AB InBev to ramp up production in Nigeria, amid growing demand
Beer giant Anheuser-Busch InBev has said that it is considering increasing capacity in Nigeria in order to meet increasing demand, according to the company’s CEO Carlos Brito.
While speaking to analysts recently, shortly after the brewer declared it first quarter 2017 results, Brito said that the group was struggling to keep up with demand in Nigeria as the company continues to grow “double digits” in both volumes and sales terms. AB InBev reported double-digit volume gains in Nigeria, as well as increased capacity and further market penetration in Q1.
“We’re pretty much selling everything we can produce. It follows that yes, we need more capacity in Nigeria,” Brito said.
He added that the company is still in the “planning phase” and could not confirm whether capacity would come from the construction of a new brewery or exiting facilities.
“We have some breweries already in place. Some of this capacity will come as an additional line, some could be Greenfields. But it is too early to comment on that,” he said.
He noted that importing beer into Nigeria is not possible, due to “prohibitively” high tariff.
“We have to produce locally. Capacity should also be used not only to continue to support the growth of the local brands, but also enable our global brands to be present in that market as well,” he explained.
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