By Omonu YG Nelson
Nigerian Breweries Plc. (NB Plc.), the country’s leading brewer, has notified its direct customers in the West Zone of an upcoming price increase for select products, effective February 19th, 2024. This announcement cites “continued rising input costs” as the main reason for the price adjustment.
The company emphasised its appreciation for existing partnerships and offered limited protection to orders placed before February 19th. Orders fully funded and created in the system before midnight on that date will be delivered at current prices, but only up to a specific quantity to be communicated by individual Regional Business Managers (RBMs). Any additional orders above the designated amount will be charged at the new, higher price point.
The letter assures customers that NB Plc. remains committed to supporting their sales and distribution efforts and encourages them to contact their RBM for further clarification.
While the specific products affected by the price increase remain unknown, this move is likely to impact consumers across the West Zone, potentially leading to higher prices for popular Nigerian Breweries brands like Star Lager, Gulder, and Heineken. The limited protection offered for existing orders may provide temporary relief for some distributors, but the overall impact on sales and demand within the region remains to be seen.
The announcement comes amidst increasing pressure on Nigerian businesses due to rising inflation and currency fluctuations. Many other consumer goods companies have already implemented price increases in recent months. This trend highlights the challenging economic environment currently faced by businesses and consumers in Nigeria.