction to dwindling sales, there are indications that, importers of fairly used automobiles may withdraw their vehicles from major markets in Lagos state.

Investigation carried out by Auto Port Weekly, in Lagos last week revealed that many prospective buyers now prefer to buy directly from importers rather than patronise dealers at the various auto markets.
Top on the list of such markets are: the popular Berger Market, Freedom Park and Sunrise, all located along Apapa Oshodi expressway. Others markets are located in Surulere, Ikeja and Festac.

Our correspondent also gathered that monies paid as rent and for security in these markets have pushed up prices of such vehicles.

Insiders say vehicles are cheaper when purchased from their importers.

An importer of fairly used vehicles; Stephen Uzonuoma told our correspondent that vehicles displayed at automobile market is not worth the while of any buyer. He said normally an importer will sell cheaper than a dealer.

Uzounuoma disclosed that many importers are already planning to withdraw their vehicles from the dealers’ shops.

He stated that most of his vehicles are scattered all over the markets for more than two years without sales, saying that it a failure on the part of the dealers.

"What the dealers want is to make profit more than the importer and I think this is one of the reasons the vehicles stay longer at their part"

"Since they have failed to sell those cars at their park, I think it will be better for us (the importers) to sell directly to buyers and I think gradually some of my cleagues are thinking towards that direction", he told Auto Port Weekly.

On his part, a dealer; Mr. Dele Ayomide also confirmed the development to our correspondent saying that some importers decided to move their vehicles gradually from some the market where vehicles are unsold.

He further described the situation as discouragement on the part of the dealers.