Manufacturers call on Senate to rescind ban, citing economic and regulatory risks….
The Manufacturers Association of Nigeria (MAN) has warned that the impending ban on sachet and small PET-bottled alcoholic drinks could result in a loss of over N1.9 trillion in investments and trigger a surge in illicit alcohol, potentially undermining public health and local industry.
In a statement on Wednesday, Segun Ajayi-Kadir, Director-General of MAN, urged the Senate to withdraw its directive, which instructs the National Agency for Food and Drug Administration and Control (NAFDAC) to phase out the production and sale of these beverages by December 31, 2025.
“This pronouncement, which we believe is counterproductive and forebodes economic dislocation of significant proportions for the nation, will have serious consequences for the stabilizing economy,” Ajayi-Kadir said.
Economic and Employment Concerns
MAN highlighted that the ban could lead to:
- Loss of N1.9 trillion in investments, primarily from indigenous companies.
- Mass job retrenchments, affecting over 500,000 direct employees and around 5 million indirectly through supply chains, marketing, and logistics.
- Reduced manufacturing capacity utilization, which had been gradually improving in the food and beverages sector.
- Erosion of local entrepreneurship, threatening indigenous businesses and long-term economic development.
Ajayi-Kadir also warned that banning sachet alcohol could open the door for unregulated foreign and smuggled products, posing potential health risks and depriving the government of tax revenues.
Defending Responsible Production
The MAN DG stressed that locally produced sachet alcohol is made under regulated, hygienic conditions, with certification from relevant regulatory bodies.
“To ban the product would open a floodgate of illicit and unwholesome substances that are not subject to regulation and beyond the control of relevant agencies,” Ajayi-Kadir noted.
He urged the Senate to rescind the ban and called for NAFDAC to hold off enforcement after December 31, 2025, while advocating for the full implementation of the Nigeria National Alcohol Policy and its multi-sectoral framework.
Ajayi-Kadir reaffirmed MAN’s commitment to collaborating with members to ensure compliance with regulations and support responsible alcohol consumption campaigns.
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