Nigeria auto component manufacturers task FG on policy

It was a gathering of stakeholders in the automotive component manufacturing industry recently in Nigeria. The meeting organized by the federal ministry of industry, trade and investment in Abuja, Nigeria’s capital recently was to feel the pulse of the strategic manufacturers on how to better the nation’s economy.

The automotive component manufacturers did not hesitate in pointing out the numerous challenges bedeviling their operations in the country.

In his address during the dialogue with minister of industry, trade and investment on automotive component manufacturing in Nigeria held at the Bank of Industry (BoI) building, Abuja, Chief Anselm Ilekuba, co-ordinator/liaison, Auto Component Manufacturers Association of Nigeria (ALCMAN) described the meeting as timely for all to join hands in reviving the automotive components manufacturing in Nigeria.

Ilekuba stated that, there is need for government support for the automotive industry. According to him, ‘’ Without money, nothing moves, but when money is given and it is not effectively managed, it amounts to sheer waste of time. But money cannot just do everything, passion is also part of it.

He reminded the audience that back in the 80’s, the Nigeria auto industry sources about 40 percent of its components locally . Glasses, tyres, batteries, brake pads, foam and seats, exhausts, electric cables etc were all produced locally and supplied to local assembly plants. Currently, Nigeria supply less than 10 percent of its local components parts to local vehicle manufacturing. For Nigeria to achieve the 40 percent local contents requirement of the AfCFTA, much attention Chief Ilekuba insisted has to be geared towards support for the local components manufacturing.

At this end, there is need for collaboration in the following areas such as transforming out ways to resuscitate vehicle components manufacturing in Nigeria, provide a link between suppliers and vehicle manufacturing in the country, identify sources of raw materials and suppliers of raw materials to component manufacturers, create method of funding and collaborate with government on provision of industrial infrastructures for component makers.

The ALCMAN ended his address by calling on the federal government and other stakeholders in the automotive industry value chain to share in the plight of automotive component manufacturers, so as to explore new avenues of collaboration, new sources of funding as well as finding other strategic ways that will drive the automotive components manufacturing sector to success.