The Chief Executive Officer of Guinness Nigeria Plc, Mr. John Musunga, has emphatically stated that the company has no intentions of exiting the Nigerian market.
On the contrary, the renowned beverage company is making substantial capital investments and expanding its production capacity in the country.
In a recent briefing with journalists in Lagos, Musunga explained the company’s new operational strategies for distributing its products in Nigeria amidst ongoing foreign exchange challenges. He made it clear that Guinness Nigeria remains deeply committed to the Nigerian market, citing the positive reception of its brands by Nigerian consumers. Musunga stated, “We have no intention now, or in the future, to exit from the Nigerian market. We are delighted with the opportunities Nigerian consumers are giving to our brands. They consume our brands, and we want to continue to deliver value to them.”
To support its expansion goals, Guinness Nigeria has acquired 25 acres of land in the Ikeja industrial area. This expansion plan aligns with the company’s strategy to tap into the vast opportunities present in Nigeria and significantly expand its production capacity. Additionally, the company has invested heavily in new state-of-the-art water recapture plants in Lagos and Benin as part of its commitment to sustainability.
Guinness Nigeria is also boosting its spirit production capacity by introducing new equipment, and this capacity expansion is set to be commissioned in 2024. Musunga expressed the company’s dedication to serving its customers and the Nigerian market better, emphasizing that their investments and actions reflect their determination to remain in Nigeria.
The recent announcement by Guinness Nigeria regarding the marketing of its imported finished products is part of its strategy to streamline operations. A new company will be created to handle the importation and distribution of the finished spirit products in Nigeria, allowing Guinness Nigeria to focus on its locally manufactured products.
The move is largely attributed to the challenges faced by the devaluation of the currency and its impact on the company’s foreign exchange exposure. By redefining how imported spirits are distributed, Guinness Nigeria aims to optimize its foreign exchange resources for the procurement of raw materials and focus on its core business.
Musunga also expressed optimism about the government’s measures and believes that stabilizing the currency and reinvesting subsidy savings in development will ultimately benefit consumers and manufacturers like Guinness Nigeria. He acknowledged that while there may be short-term challenges, the long-term prospects for the company remain bright, demonstrating its commitment to the Nigerian market and its resolve to overcome existing hurdles.
