The National Automotive Design and Development Council has announced that it has concluded plans to implement the 'Nigeria First Policy,' signed by President Bola Ahmed Tinubu. This policy aims to prioritize the procurement of vehicles from local assemblers. The Director-General of the NADDC, Joseph Osanipin, stated this in Abuja at a joint press conference with the Bureau of Public Procurement. He noted that Nigeria has long been a significant consumer of foreign-assembled vehicles.
The NADDC's policy shift seeks to address the strain on foreign exchange reserves, the export of local jobs, and the suppression of domestic manufacturing growth. Osanipin emphasized that all vehicles procured by government agencies must be sourced exclusively from licensed local assemblers or their authorized retailers. This move is expected to stimulate the growth of the domestic automotive industry.
According to Osanipin, any government agency seeking to procure a foreign-assembled vehicle must prove that there is no domestic alternative and obtain direct presidential clearance. Additionally, all vehicles supplied to the government must have a traceable Vehicle Identification Number verified through the NADDC. Failure to comply will result in regulatory sanctions, including blacklisting and license revocation.
The NADDC is prepared to collaborate with the BPP to execute its mandate, and local assemblers are expected to be ready for the task ahead. The Director-General of the BPP, Dr. Adedokun, noted that the Nigeria First Policy will drive industrialization, create jobs, and boost the economy. This policy is part of the government's efforts to promote local content and reduce dependence on imported goods.
The implementation of the Nigeria First Policy is expected to have a positive impact on the economy, particularly in the automotive sector. By prioritizing local procurement, the government aims to conserve foreign exchange reserves and stimulate economic growth. The policy will also help to create jobs and promote skills development in the domestic manufacturing sector.
The NADDC and BPP will work together to ensure the successful implementation of the policy. The two agencies will monitor compliance and enforce regulatory sanctions against non-compliant agencies. The NADDC will also provide support and guidance to local assemblers to help them meet the requirements of the policy.
The Nigeria First Policy is part of the government's broader efforts to promote industrialization and economic development. The policy is expected to contribute to the growth of the domestic automotive industry and promote local content. Key aspects of the policy include the requirement for government agencies to procure vehicles from local assemblers and the introduction of a traceable Vehicle Identification Number.
Key points
- The Nigerian government has directed all ministries, departments, and agencies to procure vehicles from local assemblers.
- The policy aims to boost domestic manufacturing, conserve foreign exchange reserves, and create jobs.
- Non-compliance with the policy will result in regulatory sanctions, including blacklisting and license revocation.
