The Nigerian Breweries (NB), last Thursday, unveiled a N5 billion ultra-modern PET factory to increase its capacity to produce non-alcoholic drinks.
Industry watchers believe that the plant will strengthen its market foothold as the industry leader in the category.
One of the critical challenges facing Nigeria is low foreign exchange earnings, squeezing many firms in Africa’s most populous country. In the second quarter of 2020, crude oil and minerals accounted for 84.35 percent of total export, while the non-oil export had merely 15.65 percent share. But here is a chance by the brewer to earn foreign exchange and save the country from the current FX crunch by exporting more of its products.
According to the Nigerian Breweries, the facility can produce 24,000 bottles per hour and serve as a strategic point to export to West African countries and beyond.
The PET line is expected to produce mostly the Maltina Classic, Vanilla and Pineapple variants, Amstel Maltaand Hi-Malt and is designed with the latest technology that meets global safety and quality standards, the company said.
Analysts believe it will create job and deepen the industry’s capacities.
With recession and unemployment estimated at 27.1 percent, the NB investment is what Nigeria needs, said Ike Ibeabuchi, a manufacturer and investment analyst.
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At the official commissioning of the ultra-modern plant at Ijebu Ode area of Ogun State, Kola Jamodu, chairman, board of directors and executive committee, Nigerian Breweries, noted that the construction of the production line was conceived in order to deepen the availability of non-alcoholic product portfolio in the company and that the addition of the bottling line meant that the company now had capacity to meet current demand of its customers.
Jamodu noted the company was committed to playing its role in supporting the government as a responsible corporate citizen, saying that the company had been listed as one of the highest tax-paying companies in the country and the highest in the manufacturing industry.
He said the commissioning represented another milestone investment which would be utilised to deepen availability of its non-alcoholic product portfolio.
“Our partnership with the state government has seen us invest over N1.6 billion in various community projects and social investments in the areas of education, health, access to potable water, environment, youth and women empowerment,” he said.
On his part, Jordi Borrut Bel, MD/CEO, Nigerian Breweries, said the new PET bottling line would become a central supply and a critical enabler to the company’s plans to export its rich portfolio of drinks outside Nigeria to West Africa and beyond.
“The PET line represents an investment of over N5 billion, and it comes at a time of great uncertainty, where the threat of COVID-19 has made many businesses wary of making such huge capital investments,” Bel said.
He further said that the company would continue to invest huge resources to expand its businesses and help create more job opportunities for Nigerians.
Niyi Adebayo, minister of Industry, Trade and Investment, said that the commissioning of the factory demonstrated the commitment of Nigeria Breweries Plc to Nigeria and its industrialisation drive, saying that it was also a reassurance of the existing fruitful opportunities in Nigerian economy.
He further said that the timing of the event was auspicious for the nation and a vital platform for providing an enabling environment for businesses to grow and create job opportunities for the nation’s teeming unemployed youths.
“We are confident that the commissioning of this plant will bring about economic opportunities for the State and contribute to the non-oil sector of the Gross Domestic Product (GDP). This is even more critical as we seek to diversify the economy,” he said.
He pointed out that the company was playing a strategic role as a key investor in the Nigerian economy, leveraging on its pedigree and commitment to adopting latest technology designed with world-class safety and quality standards to deliver new and innovative quality products.
Dapo Abiodun, governor, Ogun State, commended the company for its commitment to investing in Nigeria despite the harsh business environment, restating the state’s commitment to creating an enabling business environment for businesses to thrive.
He noted that the state government was putting infrastructure in place to drive industrialisation, identifying infrastructure as a key driver to attracting local and foreign investments into the country.
