The Nigerian Breweries has announced a price increase on all their products, set to take effect from August 10, 2023, in response to the current economic challenges in the country. The decision comes as a result of the continuous rise in input costs and the need to mitigate its impact on the company.
The announcement was made in a letter dated 1st August 2023, and the information was disclosed by Nairametrics. The letter informed consumers and stakeholders that the prices of some of their Stock Keeping Units (SKUs) will be reviewed starting from Thursday, 10th August 2023.
The economic situation in Nigeria has been challenging, with inflation reaching a staggering 22.79% in June. The managed float of the forex market has also led to a depreciation of the Naira, with the currency exchanging for as high as N869/$ at the Investors and Exporters (I&E) window last week Thursday. These factors have put significant pressure on companies like NB PLC.
In their half-year financial results, NB PLC reported N70.6 billion in forex losses as of June 30, 2023. Rising production costs and the increasing cost of raw materials have contributed to these challenges.
As a result of the price increase, consumers and beer lovers across the nation will have to pay more to purchase alcohol from Nigerian Breweries. The price adjustment is expected to reflect the current economic realities and the company’s need to manage its costs effectively.
