The decision stems from the stark financial realities truck owners face
The Nigerian Association of Road Transport Owners (NARTO) has announced a temporary cessation of operations, effective from Monday onwards.
Alhaji Yusuf Lawal Othman, the National President of NARTO, revealed this development in a press release from Abuja on Thursday.
As clarified by Othman, the decision stems from the stark financial realities truck owners face. He emphasized that operational costs have surpassed earnings, rendering the situation unsustainable.
"We are compelled to take this step because our operational expenses outweigh our revenue," stated Othman.
Expressing the gravity of the situation, he added, "We cannot afford to continue incurring losses. Many have already ceased operations, and more are likely to follow suit."
Despite concerted efforts to seek assistance from relevant authorities, including the Federal Government and industry stakeholders, NARTO has encountered a lack of response.
"We have reached out to key figures, including the Chief of Staff to President Bola Ahmed Tinubu, the Minister of Petroleum Resources, and others, but to no avail," lamented Othman.
Highlighting the financial strain endured by members, Othman underscored the contradiction between prevailing freight rates and escalating operational costs.
"The disparity is glaring. While the freight rates remain unchanged from previous years, operational expenses have surged due to fluctuating dollar rates," explained Othman.
He elaborated further on the financial intricacies involved, citing specific examples such as the cost of fuel distribution and the expenses incurred in bridging operations.
"The discrepancies between earnings and expenditures are staggering. It's simply unsustainable," emphasized Othman.
In conclusion, Othman emphasized the substantial investments required to maintain truck fleets, underscoring the economic burden borne by truck owners.
The looming suspension of operations by NARTO signifies a critical juncture in Nigeria's transportation sector, underscoring the urgent need for systemic reforms to address the prevailing challenges.
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