The federal government on Thursday, February 25, tasked the management of Stallion Group, manufacturers and assemblers of different brands of vehicles on the 17 per cent local content capacity in its assembly plants.
The Minister of Science and Technology, Ogbonnaya Onu, while receiving the group led by its Business Development Manager,John Abah, in Abuja, said government’s patronage of locally assembled vehicles would depend largely on its local content component.
Onu added that the ministry has over 17 research institutes that can assist company’s increase their local content component.
He added that the ministry has over 17 research institutes that can assist company’s increase their local content component.
According to Onu, Nigeria has a lot to offer car manufacturers and assemblers because of the abundant local raw materials and parts that can help investors increase output.
He added that there was need for redirection in the sector in order to diversify the economy, adding that manufacturing one car requires over 1,000 different components.
“Government wants you to manufacture locally because if you do this, you will create more job and double the 20, 000 jobs that you have now as there are about 1,000 parts in a vehicle and each parts can be manufactured in a small or a medium size economy.
“In that way, you will be growing the economy and also generate more revenue. We also want a situation where you will do research because of you have presence in so many countries, you ought to do research in Nigeria, and it is these Nigerians that will do the research. That is how government will come in and protect our interest as it wants you to move in this direction.
