The Nigerian Ports Authority (NPA) is seeking the review of the Federal Government’s automotive policy, considering about 20 per cent shortfall in revenue from vehicle importation.
However, the Federal Government had introduced the policy in 2013 to revive the Nigerian auto industry; encourage local production/assembly plants of vehicles, while cutting importation and raising import duties.
But, while appearing before the House of Representatives Committee on Ports, Harbours/Waterways on Thursday, to speak on the Internally Generated Revenue of the NPA for 2017 and the projections for 2018, the Managing Director of the NPA, Hadiza Bala-Usman, told the committee, which is chaired by a lawmaker from Enugu State, Mr. Pat Asadu, that the policy had caused the nation a 20 per cent revenue loss from vehicle importation.
She said that rather than achieve the objectives for which it was set up, the policy had continued to cause revenue loss, which would have come from the importation of vehicles.
Speaking, the NPA MD said, “We have written Mr. President on this policy and we will continue to defend our position that it should be reviewed because the government runs the risk of losing both ways.
“We have recorded a drop in revenue by 20 per cent. How many cars are being manufactured and how many Nigerians can really afford or buy the brand new cars?
“So, the implication is that while the government is losing revenue on importation, the manufacturing or assembly plants are not achieving the aims of the policy.”