High cost of fuel, taxes killing transportation business- Ubwa

The Chief Executive Officer of the 360 Auto and Pleasure Travels, Dr. Paul Ubwa, Friday said, the high cost of fuel, tax, and maintenance was killing transportation business in Nigeria.

Ubwa who made this known in an interview with journalists in Makurdi noted that the increase in fuel prices, and tax which has resulted to hike in prices of goods and maintenance, coupled with economic down turn brought about by effect of Covid-19 pandemic has made things really difficult for businesses especially transportation.

He said many transportation companies cannot afford to acquire new vehicles due to the cost, even as some have resorted to buying fairly used vehicles which life span was short.

“Most transport companies will wind up if there is no support by government in terms of palliative or scheme, which guarantee them to buy new vehicles at cheaper cost.

“Most vehicles we acquire for transportation now are second hand and have short life span. The cost of maintenance is high and with constant increase in fuel prices couple with the effect of Covid-19, things are really difficult for the transportation companies. Generally, the common man is being asked to pay too much.

“Food has gone up, fuel has gone up, VAT has increased and cost of spare parts has also increased. Nobody wants to travel these days except it is absolutely necessary,” he added.

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