Reference:


Oga that is not how it works. Industrialization is the only, I repeat only way for a nation to prosper. There is just no other way. What happens is that government leverages on industrial capacity to trigger a revolution. If you want cheaper cars the only way is to start making them and then drive down the cost via scale, technology and independence. As you incentify allied industries to supply parts and components you create other industries and the quantum of jobs trigger prosperity.

It is hard at the beginning but that is where government steps in with incentives to protect industry until they are strong enough to sustain themselves. What government should have as an overiding policy is to drive down the cost of goods and servicces and raise the purchasing power of its citizens. To try and bridge the prosperity gap. How else do you do this if you do not have a deliberate industrial policy.

Dangote's refinery will soon be completed and after that the petrochemical plant. Doesn't it make sense if this man's assembly plant and that of Innoson and others be immediate and automatic consumers and customers of his petrochemical products. Will this not drive down the cost components of the imported alternatives.

Why is government so unaware or blind to the fact that massive opprtunities exist to tie in for instance Dangote to the overall industrialization of Nigeria. All it takes is to incentify another industrialists to invest in vehicle component manufacturing. To take Dangote's petrochemical products for instance and turn them into dash boards and other car parts and components at a fraction of the cost of imported alternatives and creating thousands of jobs in the process.

Poverty like prosperity is systemic. When all parts are in place it takes only a spark of genius to turn the country around. Industrialization is like a net or spiders web. A nation's capacity to sustain productivity is only as strong as its weakest industrial link. It is a crime for government to sit by and watch its industrial interests go moribund.

nedu2000:
Another thing Cosmos didn't consider is that majority of Nigerians can't afford brand new cars.

Nbote:
D govt wants ppl to invest in other sectors of d economy and wants Nigerians to patronize made in Nigeria but yet it's policies and d business environment in d country will wreck any investment.. Now imagine one of d biggest investor's in d auto sector complaining.. What is d hope for prospective investors and potential start-ups.. Dis govt is jus a buzzkill for innovation and investments period

nedu2000:
true,global standards that Naira sign would be in dollars.

miteolu:
N1.7billion is small for a successful vehicle plants.

publicsensor:
And if it were gainful, you wouldn't have share the credit with anyone, Sir

gabbasin:
the problem is from us, Nigerians. If government increase tariff on imported used vehicles to protect and encourage local production we will be the one to accuse govt of making cars unaffordable to us. Example is high tariff on rice importation by government, we condemn it and we want people to go into rice farming.

Opexzy:
The number one problem of this country is the incompetent leaders that are bereft of ideas to move this country forward...

ibkgab001:



I never heard man is only people with flat head that always complain

miteolu:
N1.7billion is small for a successful vehicle plants.

miteolu:
N1.7billion is small for a successful vehicle plants.

Cherrybae:
Very useless ugly wicked broke igbo man and Igbos supporter.

Nonsense

Reference:
I will repeat this again.

In the 70's virtually all the cars used in Nigeria were European with a few American models. This was a time Peugeot, Leyland and Mercedes Benz were assembling vehicles in Nigeria. The Japanese launched their cars in the 70's and were ignored by the public on account of build quality. It was only when the economy began to falter that 'cheap' Japanese cars became attractive.

Fast forward a decade later and those cheap cars became expensive due to the rising profile, in came the Koreans with Daewoo and Kia but the same problem, quality.

Fast forward a decade later it was the turn of the Chinese since the Korean vehicles too became exclusive. Today it is Indian vehicles that are the base bargains, even Chinese cars are getting out of hand.

Remember, that Nigeria began vehicle assembly before Japanese cars took root in the late 70's. Fast forward to today. All other cou tries have long moved forward. We are still debating the economics of having on automobile industry.

Please if there is still something called a curse, what can describe it better. If you as a citizen questions the attempt by anyone to right this madness saying who can afford vehicles should hide his head in shame if you know how muchhas been spent importing automobiles into Nigeria since the 70's and how much will have been gained for industry, for jobs and for the prosperity of the Nigerian over this time.

Our shame will soon be complete when we begin to import automobiles from factories in Ghana and Togo while we play with our destinies.... lazy, reprobate citizens...

nedu2000:
Another thing Cosmos didn't consider is that majority of Nigerians can't afford brand new cars.

Chukazu:
So long as Dangote is not involved you can be sure the federal government won't do anything to help, but the moment Dangote dives in the Auto business the government will relapse every other Law just to favor him... just to maintain him as "the richest man"

Enyimbamercedes:
If it was dangote who invested by now they'd ban forex to all car importers and ban imported cars on the road

autojosh:
Dr. Cosmas Maduka, the President of Coscharis Group, recently lamented about his decision to invest N1.7billion in an automobile assembly plant in the country.

His lamentation is as a result of the effect of the hesitant implementation of the auto policy in the Nigeria auto industry by the Federal Government.

Maduka is one of Nigeria’s biggest investors in the automotive sector. His company, Coscharis Group, built an auto-assembly plant on a 14-hectare piece of land in Awoyaya area of Lekki-Epe expressway, Lagos. The project is in conjunction with Ford Motor Company.

The plant was inaugurated in October 2017, with an installed capacity for 60 units of vehicles a day.

According to the Coscharis boss, the projections of growth made by his company and other automakers who responded to the policy by building assembly plants – some in collaboration with auto manufacturers from different parts of the world, have been shattered by lack of progress and uncertainties in the industry.

He expressed pessimism about recovering the huge investment he made in the sector in 10 years based on the initial projection of selling 10, 000 vehicles annually. According to him, the current total yearly sales figure has been far below 2,000 cars.


According to the Nnewi-born businessman, he regretted investing more than $50 million {about N1. 7b} in setting up an assembly plant in Lagos.

“Of course, I regret the investment! Why would I not regret the investment? From the benefit of hindsight today, you think it is something that is waste, but at the same time, it is also premature to take a conclusive decision, because, till today, the Federal Government is still hesitant. They {government} have not said a definite ‘yes’ or ‘no’ to the auto policy.”, he reportedly said.

He, however, restated his belief in the policy encapsulated in the Nigeria Automotive Industry Development Plan (NAIDP) that, he said, was necessary for a viable local auto-manufacturing sector. The problem, he argued, is in the lukewarm implementation by government.

Cosmas Maduka made his feelings known while assessing the NAIDP which took effect about five years ago on July 1, 2014,  and the delay by the Presidency in assenting to the Fiscal Incentive and Guarantees Bill that would have given it a legal framework.



Source:

https://autojosh.com/i-regret-investing-n1-7billion-on-vehicle-assembly-plant-coscharis-boss/

Damod88:



Don't be too sure. Read...


https://nairametrics-com.cdn.ampproject.org/v/s/nairametrics.com/2018/08/25/cement-wars-the-battle-for-cement-dominance-between-ibeto-vs-dangote/amp/?amp_js_v=a2&amp_gsa=1&usqp=mq331AQEKAFwAQ%3D%3D#aoh=15669268393193&referrer=https%3A%2F%2Fwww.google.com&amp_tf=From%20%251%24s&ampshare=https%3A%2F%2Fnairametrics.com%2F2018%2F08%2F25%2Fcement-wars-the-battle-for-cement-dominance-between-ibeto-vs-dangote%2F


















My brother business knows no tribe. That you are igbo doesn't mean Coscharis is going to share his money with you. All the money he makes is for himself and his family. All you need do is to work hard so that you too can make enough money for yourself and your family. For your information Dangote already has an assembly plant in Lagos. He assembles the Chinese truck brand, Howo. And if you know the shady deals Nigerian business people indulge in to short change the masses then you will not be talking like this. My advice for you is to educate your mind and begin to work toward building your own future. There's is nothing like tribe, it is you and your family.

Toscarel:


do you have 17k in your account ?

Gbengais:
$50m is more than 1.7 billion naira

ArticleBeast:

Have u seen 10 million in ur life?

IamCharles123:

He invest 1.7 billion, thats not the cost of the plant

friendlyadvice:

no mind am alaroro oshi