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Nigeria to lose N1.9 trillion, 500,000 jobs over ban on sachet alcohol — MAN

by Ramoni Segun Remi
November 13, 2025
in Business Scene, Lead of the Day
0
Manufacturers, industrialists laud suspension of expatriate levy

Director General of the Manufacturers Association of Nigeria (MAN), Segun Ajayi-Kadir

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The Manufacturers Association of Nigeria (MAN) has said the ban on sachet alcoholic beverages by the National Agency for Food and Drug Administration and Control (NAFDAC) would lead to loss of over N1.9 trillion in investments, mostly by local firms, and the retrenchment of about 500,000 direct workers and five million indirect ones.

MAN Director-general, Segun Ajayi-Kadir, said in a statement that the new directive contradicted earlier progressive alternatives agreed upon by all stakeholders.

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He noted that the ban would reduce capacity utilisation in manufacturing, which had only recently begun to improve through the food and beverages sector.

The development, he said, could also wipe out local businesses and weaken indigenous entrepreneurship across the economy.

Ajayi-Kadir urged the Federal Government to cancel directives banning production and sale of alcoholic drinks in sachets and small PET bottles by December 31, 2025.
NAFDAC Director-general, Mojisola Adeyeye, had explained that the decision aims to curb increase misuse of cheap alcoholic drinks among youths and commercial drivers.

Ajayi-Kadir said the claim that minors were abusing the products had been disproved by several independent empirical studies conducted by the government.

He said the industry had, in spite of the survey findings, launched extensive campaigns promoting responsible consumption and discouraging underage drinking.

The MAN DG stressed that the latest directive contradicted the existing position of the House of Representatives on the matter.

He warned that the move, which he described as counterproductive, could trigger severe economic disruptions and undermine the nation’s fragile recovery.

According to him, locally produced sachet alcohol is manufactured under hygienic conditions and certified by regulatory authorities.

He warned that banning such products would encourage the spread of illicit and unregulated alcohol, beyond the control of government agencies, and result in revenue losses.

He also said the move could open the market to foreign brands, many of which were smuggled into the country.

“We therefore make a strong appeal for swift approval and implementation of the validated Nigeria National Alcohol Policy and its multi-sectoral framework.

“We urge the Senate to reverse the ban on sachet alcoholic beverages and restrain NAFDAC from enforcing it from Dec. 31, 2025.

“MAN remains committed to ensuring that members producing sachet alcohol comply with regulations and uphold responsible consumption campaigns,” he said.

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