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Senate Commends Dangote-Sinotruk’s Investment In Vehicle Assembling In Nigeria

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Senate Commends Dangote-Sinotruk’s Investment in Vehicle Assembling in Nigeria

Olushola Okunlade Writes

Chairman of the Senate Committee on Industry, Senator Tokunbo Abiru has commended Dangote Sinotruk West Africa for its impressive commitment to Nigeria’s economic development through investment in a vehicle assembly plant in the country.

According to him, with Dangote Sinotruk West Africa, Nigeria’s path to self-reliance in vehicle assembling has begun. “We want to encourage the company to continue to see how best to make Nigeria self-reliant in vehicle assembling as well as encourage other players in the value chain to also get on board”, he said.

Abiru said in as much as members of the Senate Committee on Industry  would prefer a factory setting where almost everything are manufactured here in Nigeria, “we believe what Dangote Sinotruk have in place is a very good starting point towards achieving backward integration in vehicle assembling in Nigeria.”

He stated: “What the company is doing is one of the ways you can advance the economy of this country. The company has a production line that assembles trucks that are needed for economic activities in Nigeria. For us in the Senate, this is a very good starting point. Our desire is for Completely Knocked Down parts (CKDs) to be manufactured here in Nigeria.

“The Dangote Sinotruk plant will assist the government to preserve foreign exchange that would have been used to import trucks into the country. The company is also providing employment to many Nigerians. What we need on the part of the government is to continue to support the company to grow,” Abiru added.

In his remarks, Group General Manager, Dangote Sinotruk West Africa Limited, Hikmat Thapa, thanked the Senate Committee members for taking out time to tour the vehicle assembly plant.

Senate Commends Dangote-Sinotruk’s Investment in Vehicle Assembling in Nigeria

Thapa said the company seeks to meet the growing demand for the automobile industry required for logistics, construction, food & beverage industries in Nigeria to support the government’s efforts to boost economic development across the country.

In his presentation to the Senate Committee members, Assistant Manager, Sinotruk West Africa, Engr. M.J Kogis disclosed that to support the Federal Government’s backward integration drive for Nigerian products, the company is planning a project expansion to enhance value addition and increase local inputs to 40 – 60 per cent within West Africa.

According to him, Sinotruk has installed the capacity to assemble and produce 15 – 16 Trucks per shift, equivalent to 10,000 trucks annually, adding that this project aims to generate about 3,000 job opportunities across Nigeria. He added that the company has expanded its original structure to create welding and paint lines to fabricate various truck cabins.

“Aside from creating an ‘All-in-one’ complete assembly system, this expansion project enhances the local content of CKD operation. Dangote Sinotruk West Africa Limited is the only company with CKD capabilities in West Africa.

“The quality products of Sinotruk are of a high standard which is reliable and adaptable to any environment, enabling them to stably serve our customers in various climatic environments, working sites, and operational conditions of different countries”, he said.

Kogis identified a lack of foreign exchange and unhealthy competition with automobile companies evading government policies and regulations without proper certification for CKD assembly as some of the challenges confronting the company. “Certified automobile companies tend to run at a loss when placed on the same platform of expenditure”, he added.

He urged the Federal Government to review and implement favourable policies toward the development of automobile companies in Nigeria. He also called on the government to provide grants and financial aid through the Bank of Industry (BOI) and direct forex allocation from Central Bank of Nigeria (CBN) for the opening of Letters of Credit (L.C.)

Speaking on the importance of Dangote Sinotruk on Nigeria’s economic development, Kogis stated: “Dangote Sinotruk West Africa Limited as a Joint Venture aims to play a strategic and key role in the manufacturing and assembly industry to develop trucks to serve the various logistics needs of the populace. With this goal in mind, we are structured to provide employment opportunities to the masses in line with Dangote Group objectives as well as improve the local automobile industry and promote economic development in Nigeria.”

He said the company has the responsibility to assemble and produce a full range of commercial vehicles covering Heavy-Duty trucks, Medium-Duty trucks, Light Trucks, and other semi-trailers, etc.

He added that the company provides employment opportunities to Nigerians, improves the local automobile industry, adds equipment base, and achieves technological advancement in Nigeria to promote the economic development of Nigeria

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Dangote Boosts Abuja Trade Fair

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World Water Day: Dangote, Others Make Case For GroundWater Protection

Olushola Okunlade Writes

The Dangote Group has been described as a significant premium player as over 300 corporate exhibitors are participating in the 17th Abuja International Trade Fair (AITF) that is expected to be declared open by President Muhammadu Buhari on Friday.  

Speaking to newsmen, the Director-General of the Abuja Chamber of Commerce and Industry (ACCI), Ms. Victoria Akai said: “As a member of ACCI, the Dangote Group further strengthens the position of ACCI in implementing business activities and advocating for business-friendly policies.

”The DG said the Dangote-ACCI partnership is strategic and geared towards showcasing made-in-Nigeria products, which will help inform prospective exporters about the available opportunities and processes.  

Ms. Akai said the company had been a significant sponsor of the Abuja International Trade Fair, including this year’s Trade Fair. In the same vein, the President of ACCI, Dr. Al-Mujtaba Abubakar, told newsmen that the theme for this year’s exhibition: “Creating an Export Ready Market through SMEs Digitization,” offers a wide range of opportunities for Small and Medium Enterprises to ginger their performance, and especially in relation to the non-oil sector.  

He said: “The Abuja International Trade Fair, since its inception, has served Nigeria as a trusted global trade destination and a potential market for over 50,000 consumers.”

The 17th AITF is scheduled to hold between Friday, September 30 and Sunday, October 9, 2022, at ACCI Abuja International Trade Fair Complex.  

The Dangote Group’s Executive Director of Government and Strategic Relations Engr Mansur Ahmed said the partnership with ACCI offers the company the opportunity to display its numerous innovative products while contributing its quota to the Nigerian economy through Trade Fairs and expos.  

He said the President of the Group Alhaji Aliko Dangote is passionate about developing the Nigerian economy, exporting made-in-Nigerian goods, earning foreign exchange, and creating jobs for the populace. Engr Ahmed said the company is desirous of entering into any strategic partnership that will set the country on the path of rapid growth and development.  

Aside government, the Dangote Group is the second biggest employer of labour in Nigeria.  

A statement by the Corporate Communications Department of the company said a special help desk has been set up at the company’s pavilion to respond to queries while urging participants to leverage the numerous innovative products which include the: Dangote Fertiliser, Dangote Sugar, Dangote Cement, Dangote Salt, and lots more.  

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PhotoNews: LCCI President Visits Association Of German Chambers Of Commerce And Industry (DIHK) In Berlin, Germany

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LCCI President Visits Association Of German Chambers Of Commerce And Industry (DIHK) In Berlin, Germany

Olushola Okunlade Writes

The President of the Lagos Chamber of Commerce (LCCI), Dr. Michael Olawale-Cole, CON, has paid a courtesy visit to the Association of German Chambers of Commerce and Industry (DIHK) in Berlin, Germany.

Asiwaju Dr. Michael Olawale-Cole, CON met Mr. Heiko Schwiderowski, Director of the Africa section of the Association of German Chambers of Commerce and Industry (DIHK) during a courtesy visit to the Association of German Chambers of Commerce and Industry (DIHK) in Berlin, Germany on Thursday, September 28, 2022.

LCCI President Visits Association Of German Chambers Of Commerce And Industry (DIHK) In Berlin, Germany
President of the Lagos Chamber of Commerce (LCCI), Dr. Michael Olawale-Cole, CON, and Mr. Heiko Schwiderowski, Director Africa Section of the Association of German Chambers of Commerce and Industry (DIHK) during a courtesy visit to the Association of German Chambers of Commerce and Industry (DIHK) in Berlin, Germany on Thursday, September 28, 2022.
LCCI President Visits Association Of German Chambers Of Commerce And Industry (DIHK) In Berlin, Germany
President of the Lagos Chamber of Commerce and Industry (LCCI), Dr. Michael Olawale-Cole, CON, and Mr. Edgar Zedler Head of Regional Affairs NUMOV/ German Near and Middle East Business Association during a visit to the Association office in Berlin, Germany on Thursday, September 28, 2022.

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The Impact Of E-commerce On Supply Chain

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The Impact Of E-commerce On Supply Chain

….as Jumia leads the fast and reliable digital market hub

Olushola Okunlade Writes

The rise of E-commerce and the digital marketplace has changed the composition of consumers buying behavior and expectations, as consumers now expect fast, free shopping and competitive pricing.

This demanding delivery schedule challenges traditional logistics and supply chain models, and companies are now forced to adjust their strategies to provide the low-cost and on-demand delivery service that consumers now demand.

Technological advances in many aspects of our lives have resulted in buying, selling, and other forms of transactions being executed online. Once the consumer makes an online purchase, the work begins to transport the products from the seller to the consumer – and that’s where the logistics sector comes into play.

Statista claims that the logistics sector is one of the pillars of global trade, valued at more than 5.7 trillion euros.

In Nigeria, the logistics and supply sector is growing exponentially. According to the 2018 Logistics & Supply Chain Industry Report, Nigeria’s logistics industry was worth 250 billion naira ($696 million) as of 2018, which represents an increase of 50 billion naira ($140 million) from 2017 statistics. This value has increased over the years. The industry is currently expanding because of improved aviation and rail infrastructure, stronger international relations, expansion in the manufacturing and export industries, and continuous e-commerce growth.

E-commerce and the Supply Chain Sector

The Impact of E-commerce on Supply Chain

The supply chain links numerous parties and organisations, including consumers, enterprises, merchants, financial, and information flows. To deliver high-quality services and products, managing various groups and activities requires a method that can effectively and efficiently integrate interactions among the entities, particularly when organisations use resources from different regions of the world.

The supply chain has grown more adaptable and effective as a result of e-commerce. It has given businesses fresh and creative ways to connect with consumers. E-commerce also has made it possible for companies to offer goods directly to consumers instead of through conventional retail channels.

The increase in e-commerce adoption has made logistics services a necessary component of daily living in Nigeria’s major commercial cities. Access, cycle time, dependability, and cost of logistics are directly impacted by the state of the available infrastructure and the degree of integration. High-performance government agencies, funding, and industry expertise are also essential. Therefore, logistics is a primary marker of economic advancement as represented in trade facilitation and company competitiveness.

How E-commerce is Revolutionising the Supply Chain Sector

The Impact Of E-commerce On Supply Chain

E-commerce has several advantages in the supply chain sector. Firstly, it offers real-time data on inventory levels and order status. This lowers the possibility of stockouts or overstocks by helping businesses to make better decisions about when to produce or order products.

Collaboration between businesses and their suppliers and consumers is also made simpler by e-commerce. For instance, a business can quickly place orders and submit estimates to suppliers. This lessens the amount of paperwork required and helps to speed up the ordering process.

A company like Jumia in the supply chain sector, through e-commerce, connects vendors with consumers across a broad delivery area. As a result, local vendors and international brands can effectively reach more consumers across the country using the platform. In addition, consumers’ shifting preferences, lifestyles, and behaviours have led companies like Jumia to introduce quick commerce to make online shopping more convenient than ever before.

With speed and convenience becoming more important than ever, Jumia opened its logistics services to third parties. Its logistics network smoothly connects hundreds of logistics partners across Nigeria, from small business owners to significant logistics service providers. It offers merchants the advantage of a distributed and scalable logistics service and gives consumers quick access to the products they desire.

What Does the Future Hold for Logistics?

The Impact Of E-commerce On Supply Chain

Technology remains a strategic imperative for supply chain organisations. In the next three to five years, we will see an increase in the adoption of digital supply chain technologies, including those that improve human decision-making.

It is predicted that the future of the supply chain sector will be defined by data, analysed by artificial intelligence, and driven by machines. Gartner has predicted that by 2023, AI techniques will be embedded across 50% of all supply chain technology solutions.

Already, Jumia Logistics is leading the forefront, as the company has invested in machine learning and several data science techniques. This has helped to offer more precise delivery times based on multiple factors, and even to predict the ideal routes that delivery agents can rely on to meet their targets. Consequently, online consumers will have better experiences on the mobile app with greater certainty about the progress of their orders from purchase to delivery.

Furthermore, the company’s move into drone delivery with its recently announced collaboration with Zipline, the world’s largest instant delivery service, is another game changer for the industry. Using the latest instant logistics technology, Jumia will be able to offer consumers living in rural or remote areas on-demand delivery of the products they need.

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