Transport/auto sector gains traction
Nigeria’s transportation sector received a boost in 2017 with the inauguration of the Lagos - Ibadan standard gauge rail project which is the second phase of the Lagos-Kano standard gauge rail project.
The flag off of the project in February 2017 came few weeks after President Muhammadu Buhari opened the Abuja - Kaduna segment of the project to the delight of Nigerians.
The project which covers 150 kilometers linking Lagos to Ogun and Ibadan, Oyo State, would cost about N1.5bn. The work has since commenced with the clearing of the right of way.
But the laying of tracks has been hampered by obstructions such as bridges in Lagos and Ogun; power cables, transmission lines, among others.
The minister of Transportation, Rotimi Amaechi, disclosed that the Federal Government, in concert with the Lagos State Government, has decided to demolish two bridges in Jibowu and Costain and build new ones.
In the automobile industry, there is a glimmer of hope for local manufacturing of vehicles following the opening of car assembly by many auto companies. Coscharis Group commissioned a multi-million dollar assembly for the production of Ford Ranger.
Also, CFAO group, with its subsidiary CFAO Equipment, the sole distributor of the FUSO brand in Nigeria, in conjunction with Mitsubishi Fuso Truck and Bus Corporation (MFTBC), one of Asia’s leading commercial vehicle manufacturers, has commissioned a FUSO assembly plant at its AmuwoOdofin, Apapa-Oshodi Expressway, Lagos, facility.
However the icing on the cake was the signing into law of the National Automotive Policy Bill which would support the car manufacturers and the dealers with the necessary policy framework that would support their activities.
Mr. Jelani Aliyu, DirectorGeneral of National Automotive Design and Development Council (NADDC) said, “I am also glad to say that the National Auto Policy has been passed into law.
“This would put us in the perfect position to protect local investment and local companies in terms of tax haven, incentives that would support their production which would also protect them against unfair importation of competitive vehicles.
“And one of the things needed to be done was to make this policy into law. Now we have that. That’s a great incentive to them and other companies that want to come into Nigeria.
“When I talk about a new era, not just about automotive sector, Nigeria as a whole, this is a new Nigeria where I will like to say that we have now decided to face our challenges, to grab the bull by the horns and really do what is right.
“Yes a lot of things that needed to be done in the past couple of decades have not been done. Now this administration and a lot of people here in the country are ready for a new Nigeria.”