Nigeria’s President, Muhammadu Buhari has commissioned the newly established Wagon Assembly Plant in Kajola, Ogun
state, Southwest Nigeria.
President Buhari described the plant as “first of it’s kind in West Africa” during the ceremony.
In his speech, the President said the Assembly Plant project was part of the Corporate Social Responsibility effort of construction company, Messrs CCECC Nigeria Limited in its Lagos-Ibadan Railway Modernisation Project being a section of the Lagos-Kano Railway Modernisation Project.
Represented by Nigeria’s minister of Transportation, Muazu Sambo, President Buhari Stated that the Ministry signed an Agreement in March, 2018 with Messrs. CCECC as Direct Foreign Investment (DFI) by the company in compliance with the Presidential Order No. 5 to promote companies’ involvement in infrastructure development and transfer of technology to Nigeria.
According to the president, expectedly, the Federal Government is to facilitate the establishment of the plant by providing enabling environment and necessary support in terms of Tax Waivers, Utilities (Power and Water Supply), Access Road and Rail Sidings etc.
He further stated that,” this responsibility was carried out meticulously by the Nigerian Government.The ground breaking ceremony of the Wagon Assembly Plant as you may wish to note was performed by the Vice President, Professor Yemi Osinbajo GCON on November 8, 2019.
“It was part of the effort of the Federal Government in the promotion and development of local capacity in Assembling and Manufacturing of Rolling Stock, as well as a means to generate employment and boost economic opportunities for the citizenry.
“The Wagon Assembly Plant is now completed and has a Locomotive and Rolling Depot, having the capacity to produce 500 Wagons per year of Open Wagons, container Flat Wagons and Box Wagons.
“Out of 368 various types of Wagons needed and awarded to Messrs. CCECC, about 220 Wagons of the existing rolling stock procurement contract are to be produced at the Kajola Plant pending when the plant would be transformed to full Wagon manufacturing plant.
“I am glad to announce to you that we are here to commission the completed Kajola Assembly Plant here in Ogun State and to further inform you that the first set of Wagons assembled here in Nigeria is being rolled out for further deployment for freight services,” he said.
The Nigerian leader noted that, with the milestone achieved, his administration is working to open the first University of Transportation in Daura, Katsina State as the intention of the University is to ensure adequate turn out of graduates, technicians, artisans, researchers in different areas of transportation especially railway transportation to guarantee the sustainability of the massive infrastructural provision of this administration on rail transportation.
“We therefore expect that very soon graduands of the University of Transportation Daura and returnees from various Universities in China that were awarded scholarships by Messrs. CCECC will occupy their pride of place in the Kajola Assembly Plant,” he concluded.
Multi-Modal Transportation Systems
Earlier in her remarks, the Permanent Secretary of the Ministry of transportation, Dr. Magdalene Ajani stated that the Kajola Rolling Stock Rail Wagon Assembly Plant complex which is among the numerous initiatives of the Federal Ministry of Transportation, is geared towards development of multi-modal transportation systems in the country.
Dr. Ajani said the project was part of the government’s efforts to boost the ongoing railway modernisation programme, designed to produce rolling stock, wagon, spare parts and maintenance equipment needed for the various railway projects across the country.
Her added, “it is relevant to note that siting of the plant here in Nigeria and the commitment to hiring Nigerians and Nigerian firms for the project affirms Mr. President’s directive on Executive Order 5 which prioritizes Nigerians and Nigerian businesses in the execution and procurement of Science, Technology and Engineering projects and services.”
The Permanent Secretary disclosed that the plant offers an important platform for indigenous technicians, artisans, and others to gain specialized skills for the production and maintenance of rolling stock.
She stressed further that the project is expected to spin up businesses across the country wherever rail network is in existence as well as create job opportunities and improve the technological capacity in the country.
“The completed rail-wagon plant represents a significant milestone in the development of the rail industry not just in Nigeria but in Africa as a whole. The Plant has the capacity to produce five hundred (500) Open, Container Flat and Box Wagons annually. The production of the Wagons will help facilitate the movement of freight and accelerate clearance from the Ports to the Inland Dry Ports and Depots. “
Furthermore, the Plant is expected to create employment opportunities for local key staff at top, middle and low levels and 5,000 direct and indirect jobs. The Assembly Plant with time will be transformed to a manufacturing plant that is capable of producing important components of railway parts that will meet the needs of railway transportation in Nigeria and Africa as a whole.
“There is no gainsay that this is one of the landmark legacies of the Administration of His Excellency, President Muhammadu Buhari, GCFR designed to ensure the sustainability of railway development in the country. The Federal Ministry of Transportation will therefore remain committed to full implementation of Government’s Policy on Railway Modernization and expansion of transportation network, while ensuring environmentally friendly system and socio-economic development of the country,” she stated.
She commended the China Civil Engineering Constructiin Corporation, CCECC for the completion of this project which demonstrates their commitment to promoting economic growth and fostering cooperation in the country.9.
While appreciating the Ogun State Government and the host community for their support and cooperation, Dr.Ajani appealed to them to see the project as theirs and remain committed in their respective roles to ensure the security and sustenance of the facility.
In his Goodwill message, Deputy Managing Director, CCECC Nigeria Limited, Jacques Liao who described the assembly plant as great significance to Nigerian railway modernisation and related industrial development, said it would export relevant railway wagons to West Africa, including the whole African continent in the future.
He was optimistic that the project would create 2000 direct and indirect jobs and become a platform for training local railway wagons production and maintenance technicians and engineers in Nigeria.
Similarly, the Managing Director, Nigerian Railway Corporation,Fidet Okhiria said that the project will reposition Nigeria as a destination of choice for Africans, adding that its presence will also be a catalyst for the growth of the railway service because there is improved access not only to wagons for freight services, but also for spare parts.
He added that the Corporation looks forward to the day that the facility would be fully and finally handed over to Nigerians as it’s railway assets, saying it holds huge potentials for economic diversification.
