The Director General of the National Automotive Design and Development Council (NADDC), Jelani Aliyu, has been lauded by the Nigerian Ambassador to Japan, Husaini Moriki, for resurrecting the Nigerian automotive industry.
Amb. Moriki gave the compliment while the Nigerian group was meeting with important Japanese automakers in Japan.
He claims that the NADDC DG has effectively implemented numerous reform measures in the sector that have had an impact on the growth of the investment capacity of Nigeria's auto industry participants.
As a result, the Ambassador invited the Japanese businesses to specify the areas in which they wanted the Nigerian government to take action.
The goal of the intervention, according to Moriki, will be to improve the business environment, particularly in light of the NAIDP and the Auto Policy's current NADDC review.
The Ambassador notably urged Japanese businesses to work with the NADDC to teach and up-skill Nigerian youngsters at the 18 automotive training centres the organisation has established across the nation.
The head of NADDC earlier urged Toyota, Honda, Nissan, Mitsubishi, Isuzu, Suzuki, and Yamaha to build massive assembly and production facilities in Nigeria.
He claims that several automakers are already producing vehicles in the nation, including Honda West Africa, Nissan/Stallion, Toyota/Elizade, Mitsubishi/CFAO, Suzuki/Boulos, Isuzu/Kewalrams, and Yamaha/CFAO.
According to Aliyu, these higher investments will be made at a time when Nigeria's economy needs diversification more than ever because of the country's expanding population.
The Director General continued by saying that Nigerian automakers now had prospects across all of Africa thanks to the Africa Continental Free Trade Area (AfCFTA).
“The discussions with the companies were very fruitful, with strong potential for the various manufacturers to significantly increase their operations and market footprint in Nigeria, and contribute at an even higher level to the growth and sustainability of the Nigerian Automotive space,” Aliyu disclosed.
He added that the agency had engaged an international firm, KPMG, to support with the review of the Auto Policy in order to beef it up to the current pattern of global and regional automotive production and distribution.
He said: “KPMG is getting good support from the AAAM – African Association of Automotive Manufacturers. As soon as the draft policy is done by KPMG, it shall go as an executive bill to the National Assembly.
“The Senate and House Committees on Industry are giving their full support towards having this reviewed policy be backed by a legal framework.”
While highlighting some of key areas of the reviewed policy, he said the draft, when it becomes law, would further boost the financial advantages of local production/assembly, provide clear import duty differential between locally assembled vehicles and those imported fully built and also provide tax waivers.
Other key areas would include facilitating the establishment of dedicated customs corridors/services, provision of single digit capital financing for both manufacturers and buyers, mandatory government patronage, all in favour of local production/assembly.
On his part, chairman, Nigeria’s House of Representatives Committee on Industry, Hon. Enitan Badru, promised to provide necessary legislative support to the new auto policy, so that it gives the investors the confidence and stability to invest in Nigeria.
He stressed the importance of the vehicle finance scheme for the purchase of locally produced vehicles.