CWG Plc, an information technology integration company, has called on the National Office for Technology Acquisition and Promotion (NOTAP) to enforce the technology transfer guideline, which states that multinational companies operating in Nigeria should empower their local support partners by giving them 40 per cent of the annual technical support (ATS) fee.
The Chief Executive Officer of CWG Plc, Mr. James Agada made the call when the management of NOTAP, led by its Director General, Dr. DanAzumi Ibrahim paid a courtesy visit to the corporate headquarters in Lagos recently.
According to Agada, the non- enforcement and compliance with the guideline, which stipulates that the original equipment manufacturer (OEM) take 60 per cent of any technical support contract, while the local value added reseller (VAR) takes 40 per cent of the support revenue has led to the loss of over $70 million in 10 years for Nigerian companies.
He told the NOTAP boss that there is a need to enforce the guidelines across board and protect the ICT industry from unnecessary foreign competition, adding that doing so will promote the adoption of Nigerian and indeed CWG’s local content solutions and turn the tide around for the ICT industry.
Responding , Ibrahim, welcomed the call, expressed worries with the state of the economy, noting that it’s important for IT organisations to think ahead and strategise right as oil which was hitherto the mainstay of the nation’s economy is gradually going extinct.
“The state of the economy is worrisome as crude oil is going constantly dwindling and any organization that desires to stay relevant needs to forecast right, develop more competences, information and structure to reach certain levels of sustainability,” he said.
The DG, who also expressed happiness at the CWG’s revelation that NOTAP has impacted its growth, built capacity and allowed savings on remittance to the tune of over $20 million in approximately 10 years for CWG businesses alone, assured that NOTAP would continue to support and enable growth in the ICT sector by making sure the 40/60 percent rule is strictly adhered to.
He added that the revelation gives him added courage to forge on, promising to support CWG and other indigenous ICT companies to work strategically in ensuring that the goals and prayers of the company as met. He said that this support will ensure increased awareness for CWG technology solutions.