Nigeria - National Automotive Council Gives N5bn Loan to 30 Auto Firms

Director-General, National Automotive Council (NAC), Aminu Jalal, said at the weekend, that the council had supported 30 companies in the auto sub-sector with over N5 billion loans to develop modern auto parts and components for made-in-Nigeria cars.

He also said the council was planning auto diagnostic centres or mechanic villages in the country for the repairs and maintenance of all vehicles.

The DG, who spoke with some the media men disclosed that the council had completed a feasibility study on the establishment of an automotive test centre to carry out quality test on raw materials and finished products of local components and parts.

He advised SMEs to form joint ventures and partnerships with foreign auto component producers for efficiencies in their businesses.

While listing problems of the automotive sectors to include lack of patronage by government, companies and individuals, the Director General  believed that the only way the local automotive industry could have rapid development was for the government to enforce usage of locally made or assemble vehicles by laying down good examples.

He noted that less than 5 percent vehicles used by government agencies are made in Nigeria the development which he described as a bad omen for the campaign for the purchase of made in Nigeria product

“If there is no market there could be no production, there is no future for the country that does not implement policy it develops. It is a wrong economic plan to consume what you don’t produce, Nigerians should be using Peugeot or INNOSON vehicles, so that in the next five or more years, you will see the rapid change in the auto industry in the country just like other countries such as India and China.”

“if you go to National Assembly most of the kind of vehicles you see there are not made in Nigeria. If you ban the importation of vehicles you should be able to comply with it as policy makers, if that is done, the country will break off from the shackles of importation.”

While commending the commitment of the President Goodluck Jonathan led administration in revamping the sector, having put in place some developmental initiatives, the NAC boss however urged the government to ensure the promotion of usage of made in Nigeria vehicles especially among the government agencies, adding that lawmakers should also show good examples in that direction.