Sequel to the recent statement made by the President Goodluck Ebele Jonathan on plans to ban importation of vehicles into the country, operators in the informal sector of the automobile industry have described the remark as a futuristic statement even as they said the country is not ripe enough to manufacture its own brand in enough quantity to meet the demand of Nigerians.
The operators also noted that a ban on imported vehicles will make the country to lose huge revenue that would have accrued to the Government through duty collection by the Nigeria Customs Service.
Sequel to the recent statement made by the President Goodluck Ebele Jonathan on plans to ban importation of vehicles into the country, operators in the informal sector of the automobile industry have described the remark as a futuristic statement even as they said the country is not ripe enough to manufacture its own brand in enough quantity to meet the demand of Nigerians.
The operators also noted that a ban on imported vehicles will make the country to lose huge revenue that would have accrued to the Government through duty collection by the Nigeria Customs Service.
Reacting to the proposed ban which targets used vehicles last week in Lagos , the Chairman of Metche Chapel of the United Berger Automobile Dealer Association, Sir Hilary Nnadiekwe said that there is no way the Local Content Act can satisfy the yearnings of Nigerians who need vehicles, even as he described the president remark as over excitement.
Nnadiekwe said before now, the federal government had put in place policies that were geared towards restricting importation of vehicles into country without result and that the Nigeria automobile industry is not ripe enough to provide Nigerians with locally manufactured vehicles.
He blamed the government for the negligence of the automobile sector, adding that it will be difficult for the low income earners in the country to purchase new vehicles.
The chairman also added that, ‘’banning of vehicles will be unfavourable to the economy and we should not take it serious because it cannot happen in this country’’.
He noted that before the government can come up with such policy, the moribund assemble plants in the country must be in good working condition and also there must be encouragement for the indigenous vehicle manufacturer based in Nnewi that is Innoson Manufacturing Vehicles Limited (IVM).
On his part, the Director Sunrise Motor Dealers, Pastor Uzor Andrew described the president’s statement as what would happen in the nearest future even as the lauded Dr. Goodluck Jonathan for his remarks toward the ban of used vehicles.
Uzor noted that the country is not yet ripe to manufacture locally made vehicles as materials that would be need to assemble vehicles are not available in the country.
According to him, ’’for Nigeria to be able to manufacture vehicles, the steel industry must be enhanced and it is for the interest of the government to work towards that direction.”
He however said that in recent times, it is the incumbent president that has been aggressive in ensuring that the Local Content Act works.
He said that if the country to stops importation of vehicles, it will create hiccups because according to him, the nation is highly-dependent on imports.
The director also noted that the policy on outright ban on vehicles into the country will be unfavourable to the Nigerian Customs Service as revenue collection will drop.
‘’Before you place a ban on something what is the alternative? Before now the government had banned the importation of poultry products, tiles and others and the ones available cannot serve Nigerians, so in the future such the statement might come to pass’’ ,he predicted.
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