Abuja — Federal Government has reiterated its determination to begin immediate revival of the automobile industry in Nigeria.

Vice President Namadi Sambo said this in his office on Thursday while receiving report of the Inter-Ministerial Committee on the Revival of the Automobile Industry in Nigeria.

Sambo had set up the committee to examine issues militating against the smooth functioning of automobile industry in Nigeria following a meeting with chieftains of the industry on June 4.

The terms of reference of the committee included giving suggestions and advice on policy formulation, competitiveness of products, better business models and tax relief matters among others.

The Vice President promised to examine the report of the committee, stressing that government was determined to take action as quickly as possible on the matter.

He, however, noted that one of the major problems militating against the industry has been that of infrastructure, especially power, and which government has taken adequate steps to address.

He further noted that a more daunting challenge remains that of business models and charged the automotive industry operators to evolve a proposal of a proper business model.

Sambo, who advised that products should be made attractive to win patronage, reiterated that Peugeot Automobile of Nigeria (PAN) in a past submission had noted that Nigeria has the lowest tariff when compared with other countries.

Minister of State for Commerce and Industry, Josephine Tapgun, who led the committee members to the Vice President's office, presented the report.