Nigerian tractor manufacturers and assembly plants have been counting their losses since the Federal Government announced importation of tractors from Belarus with a $250m vote, which is said to be a part of the $681.9m tractor deal.
The local manufacturers believe that had the FG voted such amount in a scheme with local manufacturers, that it would create not less than 40,000 jobs in Nigeria.
Ibifiri Bobmanuel, managing director of Bobtrack Nigeria Limited, one of the topmost manufacturers, told BusinessDay in Port Harcourt in the week that if the president had bought half from home sources, it would create such high number of jobs and in days, it would have impacted the gross domestic product (GDP) of Nigeria.
The FG had announced through the Ministry of Agriculture a double deal with John Deare in California and Belarus to supply various numbers of tractors and implements as well as set up a base in Nigeria including repairs and training of farmers.
The local manufacturers however complained that such deals would have required partnerships involving the locals.
The deal with Belarus is expected to yield 2000 tractors per year but Bobmanuel said Bobtrack is able to produce 6,000, adding that Nigeria’s annual need is at least 10,000 in the next 20 years.
He said every serious country will work with their local manufacturers to ascertain what they can produce, find out what the country needs, and how these local producers can scale up to meet up.
“For instance, our wish is to export to the US but we have not been able to do it because they do not want outsiders to flood their country with foreign tractors and fight their companies but they will help their manufacturers to go out and dominate their markets, and countries like Nigeria will fall to it. The US will give a long list of things you must do first. It is protectionism.
“So, what we have is where your country will not help you (the local manufacturer), but it will now go and help foreign manufacturers. We hope we get to the point where the government will know what to do to local manufacturers.”
Bobmanuel, who is the President of the Rivers Entrepreneurs and Investors Forum (REIF), advised the FG to change strategy. “If not, the local investors may become a case study to foreign investors. The local investors are usually a benchmark to foreign investors to decide whether to invest in Nigeria or not. If they see local investors doing well, they will dream big to come to Nigeria. On the other hand, if an investor sees that setting up abroad would make Nigerian government to come with Dollars to buy large numbers, why would they come to Nigeria?
“It takes courageous investors like us to take all the blows and still remain in Nigeria and invest billions of Naira. We end up getting uninspiring behavious and signals by a FG that goes out to buy tractors and ignore local manufacturers.”
The FG of Nigeria since the days of Goodluck Jonathan through the Muhammadu Buhari regime to Tinubu, has toyed with importation of tractors: $1bn plan with Brazil, $70m with John Deare, $250m with Belarus, plus the mega project of $684.1m which had attracted the attention of House of Representatives by December 2024 for reminder.
The local manufacturers however pointed out that every country has its foreign policy, and this is not to make another country great. “It is designed to project the best for the home country. Africans have failed in that important element of existence. Most third world countries are subservient to first and second world countries.”
Bobmanuel said what differentiates a country from first world, second world, and third world is policy alignment. “The day your leaders see it in what it is and realign their policies, things will change immediately.
“For instance, what policy does an ambassador posted to any country pursue for the home nation! It is this kind of feedback such as business targets, etc. It will not be how to promote the products of the host nation but to that of your home country. You will be meeting major buyers of your home country.
“In that case, Nigeria’s ambassador to Belarus would be selling Made-in-Nigeria tractors to Belarus and to other nations he comes across, not the other way round. Now, as strategic policy, what has Nigeria gained from the work of the Nigerian ambassador to Belarus? We as investors need a lot of educating so govt can know their role.”
The Bobtrack CEO said the tractor manufacturers have intensified efforts to get a window to brief Mr president on the matter. “We know that the FG will benefit even more than the manufacturers. If businesses do well, the GDP will jump and investment outlook of Nigeria will jump, too.”
He used the opportunity to rate the Nasarawa State Government on promotion of industries. “One can freely say that Gov Abdullahi Audu Sule, an engineer, has clear head on what he wants to do for his state. He promotes Bobtrack tractors a lot. Businesses need such belief and opportunity even more than cash to try their capacity. This helps a business to express its abilities. That is what the Nasarawa State government has done for Bobtrack to set up investment worth over one billion naira. We pray the State Government comes through with other promises it made so we can proceed.”
The CEO said attracting investors is no big deal. “It is just a decision, a choice, and the rest is to follow through, and you see investors come running in. That is what the Nasarawa State Government is exhibiting and benefitting from.”
