When we started the business in the 1990s, we did not intend to work in the public sector, but after a decade we conceded. We wanted to work with companies that understood the security risk of managing their business. Those that do, tend to be international companies. 90% of our business is in the private sector, but the public sector is increasingly opening up and presenting opportunities. We want to see a more transparent government. We are strong in the markets that we serve, and we see quite a bit of genuine interest in the different sectors that we attend to. Over the past five years, there has been more of an appreciation for the risk that management brings to a business. Our portfolio is balanced with 50% international and 50% local companies across the sectors. We serve many banks and oil and gas companies. With the elections, we saw quite a spike in our business through managing movement and security, providing vehicle protection, and securing events.
Jan. 11, 2016
Managing Director & CEO, Halogen Security
Chairman of the Board, Inkastrans
Once we complete the plant we will be reducing certain costs on import tax to between 5-10%, which will alleviate some of weight from our shoulders. This means that production will occur in Nigeria, allowing us to sell the same quality, but built in country. The current terrorism and criminal challenges in Nigeria have exposed the fact that the police and military need more modernized and specialized vehicles. We are proud to note that the Nigerian police are pleased with our products. And with the growth in the market, we know they will remain satisfied for some time to come. As part of our services too, Inkastrans offers professional armored vehicles driver training. In this regard, it is worthy to note that we trained the Nigerian Police on the operation of some Riot Control Water Canon Vehicles supplied to them as well as drivers of Ghana's Central Bank when we supplied them with Cash Transit Vans. Nigeria plays a large role in our global operations, and it has been that way for the past seven or eight years. We came at the right time, and began developing a brand.
Chairman, O'la-kleen Group
We were paying 5% duty on imported parts, which increased our overhead costs considerably. However, with the recent lowering of duties as incentives to domestic assemblers, we have now become more competitive. For instance if you want to bring a fully built armored Land Cruiser into Nigeria today, you pay 70% duty. However enforcing these new incentives has been a challenge. This is because many manufacturers are panicking because the borders have been porous, and products enter through the back door. But with the new government's zero tolerance for corruption, the market will begin to shape up. People will be forced to pay the 70% duty. Currently, the duty is much lower than 70% because the borders are so porous. Now that the new government has declared zero tolerance for corruption and nefarious activities, we should begin to see much activity in terms of the manufacturing. I can assure you that because our products are made in Nigeria by Nigerians, they have shown the government that Nigerians have what it takes to produce in their own country, given the opportunity.