FG Moves to Enforce Local Vehicle Procurement, Threatens Sanctions for Defaulters
The Federal Government has issued a stern warning to Ministries, Departments and Agencies (MDAs), as well as contractors and suppliers, over non-compliance with its ‘Nigeria First’ policy on local vehicle procurement, declaring that violators will face sanctions.
The directive was made public by the Director-General of the Bureau of Public Procurement (BPP), Adebowale Adedokun, during the signing of a new policy framework in Abuja. The agreement, which focuses on the procurement of locally assembled automotive products, was signed in collaboration with the National Automotive Design and Development Council (NADDC).
The ‘Nigeria First’ policy, introduced under the administration of President Bola Tinubu, is designed to prioritise locally produced goods and services in government procurement processes. It specifically restricts MDAs from sourcing foreign alternatives where comparable local options exist, as part of broader efforts to stimulate domestic industries and reduce dependence on imports.
Under the policy guidelines, the BPP is mandated to maintain and regularly update a register of qualified Nigerian manufacturers and service providers. MDAs are expected to rely on this list when making procurement decisions. Any attempt to bypass local suppliers in favour of foreign alternatives must be justified in writing and accompanied by a formal waiver from the BPP before approval can be granted.
Speaking at the signing ceremony, Adedokun emphasised that the newly introduced framework establishes clear and enforceable compliance standards. These cover all stages of the procurement process, including planning, bidding documentation, contract awards, and contract management.
He warned that any attempt to undermine the policy through false declarations, misrepresentation, or unauthorised procurement would attract strict penalties in line with the Public Procurement Act and other applicable regulations.
“Any false claims, misrepresentation or procurement undertaken outside the approved framework will attract sanctions,” Adedokun stated. “The BPP will not issue a certificate of no objection for procurements that fall outside the list of locally assembled manufacturers approved in the country.”
The “certificate of no objection” is a critical requirement for public procurement approvals in Nigeria, and its denial could effectively halt non-compliant transactions. This move signals the government’s commitment to tightening oversight and ensuring adherence to its local content agenda.
Adedokun further noted that the initiative is expected to improve accountability and transparency in government spending while ensuring value for money. Beyond that, he stressed that public procurement should serve as a strategic tool for economic development, rather than merely fulfilling administrative needs.
According to him, the policy aims to boost local manufacturing capacity, create employment opportunities, and curb procurement-related abuses that have historically plagued the system.
The BPP boss also revealed that the policy is already generating interest among foreign investors, particularly those looking to establish vehicle assembly and manufacturing plants within Nigeria. This development, he said, underscores growing confidence in the country’s automotive sector.
He added that local vehicle assemblers have made significant strides in recent years, improving both the quality and affordability of vehicles produced domestically. This progress, he argued, makes it increasingly unjustifiable for government agencies to rely on imported vehicles when viable local alternatives are available.
Industry stakeholders have largely welcomed the policy, viewing it as a necessary step toward strengthening Nigeria’s industrial base. However, its success will depend heavily on strict enforcement and the willingness of MDAs to fully comply with its provisions.
With the Federal Government now drawing a clear line, the message is unambiguous: adherence to the ‘Nigeria First’ policy is no longer optional, and any deviation will come with consequences.
