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Toyota Zambia
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In Africa the Toyota brand needs little introduction, with its legendarily reliable and hardwearing vehicles being staples of life in many rugged areas. Toyota Zambia is a licensed distributor of Toyota vehicles and HINO trucks with branches in Lusaka, Kitwe and spoke Livingstone. to managing director Dino Bianchi about the company’s African operations.
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oyota Zambia was first incorporated as Mobile Motors N.R. on December 3rd, 1963, but in 1965 changed its name to Mobile Motors Zambia Limited to align itself to the birth of the new nation. 29 years later, after the dawn of Zambia’s multi-
Automotive
“We sell quality, durable and reliable products made for this market
party democracy, Mobile Motors Zambia Limited changed its name to Toyota Zambia Limited. Managing director Dino Bianchi describes Toyota Zambia’s unique selling points as follows: “We sell quality, durable and reliable products made for this market. We provide after
sales support services for all the vehicles that we supply. Our after sales centres and workshops are well equipped to ensure that our customers are well supported.”
Developing skills
Skills development is key to the agenda of any developing nation, and Toyota Zambia is
actively supporting this through its Apprentice Program which will run for 2 years. Its other program targets colleges and universities. The initiative is aimed at giving both technical college and university graduates opportunities to be exposed to real work environments and gain
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Z a m b i a
Dino Bianchi, MD Zambia
“While Zambia is moving into a middle income society, thereby increasing affordability, the high cost of bank interest rates, the unstable exchange rates and recently the high inflation rates have affected the growth of the automotive industry, especially in the last two years or so. the necessary experience in the labour market. The company is also part of the Private Enterprise Programme Zambia (PEPZ)’s business linkages programme, strengthening the relationship between local suppliers and multinational corporations, and in turn supply chains, helping to bring local companies up to the standard expected by the customer.
Recent developments In recent years, Toyota Zambia has focused on better service
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delivery through increased capacity and footprint, opening the Livingstone Branch in 2010, rehabilitating Copperbelt Toyota in 2011 and opening a state-of-the-art K55.6 million facility in 2013. The new facility, which consists of 30 fully equipped service bays for passenger and light commercial vehicles and 2 service bays for trucks, demonstrates Toyota’s commitment to the development of Zambia by providing quality, durable,
reliable and well supported vehicles to various sectors of the economy. The company is also running a number of Corporate Social Responsibility programmes. “We focus on four key areas in our CSR program. These areas are: health, through partnerships with key stakeholders like Beit Cure Hospital, and education: in 2016 we partnered with World Vision to refurbish a classroom block in Lundazi District. “We also focus on Road Safety through partnership with Road Transport and Safety Agency and Global Road Safety Partnership Zambia to teach Zambians about safety on the increasingly busy roads. The other area is Wildlife and Environmental protection. The company also has two accredited local companies in Chipata and Kasama, offering routine maintenance and parts sales for customers in the northeast of the country. This initiative reduces costs
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CHANGING THE WAY CARGO MOVES
T o y o t a
Z a m b i a
“As market leaders, our objective is to increase on our market share while delivering world class standards in the automotive market to our customers. imported second-hand vehicles mainly from Japan and the UK. While Zambia is moving into a middle income society, thereby increasing affordability, the high cost of bank interest rates, the unstable exchange rates and recently the high inflation rates have affected the growth of the automotive industry, especially in the last two years or so.
for customers and creates employment for local people.” As well as reducing costs for customers the initiative also reduces costs for the company, a problem in Zambia where doing business is often expensive.
Challenges
The automotive industry in Africa has in the last decade faced intense competition from
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Bianchi adds, “additionally, because of lack of a motor manufacturing industry, importation of vehicles attract high customs duty at 25%, excise duty of 25% to 30% depending on the engine size and to top this up, VAT is at 16% thereby inflating the cost of the vehicles in the country by 75% to 90%. “The industry is becoming more and more competitive which is good, as it leads to improvement in service delivery by industry players. With the introduction of Vehicle Asset Finance, the Zambian government is working towards diversifying the economy towards agriculture and industrialisation and this will create good opportunities. We only hope at least interest rates
will continue coming down for us to exploit this opportunity for the industry.”
Moving forward
According to Bianchi Toyota Zambia is positioning itself for the future by creating a presence in areas where more economic activities will be happening: “With the government working towards diversification of the economy with specific focus on agriculture and value addition through industrialization, we as an organisation have equally started to reposition ourselves as can be seen in the increase of our branch networks throughout the country. “As market leaders, our objective is to increase on our market share while delivering world class standards in the automotive market to our customers. 2017 has seen us expand into Solwezi where a parts and service facility will soon be opened to effectively support our customers on the new Copperbelt.” Bianchi goes on to describe Toyota Zambia’s busy future.
Automotive
“We have a lot planned for the future of the business. To start with we will soon be opening another branch in Solwezi in order for us to effectively support our customers. “We will also continue to identify local entrepreneurs in strategic locations, or indeed in provincial centres to be appointed as authorised and accredited Service and Parts Sales Centres in C order take our services and products closer to our M customers. This is in a bid to expand our footprint Y in the market as well as create employment opportunities in these communities and include CM local businesses in owning a piece of an MY international brand.�
What We Do
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Here at Hai we have two distinct business offerings. An Enterprise service where your requirements will need high-level experience from the team that delivers your project.
Toyota Zambia Limited
Phone: + 260 978318320 + 260 969198530 Email: ervicedesk@hai-alive.co.zm + 260 211 255037/8
Contact
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P.O Box 33438 Northend Cairo Road Tel: +260 211 229 109- 13 | +260 971 268 000 Email: contactus@toyotazambia.co.zm
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