THE Federal Government at the weekend said it was changing its strategy towards its earlier target of producing a truly made-in-Nigeria car by the year 2017.
It was learnt that because the steel and plastic industries which the government thought would have developed by now to support the automobile industry are still comatose, the dream of a made-in-Nigeria car might take a little longer to materialise. At the moment, energies are being directed at achieving at least 80 per cent automobile component manufacture in Nigeria.
Head of Policy and Planning at the National Automotive Council (NAC), Mr. Lukman Mamudu told newsmen in Abuja that the government would now focus on developing the capacity of local component fabricators to make them globally competitive.
He said: “NAC’s approach to made-in-Nigeria car project has changed. We are encouraging component manufacturers locally. We have about 54 local manufacturers of parts.”
According to him, the council is currently working towards introducing local component fabricators to global players in order to help them acquire necessary expertise and competencies.
His words: “The assemblers are complaining that they don’t meet the international standards required. We want to introduce our component makers to the big players like Tyre 1 and Tyre 2 around the world. That is what Malaysia, India and others did. We want to get out component manufacturers, to produce to international standards. There are over 54 auto component manufacturers some of whom are original equipment manufacturers (OEM) while others supply the after sales market.
“If we achieve 80 per cent of car components, it will encourage people to manufacture here. We want to encourage alliances between them and global companies.”
Mamudu said the Council is also working with some Nigerian experts in the United States of America to manufacture low pressure cars in the country.
“We also held discussions with UNIDO on how to build a low cost Nigerian vehicle. The objective of the programme is to develop a comprehensive blue print for the development of a low cost vehicle sector in Nigeria for both passenger and cargo transport in rural areas. We have done a survey and want to loot at producing a concept car. When we do that, we will do a road show to promote that and lure investors.
“The automotive industry is generally regarded as an engine of growth whose establishment serves as an important stimulus to other types of manufacturing activities. The industry has capabilities to create many job opportunities, encourage the growth of other satellite industries and generate acquisition of technology. The automotive industry serves as stimulus to the development of other basic industries such as machine tool, iron and steel, petro-chemical, rubber, glass and electrical components. The character of this industry also has far-reaching and significant implications for the performance of various activities, such as movement of people, goods and services, road construction, rural and urban development.”
Speaking on the Automotive Sub-sector Development Fund, he noted that the council is assisting industry operators through the fund.
His said: “Right now, it is cheaper to import than assemble cars locally. Because of this, we are helping operators in the sector to minimize the cost of doing business in Nigeria. We are using it to encourage operators in Nigeria.
Nov92010