Business

Coscharis to Build Auto Assembly Plant

Coscharis Motors, renowned distributor of a wide range of automobiles has started preliminary works to build an auto assembly plant in Lekki, Lagos.

The auto assembly plant, which will be part of its existing showroom and workshop complex at Awoyaya would be a CKD plant.
“The idea of a CKD plan was conceived in Coscharis about three years ago but couldn’t be realised for reasons beyond our control. With the introduction of the New Automotive Policy, it has become imperative to revisit it,” said the Group Managing Director, Coscharis Motors, Mr. Josiah Samuel.

The GMD, who led a tour of the plant site, said it would be spread on 14 hectares of land, stating that it would be a dream come true once it was realised.

Samuel said, “For close to three years we have been in discussion with one of our partners JiangSu Joylong Automobile Co., Ltd, China, now we have concluded an agreement with them as the OEM organization for the project, they will provide the necessary technical back-up for the project. We have also concluded an agreement with DongFeng Design Institute Co.,Ltd, a company well-known in China for its world class  Auto factory design and management, they will design and mange this project including general oversight.”

He said, “The plant should be able to turn out all models of Buses, Coaster: 18units/day, about 3000units/year and Passenger cars, pickup, MPV: 37units/day, about 10000units/year.”

Discussing the benefits of having an auto assembly plant, Samuel said, “The Automotive Industry is a very important sector of any country, there is always a need for the movement of people and goods from one place to the other, hence the need for mobility.”
An advantage, he said was the population of Nigeria of about 170m and that “54 per cent is in the working class group showing that the demand for automobile, specifically cars and buses is in the increase. The largest portion of the vehicles sold in the country is imported emphasising the need for additional Automobile Assembly Plants in Nigeria.”

Nigeria, he said was one of the largest auto markets in Africa. A total of about 400,000 vehicles (100,000 new and 300,000 used) were imported in 2012. As the 7th most populous economy in the world with a growing middle class of over 38 million and a potential vehicle market of one million vehicles annually, the Nigerian automotive industry with its current assembly of only commercial vehicles will definitely not be able to handle the needs of Nigerians. Nigeria needs cars, buses and light trucks (pickup) assembly/production to fully benefit from the industry’s potentials”.

The company, according to him supports the development of the local auto industry, “Coscharis Motors as one of the leading indigenous auto dealer in Nigeria is willing and ready to support in developing the Nigerian Auto Industry in meeting its potentials, Hence our proposal to move once again to setup an Automotive Plant of world standard in Nigeria.”

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