“Nigerians No Longer Able To Buy Beer”: NB CEO Speaks After Release of New Price List for Drinks

• Nigerian Breweries Plc's CEO, Hans Essaadi, has revealed that Nigerians are now struggling to afford beer
• The situation he explained is impacting the company's sales and significant foreign exchange loss
• In reaction, the company have decided to increase the price of its drinks beer brands, including Gulder, 33 Extra, and Heineken

Legit.ng journalist Dave Ibemere has over a decade of experience covering Tech, Energy, Stocks, Investments, and the Economy.

Hans Essaadi, the chief executive officer of Nigerian Breweries Plc, has revealed that Nigerians can no longer afford to buy beer due to the economic situation.

Essaadi stated this at the company's investor call following the release of its 2023 results on Monday, February 19, 2024.

According to Bloomberg, he noted that the previous year (2023) was challenging for the company in terms of sales.

Read also

Cement giants Dangote, BUA, Lafarge explain why prices won't drop below N7,000

His words:

“It has been unprecedented year for our business in Nigeria. We saw a significant decline in the mainstream lager market as a result of Nigerian consumers no longer able to afford a Goldberg after a hard day’s work."

Also, in comments accompanying the financial results, the company's board of directors said:

"The business landscape in Nigeria underwent significant changes in 2023, greatly affecting businesses and livelihoods across the country.

"The redesign of the naira notes led to a shortage of cash, severely disrupting social and economic activities nationwide and setting the stage for a turbulent year.

The year was characterized by high double-digit inflation rates, with food inflation exceeding 30%, the removal of the subsidy on premium motor spirit (fuel), the devaluation of the naira, and a scarcity of foreign exchange. These factors compounded the challenges faced by the population and businesses, making the environment even more difficult."

Read also

Naira: Nigerian Breweries releases new prices for Gulder, 33 extra, Heineken, others drinks

NB announces new prices

Earlier, Legit.ng reported that NB announced changes for its popular beer brands, including Gulder, 33 Extra, and Heineken, among others.

Here is a list of new prices introduced

• Gulder – N950
• Star – N850
• 33 Extra – N850
• Heineken – N1300
• Life – N850
• Legend – N1250
• Tiger – N750

Nigerian Breweries eyes major expansion

In another development, Nigerian Breweries hinted at major expansion with an 80% stake in Distell Wines & Spirits Nigeria.

The company made the proposal before shareholders this week, requesting approval for the acquisition.

The company emphasised that this strategic move was in line with its objective to diversify its product portfolio.

Source: Legit.ng