Business
Ban on alcoholic sachet beverages, ‘ll trigger economic catastrophe – Labour
*Says nation’s industrial sector may collapse
*Begs for suspension as N2tn investments, 5.5m jobs, others face uncertainty
The Food, Beverage and Tobacco Senior Staff Association, FOBTOB, has warned that the Senate’s recent directive to the National Agency for Food and Drug Administration and Control, NAFDAC, to ban alcoholic beverages in sachets and containers below 200ml by December 2025 could plunge Nigeria into an unprecedented economic crisis.
Speaking at a press conference in Lagos, FOBTOB President, Jimoh Oyibo, said the directive—if implemented—would not only destabilize the nation’s manufacturing sector but also wipe out billions in investments made by indigenous companies.
He noted that the Association was “deeply worried” by the sudden order, especially after the House of Representatives had previously suspended the ban pending wider consultation with stakeholders.
Oyibo stressed that the Senate failed to grant fair hearing to the industry before issuing its directive.
According to him, the House of Representatives had earlier taken a more balanced approach by calling for a public hearing, engaging stakeholders, and directing NAFDAC to adopt a consultative process before implementing any form of restriction.
Oyibo said: “It is concerning that the same NAFDAC which participated in the recently validated National Alcohol Policy has now gone to the Senate seeking enforcement of a ban. This contradicts the spirit of fairness because only one side appears to have been heard.“Industry players have invested close to Two Trillion Naira in machinery and raw materials. If this ban is enforced, all of this will go down the drain. Over 500,000 direct employees and about five million indirect workers will have their jobs jeopardised.
“The ban will destroy indigenous companies, erode capacity utilisation, and open the market to smuggling of unregulated foreign alcoholic products. This completely defeats the purpose of the ban and will put Nigerians at greater risk.”
The FOBTOB President argued that claims that minors are the primary consumers of alcoholic sachets are not supported by independent studies conducted by government agencies.
According to him, despite these findings, manufacturers have spent over a billion naira on nationwide responsible-drinking campaigns aimed at discouraging underage consumption.
He warned that if the ban takes effect, the country should expect a surge in adulterated and unregulated alcohol products, as “Nigerians will always find a way,” thereby worsening public health risks.
FOBTOB appealed to the Senate to immediately suspend its directive and convene a public hearing to “hear the other side” before making a final decision.
The Association urged lawmakers to consider the newly validated National Alcohol Policy, which recommends regulated liquor outlets, stronger enforcement, multi-sectoral action, and nationwide public enlightenment campaigns rather than outright bans.
It also called on the Senate Committee to visit factories to see firsthand the scale of investments at stake.
Oyibo cautioned that the ban would negatively affect government revenue, lead to massive layoffs, and push many families into hardship.
According to him, “the children we claim to protect may end up out of school when their parents lose their jobs,” noting that the government should not punish investors who have shown faith in the Nigerian economy.
FOBTOB reaffirmed its commitment to ensuring compliance with all regulatory standards and urged the Senate to adopt an approach that protects both public health and national economic stability. (Vanguard)
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