Tecno Mobile may set up a local production lines in Nigeria, but the government must remove some of the roadblocks to investments, Stephen Ha, general manager, Tecno Mobile, has said.
Ha was responding to appeal by Adebayo Shittu, minister of Communication, to the company to set up a production line in Nigeria similar to its Ethiopian factory.
The Tecno Mobile boss said, “Nigeria is a key interest market for us and we have considered setting up a massive factory here that will not only create a lot of jobs for Nigerians but also empower her millennials with key interests in technology to get hands-on and be more involved in the development and design of the world next revolutionary smartphones.”
Nigeria's notoriously unreliable public power supply, multiple taxes and security remain some of the major challenges to investment.
Adebayo Shittu, minister of Communication
Shittu, however assured the company that the proposed production line would serve the 200 million Nigerians and the West Africa sub-region as well as create jobs.
“I want to appeal to Tecno Mobile that we are ready to partner with you. We will assist you in every way possible to encourage you,” he said.
He acknowledged government’s failings in the past and its inability to provide an enabling environment for investors to set up locally.
Recall that Samsung recently reeled reasons why the company shelved its plans to set up a manufacturing plant in Nigeria.
Sung Yoon, Samsung CEO for Africa, said that manufacturing a mobile phone requires 400 components and that none is available in Nigeria.
“Other issues that affect the building of a factory in the country are infrastructure, return on investment (ROI) and the grey market. Building a production plant depends on the ROI and efficiency of the economy,” Yoon said.
Presently, Samsung has manufacturing plants in Vietnam, China, South Africa and Korea. Therefore, having one in Nigeria will be in the future.
“Nigeria’s population of 180 million is a power for the future, a reason why Samsung wants to be part of corporate citizenship,” he said.
According to Yoon, every year, Samsung spends about $16 billion globally on research and development (R&D), sells over 700 mobile phones every minute and over 41,000 every hour worldwide.
“Samsung’s African vision was to be the most admired brand, through partnership and profitable growth,” Yoon said.
