The National Automotive Design and Development Council (NADDC) has initiated a digital registration framework to formalize motor dealership operations across Nigeria's North-West region. This move aims to identify legitimate operators and improve data management in the sector. According to NADDC, the framework will address longstanding challenges of informality, fragmented records, and inadequate industry data. The initiative was announced during a sensitization program in Kaduna, a strategic location given the state's significant role in Nigeria's automotive industry.

NADDC's Director-General, Otunba Oluwemimo Joseph Osanipin, stated that the registration framework is not intended to impose another administrative burden on motor dealers. Instead, it seeks to create a credible system to identify, document, and integrate legitimate dealerships into the formal automotive ecosystem. Osanipin, represented by Director of Policy, Planning and Statistics, Mr. Umar Nura Sidi, emphasized that a reliable registration system will provide greater visibility of operators, strengthen consumer confidence, and support access to institutional finance and business partnerships.

The NADDC boss highlighted the North-West region's importance to the initiative, citing its large market for vehicles and extensive commercial, agricultural, transportation, and logistics activities. He urged motor dealers and stakeholders to take advantage of the program, ask questions, and provide feedback to ensure the registration system is practical and responsive to the Nigerian market. Successful implementation will depend on cooperation among government institutions, motor dealers, financial institutions, state governments, and other industry stakeholders.

Formal registration can give dealers a verifiable business identity within the automotive sector, while helping financial institutions and prospective business partners assess operators more effectively. For consumers, the framework can provide greater confidence when dealing with properly identified and documented dealerships. The council further noted that improved information on motor dealers will assist the government in developing evidence-based policies and strengthening regulation of the automotive sector.

The National President of the Association of Motor Dealers of Nigeria (AMDON), Prince Ajibola Adedoyin, welcomed the initiative, saying regulation has become necessary to reorganize the dealership subsector and improve its contribution to the national economy. Adedoyin described motor dealers as critical stakeholders in the automotive industry and commended the NADDC leadership for taking steps to establish a structured framework for the sector.

Adedoyin urged motor dealers to support the registration initiative and make it work for the benefit of the sector. He noted that a more organized dealership industry will strengthen the government's ability to understand the sector, while enabling operators to benefit more effectively from opportunities linked to financing, regulation, and policy development. The sensitization program brought together motor dealers and representatives of AMDON from six states in the North-West region.

The digital registration framework is consistent with the broader objectives of the National Automotive Industry Development Plan, which seeks to build a more organized, competitive, and data-driven automotive industry. The NADDC aims to create a credible and transparent framework for legitimate dealerships, ultimately enhancing the overall automotive ecosystem in Nigeria. The program is set to improve the sector's contribution to the national economy and provide a more organized and competitive industry.

Key points

  • NADDC introduces digital registration framework to formalize motor dealership operations in Nigeria's North-West region.
  • The framework aims to address longstanding challenges of informality, fragmented records, and inadequate industry data.
  • The initiative seeks to create a credible system to identify, document, and integrate legitimate dealerships into the formal automotive ecosystem.

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SaharaWire

Reporting for SaharaWire from the Nairobi bureau.