Japanese assistance sought on auto to recycle vehicles

ABUJA: NIGERIA is seeking the Japan’s help towards recycling disused vehicular chassis in the country.

The Permanent Secretary in the Federal Ministry of Industry, Trade and Investment, Abdulkadir Musa made the request to the Japan International Cooperation Agency (JICA) on the development of automobile supplier parks in Nigeria.

This came after a technical meeting between officials of the Ministry and a survey team from JICA.

Musa explained that the ratio of new and used cars in Nigeria is between 5: 95 percent in favour of used cars.

He said this was because used cars were affordable to the average Nigerian, which is why the government under its Transformation Agenda developed a holistic auto policy that emphasized greater local content.

“For each new car in Nigeria, we have 20 used cars. It is a big market to recycle vehicles in this country which may serve as avenue for employment and skills acquisition as well as opportunity for manufacturers to replace used cars with new ones,” Musa said.

He said local content development had been part of the Nigerian Industrial Revolution Plan (NIRP) which is the next stage of the auto policy the Ministry is focusing on to create employment and wealth as well as skill acquisition for Nigerians in the auto sector.

Musa added that the intervention of the government of Japan in the sector was welcome as it was in line with the Nigerian Government’s plan to develop the auto industry sector in the country.

“The development of auto clusters in the country is achievable and the Ministry is ready to work with Japan to provide necessary support and information.”

He urged the survey team to widen its study across the country, in order to get the actual data on automobiles in the country.

The leader of the team, Akihiro Shimomura, stated that the objective of the survey was to actualise the Federal Government’s quest for the development of automobile supplier parks in Nigeria, analyse the current issues on the development of the automotive industry in Nigeria as well as policies, strategies, institutional frameworks and the progress of the sector.

“JICA has decided to conduct a survey, in order to gather information on the automotive sector in Nigeria. This is in response to the request from the Nigerian government,” he said.