N800bn Investment, 500,000 Jobs at Risk Due to Ban on Sachet Beverages

• Manufacturers Association of Nigeria (MAN) and Distillers and Blenders Association of Nigeria (DIBAN) express concerns over ban on beverage production
• They anticipate adverse effects including potential loss of over N800 billion in investments and displacement of 500,000 jobs

The Manufacturers Association of Nigeria (MAN) and the Distillers and Blenders Association of Nigeria (DIBAN) have voiced concerns over the ban on producing beverages in sachets and small-sized bottles. They anticipate adverse effects, including the potential loss of over N800 billion in investments and the displacement of 500,000 jobs.

Expressing their reservations in Lagos on Friday, the associations cautioned that enforcing the ban by the National Agency for Food and Drug Administration and Control (NAFDAC) could have detrimental repercussions on the economy.

MAN’s Director-General, Segun Ajayi-Kadir, urged the federal government to reconsider the ban, proposing instead implementing regulations and access control. He highlighted that many stakeholders in the sector are local investors who have made significant financial commitments, often relying on loans to sustain their operations.

Ajayi-Kadir emphasized the detrimental impact on local businesses, underscoring their steadfast contributions to the Nigerian economy. He urged the government to enhance support through access control, stringent regulations, and initiatives to combat the proliferation of counterfeit beverages.

Echoing similar sentiments, Executive Secretary of DIBAN, Mr John Ichue, stressed that the ban would affect not only the direct workforce of 500,000 individuals but also their dependents. He appealed to NAFDAC to facilitate legislative hearings by the appropriate House Committee before enforcing the ban, advocating for a thorough review of the decision’s implications.

Both associations emphasized the importance of safeguarding local industries and jobs, urging comprehensive measures to address concerns while promoting the growth and sustainability of the beverage sector.