Automobile Importers Lament Lull in Business

Despite the fact that Lagos ports recorded the importation of 63,220 units of vehicles in the first half of the year, some importers in the automobile business are still lamenting the slow pace with which their business is moving. Also, there are indications that many vehicle importers may have abandoned the business for other more lucrative ventures.

Despite the fact that Lagos ports recorded the importation of 63,220 units of vehicles in the first half of the year, some importers in the automobile business are still lamenting the slow pace with which their business is moving. Also, there are indications that many vehicle importers may have abandoned the business for other more lucrative ventures.
Shipping Position Daily investigations in Lagos last week revealed that the decision to quit the trade is because many of the dealers believe they are not making enough profit from the trade as they used to. They also complained that the difficulties and the stress surrounding the shipping of the vehicles from country of origin to Nigeria, as well as the recent diversion of Nigerians to Nigerian used cars have all contributed to the lull.
Managing Director, Apple Auto Nigeria, Mr Stephen Uzonuoma who spoke with our correspondent lamented that importers are no longer satisfied with the business as it was in the 1990’s.
Uzonuoma disclosed that, ‘’there is no profit in the business as it used to be because it takes a very long time to sell the ones in stock and we cannot continue to pay rent for shops, pay workers for their services and even the problem we encounter with auto dealers who sell on our behalf’’.
He added that the problem of clearing vehicles from the seaport is another area that has caused difficulties for importers. He alleged that the activities of officers of the Nigeria Custom Service have also contributed to the problem.
According to him, ’’there is no encouragement in the business again because when you go to the various locations where cars are sold in Lagos alone, you find out that some vehicles have been on displayed for over a year, yet the person pays for the rent and at the end of the day after selling the vehicle, there will be no gain from it.’’, he added.
He predicted that in 2014, the number of importers may decline totally. ‘’With the present situation in the automobile market, I doubt if Nigerians who travel to Europe and United State of America will continue to import vehicles”.