₦airaland Forum

‘Nigeria loses N550b over weak auto sector’


NIGERIA currently loses about N550 billion annually to its inability to assemble or manufacture vehicles, while a total of 80,000 new and 200,000 used vehicles valued at over N400 billion are imported yearly, according to the Director General of the National Automotive Council, Aminu Jalal.

Jalal disclosed this yesterday at the 2011 symposium on automobile and allied products organised by the Lagos Chamber of Commerce and Industry in Lagos.

According to Jalal who was represented on the occasion by a director in the council, Mr. Mahmud Lukman, the annual installed capacity for the assembling or manufacturing of vehicles in the country stands at 150,000 units, while at full capacity; 70, 000 skilled and semi-skilled workers would be directly employed and no fewer than 210,000 indirectly engaged in the sector.

He said that it was worrisome that despite the available human resources and population in the country, Nigeria was yet to develop the automotive industry due to what he called inconsistent government’s policies.

He alleged that lack of consistent policies on the part of the government had driven potential investors away, while private investors were closing shop in droves.

Suggesting a way forward, he said that there was the need for government to create an enabling environment that would bring more investments into the sector, adding that government at all levels must direct all ministries, departments, agencies, local and international contractors in all sectors of the economy to source their automotive needs from local assembly plants.

“This is in line with government policy and the new patronage circular number SGF.OP/I/S.3/VII/ 250 of 12 April 2011 (annex V). Developing economies with a thriving automotive industry like Brazil, China, India, Malaysia, Thailand and South Africa have taken similar steps.

“Furthermore, NAC has set up a consumer credit fund with an initial take-off sum of N2.5 billion, to provide soft loans at 10 per cent interest rate for the purchase of made-in-Nigeria vehicles, borrowed from NAC for the Vehicle Purchase Scheme for the military and paramilitary personnel and additional N13.67 billion to be sourced from the Central Bank of Nigeria, totaling N20 billion,” Jala said.

He also advised the government to jettison all contradictory trade policies if it truly had an intention to develop the automotive industry, stressing that the government should increase the import duty for semi-knocked down and fully built units, which he said had made Nigeria a dumping ground at the expense of its industries.

He alleged that this policy was denying the Nigerian citizenry the opportunity to create jobs, acquire technology and create wealth among others.

Besides, he called for special intervention funds with a mechanism that would allow easy access to such funds.

Also speaking at the event, the Senior Manager, Marketing Development, Nissan, South Africa, Mr. Johan Dippennar revealed that there were over six million cars on the road worldwide while about 40 top countries were in the manufacturing of vehicles.

According to him, there are 58.5 million cars in the world while commercial vehicles record 19.4 million globally.

He stressed that out of the 40 countries in vehicle manufacturing, South Africa was ranked 24th with 295, 394 cars and 176, 655 commercial vehicles manufactured.

According to him, the automotive industry in South Africa currently employs about 33,000 people with a turnover of $6.6 billion yearly, while the component industries in the sector employs about 65,000 workers directly and about 350,000 indirectly.


http://www.guardiannewsngr.com/index.php?option=com_content&view=article&id=65657:nigeria-loses-n550b-over-weak-auto-sector&catid=1:national&Itemid=559

He still has to return all the monies he stole from lagos coffers.

In that JNI crap, not a single sentence condemning Boko Haram! Is that fair?

editted

alj_harem:
Northerners Please leave the Niger delta and move up north, WEST OR EAST

There is no point in wasting life

Northerners are humble people and [b]we [/b]do not fight or cause trouble.

this chamelon just forgot that he was an Awori man (Yoruba) just a few minutes ago. He is now Northerner. Na wa o.

@Beaf
That is correct. Intelligence is better than strength. And that is what we are getting with team GEJ. The good part is the silent execution. Things are changing; thieves are worried!

A failed state indeed! The sooner we unravel it into Four to five parts - Arewa, middle belt, oduduwa, Biafra, and Niger delta republics - the better for us.

@Alj boko haram
That was rant from an ignorant fool. U double speaking liar. Continue shedding crocodile tears.

Na wa o. These uniformed thieves won't kill us in these country. I say retrieve the items, sack these men, and jail them.

By the way GEJ method of quietly exposing and dealing with corrupt individuals, systems, and practice is quiet novel. He nimbles away at all their protective layers effortlessly, before they know it, they are exposed. The same thing I foresee happening on fuel subsidy issues. Soon all the layers of protection will be peeled and subsidy thieves will be exposed to the marrows. Effortlessly!

Halleluiah today, crucify him tomorrow! I laugh in Rochas! 
I hope he doesn't fall for this ploy!

Olalekan 0:
Folks,don't be decieved,the number of pupils in Ogun state public schools is far less than what that commissioner for education claims,and as such 2b naira in my opinion is still over-bloated!!!

You dare to challenge what ACN NL thugs profess? I am subscribing. This would be interesting.

Depilot:
Sorry for asking you to use your common sense, that's not cool at all.
Your statement in bold was the reason why I had to respond in such a way.

Wealthy and popularity don't mean nothing when you're dealing with people who are tired, and determined to fight for their freedom @ all cost.

No offense taken. And Tinubu deserves the Gadaffi treatment, but it wont just happen. He might flee to exile, and claim persecution and all that, until a friendly government comes to power. Thats how people like them roll.

^^^

I did my brother. Indeed, if we don't remove the susbsidy, in the next 10 years, we will come back to this point - still asking for refineries to be built before subsidy is removed.

To cap it all, he said: Simon, I can tell you authoritatively that our daily PMS consumption is not as high as officially quoted. It is the biggest fraud ever. We keep calculating subsidy on the assumption that we consume 40 million litres a day. Remember to always discount the official figures. It is good for your health.

I had never been that sober in my life. The fear of God gripped me. But I gradually summoned courage and asked: But cant government do something about these fraudsters? Cant they be thrown into jail? Why should Nigerians be punished with higher fuel prices because a few people are abusing the subsidy regime?

He sighed. What government? In a country where you can actually swear to an affidavit that you are President Barack Obama and, with a N200 bribe, the document will be stamped in court? You think these people are stealing this subsidy money without the involvement of government officials? And you think one government official will turn down N50 million just to sign a document that says youve brought in 10,000 metric tonnes of PMS? Are you kidding me, Simon? Are you saying you dont know that fuel subsidy is the easiest way for government to fund patronage and reward its friends and loyalists?

Very insightful.

In order words, you are fending for those children on their behalf? Like you even care, imagine!

Depilot:
PointB: Are you telling me that Gaddafi wasn't popular?
Come on, brother. Let's use our common sense and pray to God to continue to be on our side.

Nobody is special, anything can happen. All it takes is for Nigerians to wake up and be bold enough to get back what belongs to us.

Gaddafi and Tinubu are not on the same pedestal. Gaddafi was in power and control, Tinubu was an Ex-governor, and puppeteer.

Much as I detest Tinubu, I very much doubt he would meet the same fate as Gaddafi. Besides we have a history of assassinating leaders, not lynching them.

By the way, I take exception to being asked to use 'my common sense.' I hope you grab?

Malthus! Thomas Robert Malthus!

Depilot:
After what happened to Gaddafi, high power Corrupt leaders in Nigeria are starting to be very concerned. They are looking in the mirror more than before. I will not be surprised if Lagosians one day stone and set Tinubu on fire.

Not gonna happen; Tinubu is too popular and too wealthy for that kind of justice. In the worse case, he will get the Bode Gorge treatment,

@ Topic,

He is employing the well rehearsed act of delay tactics. They same tactics that kept Mustapha in jail for years. Let's see how smart he is.
Subscribing . . .

nku5:
@ alj harem - I'm surprised that a lying two faced cyber leach like you can even attempt to talk about someone else taking an online forum seriously. You are awake 24hrs a day arguing back and forth claiming to kanuri, igbo and every other tribe except your own and u get mouth to yarn. You that spends all his time struggling to incite people to curse themselves and waste a valuable forum. Its you that deserves pity pal. Now kindly Zap off with your filthy opinion

Spot on!

eghost247:
[size=13pt]i would be happy if u showed us some proof to backup your claims[/size]

The same way we were able to prove IBB, Obj, and Atiku, etc cases!

@topic

There is still space for people. Proper planning and execution should fix it.

Wonderful news. On this school?

www.nairaland.com/attachments/557431_Ogun1_jpg57160e6ad47cd6f6179bcbb19f78d20a


http://saharareporters.com/photo/photonews-former-gov-gbenga-daniels-legacy-worst-primary-school-earth-ogun-state

Giving out free money to the elderly sounds 'cool', if the state can indeed afford and sustain it.
I don't know how many elderly people are in Ekiti State, but 5000 x 1000 = 5,000,000.00 monthly on this scheme should give us an idea.

Mrs. Adelugba said any one who is 65 years and above, and had [i]resided in the state for three years is qualified to benefit from the schem[/i]e.

.
This is rather dangerous, Ekiti will soon be a 'state for old people.'

Finally, it is a very easy way of perpetuating siphoning funds and other fraud! Ghost workers, ghost pensioners readily comes to mind here. I am yet to see how this scheme will stand the test of time. It is too easy to abuse.

adet2crown:
It's time to fight for our freedom from these useless fools called our "LEADERS/GOVERNMENT", lining our resources in there pocket.We are mobilizing more than 5,000 people to say No to fuel subsidy and SLAVERY .Nigeria poor people with great riches.More [b]contributions [/b]needed .For more details contact adet2crown@yahoo.com

Please send your contributions/donations to his bottomless pit!

How about Surgery!

@topic

Some people take themselves too seriously.

[size=18pt]THIS IS CYBER! (read SPARTA!)[/size]

^^^^

Then keep your revolution. I rather a break-up than unnecessary and unconstitutional change of elected government!

Schism

kettykin:
@ posters , you want the kind of revolution that took place in egypt and libya , where they people rose in unison and demobilsed the govt and had their way , possibly you want to remove gej and force buhari and bakare on the country.

You might likely end up with the type of revolution that took place in soviet union in the late 80s . Where a supposed the troika reformation ended up producing many countries.

There are many armed private armies and the possibilty of nato or us and britain wanting to maintain the country's unity might not be there.
What might start of as demonstration might progress to a riot ,then anarchy and to war.
However if gej has very smart advisers they will beat you to the game by convening an snc once the people start agitating that will finally lead to aburi or to the end of nigeria.

Well articulated! Thank you!

Either way, that picture is some funny sh.it!

Torch1:
hmmm, mind your business oo! If Aregbe slap you, you will remain unconscious for 2days, you better go ask Fashola and his deputy they wil explain better.

lol. I am covered. The Rascality of AregbeRascal will do me nothing!