Nigeria: BATN Keys Into Naidp, Changes Fleet to Peugeot From Pan

Source from:  Daily Independent 01/05/2015

An indication that the new auto policy of the Federal Government will lead to a drastic reduction in the patronage of imported vehicles emerged recently with British American Tobacco (BAT) of Nigeria taking delivery of different models of Peugeot vehicles from PAN Nigeria Limited in a move described by both organisations as a sign of new things to come between the duo.

According to a statement from PAN Nigeria Limited, BATN bought 4 units of the Peugeot 301, 4 units of 4008, 2 units of the 3008 and 1 unit of the 508, all totaling 11, saying that the stylish cars, which are new definition of the lion brand comes in automatic transmission.

Head, Trade and Marketing BATN, Ademola Omitayo, said their decision to shift to Peugeot cars is to support the new National Automotive Industry Development Plan (NAIDP) as approved by the federal government which emphasized on local patronage of vehicles.

Corporate affairs director of BATN, Freddy Messanvi, said the choice of Peugeot cars was predicated on the company's inventory of Peugeot cars by BAT's operational offices outside Nigeria in terms of after sales and service maintenance. National Sales Manager, PAN, Abubakar Jimeta, highlighted some of the features and other offerings that stands the Peugeot models in the midst of competition, and assured that the company will be up to the task in maintaining all brands of Peugeot cars as it has service outlets all over Lagos and others parts of the country.

According to the head of corporate communications of PAN Nigeria Limited, Musa Usman Bashir, BAT purposely bought these cars in obedience to the federal government's call on Public/private organizations to buy Made -in-Nigeria cars as a support for the automotive policy.

He said contrary to NAIDP critics, there is a drop in the prices of locally assembled cars in comparison to imported ones, explaining that the drop in prices, however, is contrary to the initial fear that the new auto policy will lead to a sharp rise in the cost of imported new and used vehicles.

He noted that many car dealers had projected about 60 per cent increase in the prices of such vehicles following the introduction of the new auto policy in September last year.

As part of the new policy aimed at encouraging local manufacturing of vehicles, the import duty on new and used cars was increased from 22 per cent to 70 per cent; while a zero per cent duty was placed on imported Completely Knocked Down (vehicles).

Recently, Pan Nigeria revived its moribund assembly plant in the country with the inauguration of Peugeot 301 production line in its Kaduna factory.

The Managing Director, Pan Nigeria, Mr. Ibrahim Boyi, said the new plant had been "fitted to handle multiple Original Equipment Manufacturer brand assembly, (and) when operational, we will require additional 250 workers at the SKD level, and over 1,000 workers when we migrate to the CKD." Enditem