Nigeria, the largest population in Africa with geographic location at the very centre of the continent is still lagging behind in becoming a hub for supplying aircraft parts as Morocco steps into the big shoes and begins sales of aircraft spare parts to African countries.
Morocco with a population of 35million people is becoming an aviation industrial zone where 100 Boeing suppliers and contractors now operate from.
However, Nigeria has failed to live up to its expectations.
BusinessDay’s checks show that Morocco signed an agreement with Boeing to build a new hub for the US aerospace giant that has begun to create thousands of skilled jobs.
“This is a very important strategic project as we move into a new aeronautical era in Morocco,” Moulay Hafi Elalamy, Industry Minister said.
Morocco which was badly affected by the financial crisis in Europe, its top trade partner, has struggled to contain a ballooning public deficit as the authorities have strenuously promoted the country as a bridge between Africa and the West, in a bid to encourage foreign investment and trade. “The Moroccan aeronautical industry has seen important growth in recent years. The Boeing industrial zone could create up to 8,700 jobs,” said Elalamy.
Last year, Nigeria announced plans to partner manufacturing organisations within and outside the country to establish aircraft assembly plant, however, this never materialised till date.
John Ojikutu, secretary general of the Aviation Round Table, ART and chief executive officer of Centurion Security & Safety Consults said Nigeria does not have technology within the country to back up the plans of government to set up assemble plants.
“We should also look at the local content in terms of material or man power. Whatever thing we really want to do we must create an environment where people coming to invest from outside the country will trust us. The infrastructure is not there, government policies cannot be relied on,” Ojikutu said.
“We have problems with people we gave licence to establish refineries over 16 years and we are not getting anything from it. Government should be careful with their policies so that it attract foreign investors,” he added.
Isaac Balami, President, National Association of Aircraft Pilots and Engineers (NAAPE) months back told BusinessDay that Nigeria can start by fabricating locally and expanding gradually.
He mentioned that the advantage of this will be that most of the man power will be done here but will need to bring in experts from abroad.
Balami noted that Nigeria should address the issue of customs duty waiver, as incentives to attract technical partners.
Tokunbo Fagbemi, the Executive Director, SpringFountain Infrastructure Limited said for investment opportunities to thrive in Nigeria, government will need to provide exemption from certain charges such as customs duties and grant pioneer status, to create a one stop shop for the processing and issuance of all necessary permits and licenses.
“These project will need fiscal support from the Government. The importation and clearing of aircraft spares will need to fall under a different customs clearance regime.
“We will need a special visa regime and dedicated immigration procedure for crew and workmen in the aviation industry. Airport concession fees and other charges will need to be waived or differed for these brand-new aircraft and especially for the MRO bound aircraft,” Fagbemi added.
IFEOMA OKEKE
