The Nigerian Railway Corporation (NRC) has kicked against claims by a former Minister of Transportation, Mr. Rotimi Amaechi, that the $2.4 million Kajola Wagon Assembly plant has been abandoned one year after its commissioning.
Shipping Position Daily recalls that, while speaking at a recent event in Lagos, the former Minister of Transportation alleged that the Kajola Wagon/ Locomotive engine Assembly plant has been abandoned by China Civil Engineering Construction Corporation has been abandoned.
But, picking holes in Amaechi’s claims, top NRC officials told our correspondent that the facility remains fully-operational, actively producing standard gauge wagons and facilitating cargo transport from Lagos ports to Ibadan.
The $2.4m Kajola Rolling stock assembly plant, which is the first of its kind in West Africa, and which was constructed by China Civil Engineering Construction Corporation (CCECC) in Ogun State, not only aims to supply locally produced railroad wagons, but also provides critical technical support for railway infrastructure across sub-Saharan Africa.
The facility which is located on 41,365.36 square meters, with a building area of 14,863.28 square meters, housing production and auxiliary facilities, is strategically co-located with the locomotive and rolling stock depot of the Lagos-Ibadan Standard Gauge Railway.
Findings by Shipping Position Daily revealed that the construction of the plant, which began in January 2021, was completed in November 2022 for trial production. By April 2023, 105 wagons had already been assembled, with plans to reach 220 by the end of the third quarter of 2023.
The project was made possible through a public-private partnership under the Nigerian government’s Executive Order No. 5, which encourages local infrastructure development and technology transfer.
The assembly plant is also expected to create 5,000 jobs, offering training in wagon production and maintenance to local engineers and technicians. It will facilitate processes such as welding, assembly, painting, and testing, reducing the wait time for imports and boosting the local economy.
Mr. Rotimi Amaechi said: “If you get to Prof. Yemi Osinbajo Train Station in Kajola, there is a Wagon Rolling Stock there. We commissioned that facility in 2023. The Kajola Locomotive and Wagon Rolling Stock was not part of the Lagos-Ibadan Rail project, but we insisted that the Chinese must build the facility to enable us to gain knowledge transfer in the area of Wagon and Rolling Stock manufacturing”.
“I told the Chinese that I am going to give them a contract to supply Nigeria 200 Rolling Stock. I however told them that I won’t approve the contract, if they don’t build a Wagon Assembly Plant in Nigeria. After five years, they will start assembling and manufacturing Wagons and Rolling Stocks in Nigeria. The agreement was signed. The reason for doing this was to create employment and reduce foreign exchange expenditure, because we will produce here”, he added
“This was done and was commissioned in 2023, but as I speak today, that facility has been abandoned. Nothing is happening there. Until we continue to invest in transportation, we might never get it right in this country.” Amaechi alleged.
However, a CCECC representative had during a visit of members of the House of Representative Committee on Land Transport to Kajola Wagon Assembly plant said that the scanty workforce on ground was due to lack of components to assemble wagons.
He explained further that the workers employed initially have been redeployed to other locations outside Kajola instead of staying idle. According to him, as soon as government meets its obligation to import Semi Knocked Down (SKD) parts, assembly of wagons will resume.
But the Chinese construction company restated that after the initial assembly of 200 open/close roof wagons, the company awaited importation of Semi Knocked Down (SKD) parts by Federal government, so as to continue the assembly of wagons, to no avail.
But our correspondent who visited the Lagos Headquarters of the Nigerian Railway Corporation last week, sighted many CBX Wagons at the Ebute Meta Terminal, that were reportedly manufactured at the Kajola Assembly Plant and which are being used to move cargo from Lagos Ports to Inland Dry Ports. Each of the CBX Wagons has a loading capacity of 70 tonnes and a tare weight of 24.0 tonnes.
An NRC official, who preferred to remain anonymous, refuted claims that the Kajola Wagon Assembly Plant has been abandoned. He affirmed that the plant is fully-operational and functioning at full capacity, stating that, “We didn’t abandon that project, the assembly plant has never been abandoned. It is working in full capacity.”
The official elaborated on the plant’s ongoing operations, noting that several wagons produced in Kajola are actively transporting cargo from Lagos ports to destinations on the standard gauge line to Ibadan.
The NRC official clarified that the plant produces standard gauge wagons, suitable for Nigeria’s recently commissioned standard gauge rail line linking Lagos and Ibadan. While cargo moving from Lagos to Kano operates on a narrow gauge, the Lagos-Ibadan route now benefits from the faster, higher-capacity standard gauge line.
In his words: “We didn’t abandon that project. That assembly plant has never been abandoned. It is working in full capacity. To the best of my knowledge, it’s working perfectly, but it is subject to confirmation by you. But I can assure you that it is working. If you go to Kajola, you will see our staff there and you will see the wagons. It’s working perfectly.
“Some wagons that have been created have started moving cargoes to Lagos ports. We get containers from Apapa port here through the wagons based on when they are cleared. It also depends on the number of containers that have been cleared. We have more than enough CBX wagons to serve the Lagos port.
“The wagons they are producing at Kajola are standard gauge. Cargo moving from Lagos to Kano is on the narrow gauge, but from Lagos ports to Ibadan is on Standard gauge. Most of these truck companies are domiciled here. When their consignment comes here, they just come and take it. So, it is easier for them than to go and queue at the port. That is another source of revenue for us” The NRC official noted.
