Proposes 70% procurement from indigenous firms
By James Adamu
The Senate is proposing a law to make it mandatory for Ministries, Departments and Agencies (MDAs) to prioritise the procurement of locally-manufactured vehicles for their operations.
The “Bill for an Act to Make it Mandatory for MDAs to Give Priority to Local Automobile Manufacturers and Indigenous Companies in Procurement Process and for Related Matters, 2025”, passed second reading on Thursday.
The piece of legislation, which was sponsored by Sen. Patrick Ndubaeze (Imo-North), aims to boost the country’s economy, especially supporting the investments of indigenous auto manufacturers, the likes of Innoson Motors.
One of the key provisions of the bill is that 70% of vehicle procurement for public offices in Nigeria should be done locally from indigenous auto manufacturers.
Ndubaeze, while defending the bill, cited the case of the Chinese that had to place a total ban on foreign imports at the period they were trying to build their indigenous auto industry.
“In Nigeria today, Toyota is more or less the official vehicle. Is it made in Nigeria? No.
“With this law in place, Toyota and other companies will have to move in to establish their manufacturing plants here.
“In that way, we will create Joan for our youths and our economy will be better off for it”, he stated.
Speaking in support of the bill, the Deputy Senate President, Sen. Barau Jibrin, underscored the economic benefits of such a policy.
He said it was a fallout of the sustained public clamour for Made-in-Nigeria products.
Sen. Barau said, “There has been a clamour for the government to patronise locally-made goods.
“This is not just patriotic, it is a sound economic decision. Supporting indigenous companies will help grow our economy, create jobs, and reduce our dependence on imports.”
Several senators backed the bill, noting that one of its major advantages would be to conserve the forex used to import foreign vehicles.
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