Thursday, 20 March 2014

POST CONFERENCE REPORT ON AFRICAN AUTOMOTIVE INDUSTRY ALLIANCE (AAIA) HELD ON 18th and 19th April, 2013, LUSAKA, ZAMBIA.




POST CONFERENCE REPORT ON AFRICAN AUTOMOTIVE INDUSTRY ALLIANCE (AAIA) HELD ON 18th and 19th April, 2013, LUSAKA, ZAMBIA.


As Expected Strong Support was given for the Pioneering Conference Targeted at the Zambia Automotive Industry.

As the automotive industry in Africa positions for growth, there is an urgent need for a paradigm shift to survive amidst intense global competition. What are the implications for the auto players in Africa, and how can we leverage ourselves in a new direction that strengthens our competitiveness? Zambia is honored to have hosted the first African Automotive Industry Alliance (AAIA) conference. The Alliance is still at its embryonic stage which looked at this exploratory meeting with the hope of Zambia becoming an affiliate.

First of its kind, the AAIA  2013 Conference promised  to be a focal point in

Zambia’s Motor Industry as the global motor industry trends were being introduced to the local Industry. There was encouraging reception from local and international industry players, Insurers, Bankers, Government, Auto

Dealers, Repairers, equipment suppliers and the Trade Union. Support was strong, and continues to flow in for this symbolic and long-overdue forum to discuss the challenges faced by the Automotive Industry such as; increasing business from the rapidly growing vehicle market and growth in Zambia and
Africa at large.

Collision Auto Africa Limited (CAAL) organized the event hosted by Mr. David C.Chankota, Director General of Technical, Education Vocational and Entrepreneurship Training Authority (TEVETA). As part of the conference program, an exclusive VIP Cocktail Party which took place on the evening of 17th April 2013 whose guest of honor was Honorable Chris Yaluma, Minister of Transport, Works Supply and Communications. The format of the Welcome Cocktail party was small, light, interactive, broad, but unique. The cocktail provided one-on-one and free –flowing discussions with the Minister, top government officials, various captains of the industry from private and public sectors as the Minister welcomed international delegates.

The main event – the AAIA Conference – consisted of a conference and exhibitions that was staged at the Hotel Intercontinental in Lusaka from 18th to 19th April, 2013.

Apart from South Africa and North African countries, there is no other notable and organized motor industry alliance in Africa. As wise, the conference

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derived  theme  “opportunities  and  challenges  in  the  automotive  sector  in
Africa”.

The conference objectives were:

·      Provide a forum of sharing ideas and discuss issues concerning the automotive industry in Africa.

·      Provide networking and educational opportunities in the Automotive Industry in Africa.

·      To provide overview of the AfricanAutomotive Industry and how it can be organized in Africa.

·      Provide a forum for the government and other authorities tolearn andunderstand issues affecting automotive industry.

·      Discuss issues related to environment, technology change, innovation in the global markets.

·      Provide an opportunity for consumers to meet with car manufacturer representatives.

The event had attracted sponsors, exhibitors and delegates from East Africa, South Africa, South-East Asia the U.K and the United States of America. More importantly, delegatessaw the participation of a large selection of local stakeholders.

The conference was expected to feature the Honorable Minister of Commerce, Trade and Industryas the keynote speaker. He was to delivera speech on the global overview of the automotive industry, highlighting the importance of the industry in supporting the economy and employment creation.However, due to other national commitment he could not make it.

Nevertheless the government would be keen to see a creation of a motor industry programme which will bring about standards in the motor industry, provide training and skills including enterprise development that will support the government’s objectives of creating wealth and employment.

The Zambian government was seemingly aware that if the motor industry was developed, it could take advantage of its regional economic groupings to further provide with a bigger market in the COMESA, SADC and EAC.

The VIP welcome cocktail party was graced by the Honorable ChrisYaluma, Ministerof Ministry of Transport, Works, Supply and Communication.

The Minister gave a strong statement in support of the AAIA initiative as he called for organizing the Local Automotive industry in Zambia with the hope of supporting the AAIA Objectives. As the Ministry which holds the largest portfolio of Automobiles in the Country, he told the delegates



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that he will keenly follow the proceeding of the conference including issues that related to standards in the repair process.

Geoffrey Bulayi of AAIA of Uganda, who delivered a speech on opportunities and challenges in the automotive industry in Africa, and the objectives of the AAIA. He encouraged various lagging automotive sectors to form industry clusters to support the objectives of the AAIA if African Countries were to take up opportunities as the automotive evolves in Africa.

Guest Speaker, Ian Groat of South Africa who is Publisher of the Automotive Refinisher magazine presented a talk on the new technology and developments - the car design and outstripping at body shop level. He also did a full overview of World trends and Insurance moves to much closer to good repairs shops to increase a type of process partnership as a new way of thinking in collision repair.

Collision repair industry Scenario Planner, Derrick BwalyaMwango, gave insights on the modern collision repair industry images emerging within the southern Africa (SADC region).

Tim Marshall, Consultant from TTI Global of U.Kcovered all aspects of generic training / capacity building in the automotive industry.

AndriesBekker, a training consultant, talked about vehicle damage inspection, assessment techniques and qualification.WhileDavid Chakonta, Director-General of TEVETA gave a presentation onRecognition of Prior Learning (RPL) a training initiative which TEVETA is working on, to recognize and certify experiential learning to enable acceleration of training in the automotive sector as it upgrades.

Dr. Frik Botha, founder and developer of Deaf Training that has been recognized by the Training Authority in South Africa,shared with delegates on how physically challenged people could be given an opportunity to participate in the skills development strategies in the Automotive Industry.

The famous, informaland vibrantPangananiYouth Association operating on the streets in Lusaka,was on hand to present their view on possible solutions to get the youth out ofPanganani Road and assist with the transition from informal to formal sector in the automotive repair industry.




Competition Consumer Protection Commission (CCPC) as a consumer watchdog was available to ensure that whatever plans are made, the consumer remains protected. They also gave a talk on consumers and their rights in the automotive industry.

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The First National Bank (FNB)had also shown strong support in providing financial literacy and soft loans to the development of the automotive industry. As an established fact, many SMEs face the challenge of accessing loans / financing to sufficiently equip their facilities. FNB is a well- known and trusted brand in the financial industry and its successes linked to the automotive industry are evident. As such their participation was to shed more lightand practical examples on how they have supported the motor industry programs in South Africa.

Dent Doctor Group, a South African franchise with over forty (40) collision repair centers gave a case study on employment creation and enterprise development strategy they have employed in their organization. They were shopping around for joint venture initiatives and investment opportunities.

With the rapid growth of the insurance market in Zambia where the collision repair business is fast growing, insurers’ claim thatan estimated KR250 million, is being generated annually in the repair sector alone in terms of motor accident-damaged vehicles.

Leading vehicle brands/distributors like Nissan CFAO, Toyota Zambia, Action Auto, Pilatus Engineering,Southern Cross Motors, and Yeti Motors had shown strong support to the conference.

Zambia Bureau of Standards (ZABS), who has finalized the development of the

Collision Repair Standards, gave a guideline on which standards are developed.The Government is also made a strong statement in support of the standards with the hope of bringing standardization and upgrading in the industry so as to make a meaningful contribution to the economy.

It was hoped that at the end of the conference a Zambian Motor Industry programme would be ignited so as to formulate a body that will; be working to align the local motor industry to international standards and trends; to sensitize the local players on Government policies regarding the motor industry; represent interests of the members of the motor industry with various Government and industry bodies such as the Ministry of Commerce, Trade and Industry, Zambia Bureau of Standards, Zambia Environmental Management

Agency, Road Transport and Safety Agency, etc. and also to serve as a single source of information for consumer awareness as it ensures quality, standards and ethics enforcement.

CAAL was engaged to selectand lead a tour to attend the Automechanika Show in Johannesburg, to compare notes or take a leaf from developed markets.Mechanism will be formed to enable the sector make a scientific approach that will provide meaningful support to the local economy and the COMESA region and add value to AAIA.

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During the conference delegates were able to visit the various and large number of displays from Japan, South Africa, Zambia, United Kingdom which featured varied repairing equipment, aimed at increasing efficiencies while reducing costs.

Way forward

CAAL with the guidance from the Ministry of Commerce Trade and Industry is to liaise and work on the motor industry development program. They are expected to confer with the developed markets for learning path ways.



TEVETA committed to support the automotive industry using various skills intervention strategies.

Insurance Association of Zambia gave strong support of the collision repair standards bearing in mind the relationship of the collision repair industry and insurers to protect the consumer.

The AAIA considered moving its secretariat to Lusaka when they have done sufficient consultation with other members.
 


African Automotive Industry Alliance (AAIA)

P.O.Box 29324 Kampala, Uganda. , Email : africanautomotivei@yahoo.com , aidaug@yahoo.com , Tel : +256 772632211 , +256 794 632211, Bombo Road, Nalubega

Complex – Kampala , Website: www.africanmotors.org

www.africanmotors.org

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