FG Bans Importation of Tokunbo Cars


The Federal Executive Council (FEC) on Wednesday approved the national automotive policy in a bid to stop the importation of fairly used (Tokunboh) cars into Nigeria.

The council also approved a total sum of N41 billion for the provision of road and other infrastructures in the Federal Capital Territory (FCT).

The Minister of Information Labaran Maku, and his Trade and Investments counterpart, Olusegun Aganga, told State House correspondents at the end of the meeting chaired by President Goodluck Jonathan, said the new automotive policy is to encourage local manufacture of vehicles.

Aganga disclosed that in 2012 about $3.4 billion (N550 billion) was spent by Nigerians importing cars while in 2010, the sum of $4.2 billion (N670 billion) was spent, indicating that car import takes the biggest share of the country's foreign reserves followed by other machinery.

The new policy when fully effective will ensure the creation of minimum of 700,000 jobs in the auto industry.

He further explained that the new policy followed nine months of work with input from the National Automotive Council and foreign car manufacturing giants like Toyota and Nissan that are to announce their specific investments in Nigeria soon.

Aganga stressed that the bane of similar policies in the past, like non-implementation of policies, lack of infrastructure, and inappropriate tariff regime; were considered and adequately addressed in the new one, with even the Federal Road Safety Corps and local vehicle assembly plants/manufacturers involved.

Aganga outlined the highpoints of the new policy to include the establishment of three automotive clusters in Lagos/Ogun; Kaduna/Kano; and Anambra/Enugu states to share resources and reduce cost of investments, as well as the development and revival of the petrochemical and metal/steel sectors and the tyre manufacturing industry to support the automotive sector.

Also, the Industrial Training Fund (ITF) is working with car-maker, Cena of Brazil, to open automotive training centres in Nigeria while two Nigerian universities have agreed to commence degree programmes in automechanical engineering, all in a bid to provide adequate local manpower for the industry.

Furthermore, appropriate tariff regimes to discourage car imports and encourage local manufacture will be put in place while government will continue taking the lead in patronage of locally made vehicles.

Banks will be encouraged to operate vehicle purchase schemes to enable Nigerians purchase cars on easy terms and the FRSC will kick off a new vehicle car registration/tracking system in the next two weeks to check the smuggling of used cars into the country.


Source: http://www.thenigerianvoice.com/nvnews/125767/1/fg-bans-importation-of-tokunbo-cars.html



Ikenna

Gboliwe: https://www.nairaland.com/1463389/fg-phase-out-tokunbo-cars

Sorry, this is a car talk topic. So untill the above is moved here, this one remains open in Car Talk.

Ikenna.

Its a good intention, but the their mode of carrying out this good intention is a thing of concern. Why ban importation when the existing auto manufacturing/assembly plants are in a state of comatose and other allied industries are virtually absent? Why don't the government create an enabling, competitive, condusive environment for automobile manufacturing/assembly through (Public Private Partnership) PPP, revive the exisiting assembly plants, create stable power supply, revamp steel and aluminium plants, revamp rail transports, and create tax holidays for companies willing to come and invest in Automobile busines in Nigeria for a period of 3-5years, strengthen customs operation at the borders etc before completely banning used vechicles from entering the country.
Btw, hope this law applies to EVERYBODY and not just the masses alone?

In other Nations of the world, the dog wags its tail, but in Nigeria, the reverse is the case, the tail wags the dog Why?

"...The council also approved a total sum of
N41 billion for the provision of road and
other infrastructures in the Federal
Capital Territory (FCT)..."

Hope such money isnt going to be spent in developed/built up high brow areas such as Asokoro, Maitama, Garki, etc what about spreading the infrastructures to the satellite towns and villages around FCT?

We await full details, duty/tariff to discourage the importation or the outright ban. And also date of commencement of new policy

Ikenna351:

Sorry, this is a car talk topic. So untill the above is moved here, this one remains open in Car Talk.

Ikenna.

simply ask the head of that section to move it to the right place. Is that too much to do?

Gboliwe:
simply ask the head of that section to move it to the right place. Is that too much to do?

I wanted to ignore your above post, but changed my mind. Please, when next you visit Car Talk, drop Politics section attitude.

For your information, a fellow moderator who should have known better, went and created that topic in Politics section, a wrong section for the thread. As if that was not enough, a super moderator put the thread in homepage and still left in the wrong section.
You should also note that we the active members of Car Talk prefer our Threads not to be making homepage, since the ones they made would end up messed up by silly and nonsense comments from other sections. We are after quality comments. We like it quiet.

But, like i told you earlier, until the thread in question is moved to Car Talk, this one remains open. You can help lay the complaint and have it moved. This will be the last i will respond to you on this.

Ikenna.

Ikenna351:

I wanted to ignore your above post, but changed my mind. Please, when next you visit Car Talk, drop Politics section attitude.

For your information, a fellow moderator who should have known better, went and created that topic in Politics section, a wrong section for the thread. As if that was not enough, a super moderator put the thread in homepage and still left in the wrong section.
You should also note that we the active members of Car Talk prefer our Threads not to be making homepage, since the ones they made would end up messed up by silly and nonsense comments from other sections. We are after quality comments. We like it quiet.

But, like i told you earlier, until the thread in question is moved to Car Talk, this one remains open. You can help lay the complaint and have it moved. This will be the last i will respond to you on this.

Ikenna.

oga were ya nwayo. We are not fighting and I have never fought with you. Don't talk to me in such a harsh manner ibeg.
You don't own nairaland so you have no right to decide anything. Traffic means a lot to the owner and if a topic in a section you head will attract said traffic, you must not hide it, you must make it known and pushed up.
I don't know what your job is if it doesnt include supervising threads in your section.

Did you ask the supermoderator or politics moderator to move thread and they refused? If you can't ask them, ask me nicely and I will run the errand for you.

Oga free Ikenna if you want a MOd job just apply okay! In this section we love the MOD we have.

Gboliwe:
oga were ya nwayo. We are not fighting and I have never fought with you. Don't talk to me in such a harsh manner ibeg.
You don't own nairaland so you have no right to decide anything. Traffic means a lot to the owner and if a topic in a section you head will attract said traffic, you must not hide it, you must make it known and pushed up.
I don't know what your job is if it doesnt include supervising threads in your section.

Did you ask the supermoderator or politics moderator to move thread and they refused? If you can't ask them, ask me nicely and I will run the errand for you.

https://www.nairaland.com/1463389/fg-phase-out-tokunbo-cars


Moderator.