Wednesday 16 September 2020
BUSINESS DAY
21
TRANSPORTATION Motoring
RailBusiness
ModernTravel
Roads
NRC, shippers count loses over Apapa haulage shut down MIKE OCHONMA
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Autochek owned by Ex-Cars45 CEO acquires Cheki Nigeria, Ghana … to transform auto buying, selling experience for consumers MIKE OCHONMA Associate Editor
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utochek, the automotive technology c o mp a ny re cently founded by Etop Ikpe, former Cars45 chief executive officer, has announced the acquisition of Ringier One Africa Media-ow ned (ROAM) vehicles marketplaces of Cheki operations in Nigeria and Ghana. The new platform will relaunch by the end of 2020. BusinessDay checks on the development reveals that Autochek plans to use technology backbone to transform the automotive buying and selling experience for African consum-
ers, by creating a single marketplace for consumers’ automotive needs, from sourcing and financing to after sales support and warranties, having identified a number of challenges in the car purchase market on the continent,. Despite the average price of used cars in Africa standing at $5,000 (almost three times the current GDP per capita – $1,720), with credit penetration in the auto market at less than one percent, almost every used car is bought without any institutional finance. In a telephone chat with our reporter last Monday, Etop Ikpe confirmed that Autochek aims to address this issue by making auto financing more accessible to consumers across Africa,
as the new company is also now working to standardise solutions around warranties and maintenance, to enable dealers to offer these services more readily to consumers. ROAM, Cheki’s parent company, has transferred ownership and operational control to Autochek, and all Cheki Nigeria and Cheki Ghana outlets will now be rebranded as Autochek. The leading cars marketplace Cheki Kenya remains fully owned and operated by ROAM Africa. Building on Cheki’s 10 years of progress with a network of more than 500 paying dealers, Autochek is set to introduce additional technology solutions that will make it easier for dealerships to service their
customers better. Speaking on the acquisition, Etop Ikpe, Ceo of Autochek says, “We are really excited by this new opportunity to drive the African automotive space forward. Our aim is to create a onestop shop for consumers’ automotive needs, embedding technology at every stage of the process, thereby making the journey of car ownership easier for everyone. Our goal is to continue the great work (of the Cheki team), as well as expand operations into other African territories from 2021 onwards.” The current Cheki Nigeria and Cheki Ghana team remains intact with Cheki Nigeria’s current CEO, Chimezie Okonkwo, staying on with the new company.
igerian Railway Corporation (NRC) re v e nu e g e n e ra tion profile is expected to drop drastically in the next two months following the planned resumption of standard gauge project yesterday from the Ebutte Metta Junction of the Nigerian Railway Corporation (NRC) linking into the Apapa seaport by Chinese Civil Engineering & Construction Corporation (CCECC). Rail to port and port to rail freight haulage operations on the old narrow gauge tracks by the NRC was officially suspended yesterday to enable Chinese Civil Engineering & Construction Corporation (CCECC) resume work along the corridor which was earlier suspended during the out of the coronavirus pandemic. Apart from the enormous revenue loss that will be recorded by the NRC, others like APM Terminal with a larger chunk of rail connectivity for freight movement, ENL and Dangote group and other corporate organisations will also have to pay more by road for the movement of containers in and out of the Apapa port when compared what it costs to transport it by rail. In total, there are six rakes of wagons that can carry either 19 units of 40 feet containers or 38 units of 20 feet containers out of Apapa for different shipping companies. The NRC was operating two shifts daily at some point, but had to drop to one trip a daily as a result of the coronavirus scourge. Due to complete suspension of freight movement that will last between September 15 and Novemver 14, Jerry Oche, Lagos regional district manager (RDM) said, the NRC will be entering into another phase of revenue squeeze. This is coming at a time
when the new Warri-Itakpe standard gauge rail corridor is yet to commence operations as well as the AbujaKaduna standard gauge rail line that is designated strictly for passenger services. While the RDM declined to estimate the exact amount the NRC will lose within the period of freight haulage shutdown, he said, the loss in rvenue will will be enormous. Checks by BusinessDay reveal that throughout the 60 days period when the standard gauge construction by the Chinese company will last, there are speculations that, the locomotives used for the wagons may be deployed to complement the mass transit train services (MTTS) return trip operations from the Iddo to Ijoko terminals. During the last inspection tour of the project by Rotimi Amaechi, Nigeria’s minister of transportation, the CCECC project team said that, there are plans to shutdown the narrow gauge line from September 15 to November 14, 2020 to enable commence project works from the Ebute Metta Junction (EBJ) to link Apapa seaport. The rail line extension to Apapa was an addendum to the $1.5 billion Lagos-Ibada standard gauge. The successful completion will fast track movement of cargo by rail, reduce the pressure from the road as a well as allow free traffic flow within Apapa which has become a national embarrassment over the years.
Rotimi Amaechi
German’s Tipp Oil rebottles deposit policy in Nigeria game changer MIKE OCHONMA
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ipp Oil, leading german premium lubricants producer, has assured that its rebottle deposit scheme, which comes with its quality lubricants, will surely change the game in the Nigerian lube market. The assurance is in line with its resolve of its ‘grand plan’ to play in the Nigerian lube market. Tipp Oil plastic container deposit and buy-back scheme is the world’s first in the lube industry as it buys back its 1, 4 and 5 litre engine oil plastic containers from customers
as a way of protecting the environment. With the buy-back system, the lube takes back empty lubricating oil bottles from its customers for a fee, clean and refill the bottles as a way of saving resources and reducing the burden of nature with plastic waste. The lubricant is currently expanding its distribution network with a global campaign for new distributors for its award-winning and proudly ‘Made in Germany’ quality products. Nigeria is one of the markets in West Africa where the German premium lube manufacturer has received good expression www.businessday.ng
of interest. Maintaining its interest in playing actively in the local lubricants market, Tipp Oil
said it would go through the country’s legal and regulatory processes in achieving this aim. Olaolu Olusina, managing editor, Auto Report Africa, agent for Tipp Oil in Nigeria, said the move is based on the interest expressed by Nigerians in the company’s products following the recent launch of a global campaign for distributors by the company. “Our deposit system (plastic buy back) in the circulation system is generating enthusiasm worldwide. We have received real interest in our products from Nigeria and we are coming into the
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market, fully, soon with our premium lubricants, using our plastic deposit system as a great incentive”. ,” Olusina, quoting Tipp Oil managing director, Sebastian Maier, said The plastic buy back scheme is fast receiving a warm embrace in the markets where the product operates with distributors now using it as incentive to also boost sales. “In Nigeria, Tipp Oil plans to use the deposit scheme to also boost self-employment among the teeming youth, thereby assisting the government in tackling a major problem. The beauty of it all is that the jobs to be created @Businessdayng
through this scheme would be sustainable as the lubricant is also planning to establish a training centre for youth development,” Olusina said. Already in Angola, Ghana, Guinea, Togo and a few other African markets, the range includes car engine oil, gear and hydraulic oil, agricultural machinery oil, marine oil and many others. Offering powerful and innovative lubricants for various applications, it ensures that all its products meet national and international standards and are carefully monitored during design, production, filling as well as during marketing.