Nigeria Distillers Plc has raised concerns over mounting pressures in the country’s manufacturing sector, citing escalating input costs, foreign exchange volatility, and infrastructure challenges as major constraints affecting production.
The company disclosed this following its recent commercial conference, where executives and stakeholders assessed performance and mapped out strategies to navigate Nigeria’s evolving economic landscape.
Cost pressures squeeze operations
According to the company, persistent macroeconomic challenges—particularly fluctuating exchange rates and high production expenses—have continued to strain manufacturing operations, impacting output stability and overall efficiency.
Despite these headwinds, the firm reaffirmed its commitment to sustaining production and protecting jobs across its value chain.
Stronger distributor partnerships
To cushion the impact of these challenges, Nigeria Distillers said it is deepening collaboration with its distribution partners. The move is aimed at improving supply chain efficiency, ensuring consistent product availability, and enhancing operational resilience.
Group Executive Director, Ade Rosiji, emphasised that distributors remain central to the company’s long-term success.
“Our distributors are a critical pillar of our business. Sustainable progress will depend on stronger systems, disciplined execution, and closer collaboration across the value chain,” he stated.
Ambitious 2026 targets
Looking ahead, the company has set ambitious targets for 2026, focusing on:
- Sustaining industrial output
- Expanding market reach
- Mitigating economic pressures on production and employment
Executives noted that achieving these goals will depend heavily on coordinated efforts across sales, marketing, and supply chain operations.
Focus on efficiency and innovation
Discussions at the conference highlighted the need for productivity optimisation, data-driven planning, and improved execution discipline. These measures, the company said, are essential for maintaining competitiveness in Nigeria’s challenging business environment.
Broader economic impact
Industry analysts say improved coordination within fast-moving consumer goods (FMCG) supply chains can drive broader economic benefits, including job retention, increased tax revenue, and growth opportunities for small and medium-scale enterprises linked to distribution networks.
Nigeria Distillers’ strategy reflects a wider push within the manufacturing sector to adapt to economic uncertainties through partnerships, innovation, and long-term planning.
