By Masterweb News Desk

The handwriting is gradually appearing on the Nigerian wall of state of affairs. Multinational companies are gradually moving their headquarters out of the country, and in some cases the entire business outfit. Indications have emerged that Nigerian Bottling Company (NBC) Plc, producers of Coca-Cola, may be on its way out of Nigeria, heading to Cote d’Ivoire. NBC manufactures and distributes over 33 brands of Coca-Cola products in Nigeria. If this comes true, NBC Plc which began production in Nigeria in 1953 would join the long list of multinationals and other companies relocating to neighbouring West African countries in the last few years.

NBC according to reports blames the poor state of Nigerian roads, insecurity and erratic power supply and bank crisis as reasons for its planned relocation. They attribute the economic downturn from bank crisis as a multiplier effect on bad business climate in Nigeria from worsening insecurity and poor infrastructure.

The soft drink giant according to sources, has written major stakeholders about its intention to leave Nigeria. This according to the source, they attributed to the poor state of Nigerian roads, insecurity, erratic power supply and bank crisis resulting to dry up of commercial loans. First Bank reportedly, is the only bank out of a total of 24 in the country that is still granting commercial loans. ( Continues below….. )

Photos Above: Coca Cola Products - 24 can case, single can & single bottle

A NBC spokeswoman speaking on condition of anonymity, denied plans of the company leaving Nigeria. She said NBC would not easily leave the country as she still maintains 13 production plants in the country hiring about 6,000 workers with 200,000 distribution outlets. She questioned: “Where will we go to?” Mr. Clem Ugorji, Coca-Cola Nigeria, Corporate Communications Head, in a press statement denied relocation plans out of Nigeria by the company. “It is absolute falsehood, without any basis,” Ugorji said.

In what seemed to buttress its rebuttal of alleged plans of relocation, Coca-Cola embarked on its traditional Nigerian Christmas tree lighting ceremony started in 2007. On December 10, Lagos State Governor, Babatunde Fashola, lighted Coca-Cola Christmas tree, described as the tallest Christmas tree in Africa. The event took place at the National Arts Theatre, Iganmu, Lagos, where Coca-Cola Nigeria set up the presumed tallest African Christmas tree. The Christmas tree has over one thousand branches adorned with over 7,500 ornaments and illuminated with 40,200 bulbs and light-emitting diodes.

The colourful tree-lighting ceremony was attended by dignitaries from across the country, including media executives, news reporters, music and Nollywood celebrities. Coca-Cola Nigeria Managing Director, Islay Rhind, speaking at the event explained that the idea to grow the tallest Christmas tree in Africa was conceived in 2007. He said: “We have started a tradition by introducing something different in Africa. The tree is not just a tree. It is a reflection of Nigeria’s cultural heritage and tonight we would be recognizing some Nigeria’s great cultures.” ( Continues below….. )

Photos Above: Coca Cola Nigeria 2009 Xmas Tree presumed the tallest in Africa

Coca-Cola has over the years raised its investment profile in Nigeria. In 1999, shortly after the swearing-in of Obasanjo as President of Nigeria, NBC led a delegation to Aso Rock to register support for the new administration. The delegation during it’s meeting with Obasanjo promised to support Nigeria’s economy through increased direct investments. NBC invested over N10 billion naira in the country between 2000 to 2007.

In 2005, the company made an investment of $150 million in manufacturing and new agricultural initiatives in the country. The investment was said to be the largest single injection of foreign funds in the country for some time by a private sector company. In 2007, NBC summed up their promise with the building of the Abuja plant. The Abuja plant was commissioned by President Umaru Yar’Adua in September of that year.

Welcoming guests to the commissioning event, NBC Managing Director, Mr. Roland Ebelt, said: “The commissioning of this facility is the culmination of a commitment made about eight years ago. In 1999, the Coca-Cola System in Nigeria made a commitment to the then newly elected President, Olusegun Obasanjo, to invest over $50 million in the economy. Over the past years, we have fulfilled more than this commitment in several ways, beginning with the commissioning of our ultra modern plant in Benin, we have also invested in modernizing and upgrading all of our production lines as well as our electricity and water supply across the country. Our total investments over years- 2000 to 2007 have amounted to more than N10 billion.”

Ebelt continued: “We are proud today that we have made good our commitment, culminating with the commissioning of the Abuja plant, a state-of-the art facility that can compete with any modern bottling facility in the world. The commissioning of this plant, our 13th in the country, further re-affirms our commitment to the Nigerian economy and to all our stakeholders- the government of the Federal Republic of Nigeria, the more than 50,000 stakeholders who are vital to the sustainability of our business, our customers who have made our products the most popular in the country, our customers whose support and enthusiasm for the business is much appreciated, our suppliers who provide the needed service on time, associates of other companies, and last but not the least, the Coca-Cola Company and the Coca-Cola Hellenic Bottling Company, whose partnership and substantial technical support are so vital to our continuity as well as our staff who strive each day to ensure the success of the business.”

On a different note, a Nigerian industry source speaking on condition of anonymity with regards to Coca-Cola’s reported relocation bid, said: “Repeatedly, the macroeconomic and micro-economic conditions in the country are failing companies, as they become very uncompetitive. Though the closure may not affect adversely the availability, pricing and bottling of the company’s beverages, it is again sad to note that some jobs will be lost. The fact remains that some employed Nigerians would be out of jobs not for incompetence, fraud or retirement but again, because of the failure of the government to provide an enabling business environment. It is clear that Nigeria may have the large market to absorb products, but it does not have the business environment to nurture the production of these products. This probably accounts for why manufacturing companies are considering going to the neighbouring countries to produce and eventually return to Nigeria to sell the products.”

Most consumer goods in Nigeria today, are no longer produced in the country. A look at the labels on these goods would confirm this. This means that Nigeria, ‘The Giant of Africa’ with a population of 150 million, relies on goods from abroad for survival.

116 comments

Comments:

Comment from: Bayode [Visitor]

Do Nigeria's leaders even 'know it is Christmas'? There is gaping leadership vacuum in this country- spiritual, moral, political, intellectual- name it. Nigeria is in serious trouble, and worse still, they don't know it.

Permalink 12/17/09 @ 04:40

Comment from: emeka [Visitor]

Nigeria leaders please wake up and save the nation of increased unemployment. Companies are leaving the country and the leadres are there without plans to reduce unemployment rate in nigeria. Please nigerian leaders wake up!

Permalink 12/17/09 @ 07:09

Comment from: Dennis [Visitor] · http://hot mail.co.uk

I think what the country needs at moment is a young and service minded leader with the interest of the common man in mind, so the old leaders should let go of the wheels of power and let the young at heart do the job of moving the nation forward, FASHOLA is a good example.

Permalink 12/17/09 @ 07:41

Comment from: Kyetu [Visitor]

Iam really sad that big companies like Coca Cola are treatening to leave our country. Even if they do not leave Nigeria, the economy is not favourable for business to bloosom and so they would be forced to reduce their staff strenght and many would be out of job.

My prayer is that may God touch the hearts our our "leaders" to have have a re-think and save the country from total collapse.

Long live Nigeria.

Permalink 12/17/09 @ 07:49

Comment from: Abass Olawale [Visitor]

To me, it's like our leadears are dead insensitive to the situation going on in this country. Where do we start from? All aspects of the economy are beging for attention, even the political atmospher is very cloudy. Unfortunately, all you see and heare coming from our political leaders are disheartening. Is it the Vice President or the Senate President, worst still the so called Anthony General of the Federation? All these people will make inflamatory and unguarded statements that would make you doubt if Nigeria if is in DEMOCRACY!
Well, if it is possible for us the masses to relocate to other neighbouring countries, we are ready. For Nigeria is being run by greedy, carlous and insensitive clique of people. GOD SAFE US FROM THEIR HANDS!!!
They are not ready to make anything work just as commented by Mrs Clinton.

Permalink 12/17/09 @ 07:55

Comment from: Nnamdi [Visitor]

Honestly, i would have taken my business elsewhere if faced with the mountain of difficulties as posed by the Nigerian soceity. And you know what, i will come back and sell big time in nigeria. The country is just in a sorry state.Tired of commenting or appealing , because it gets to nowhere!

Permalink 12/17/09 @ 09:21

Comment from: Ojo Connerstone [Visitor]

I am just too sorry for the common man. For how long do we have to keep tolerating these thieves who call themselves leaders? Where are our priorities as a nation? Shame to you all who can do something and yet do nothing. Shame to you all who have lost their sence of justice for all. Until there is a complete change of attitude from the praise singing man on the street, the thieving will never stop. Wake up my people. Demand your rights NOT alms from the bastard politicians!

Permalink 12/17/09 @ 09:38

Comment from: SolaCessy [Visitor] · http://Permalink

We all need to be prayerful and beg God to send us a MOSES to deliver us. What is governance to those people in Abuja and all the States. It is simply 'let me grab what I can and if there is trouble check out.' But they have forgotten that God is just tolerating them because of the masses they are punishing. HE is trying to prevent a revolution but they care not. They should remember Ghana and Liberia in the days of Rawlings first coming and Sergeant Doe. God has been very faithful to Nigeria preventing wars etc. How much longer can we withstand this? Only God can tell. May He save His people and punish those who are imposing suffering on us.

Permalink 12/17/09 @ 10:27

Comment from: franca [Visitor]

one point we have failed to realise is that we have just one country.Whatever we do today ,we shall account to posterity.those we steal to train thier wards/children in organised schools abroad thinks it ends there,no! it doesn't.They will steal come back whether in good or bad condition.So to those in position of Authority, let us stop corruption and build our country.Let us drop greed for Posterity sake.What goes around comes around.

Permalink 12/17/09 @ 11:47

Comment from: Chukwudum S. Kelechi [Visitor]

I'M Weak over what is going on in this country,but i know that one day the almighty we fight for the poor people of this co my prayer for this country.But the poeple that decline to do what they surpose to do will never go free.

Permalink 12/17/09 @ 12:10

Comment from: Patriot [Visitor]

Its their philosophy that as long as they can get all they can, even if the country fail or collapse, they will run overseas and enjoy their money there. They'v forgotten like the proverbial chicken that shit inside the pot, its its last house that it has messed. Let them eat and run, a time will come that whereevr they are they will not be convenient there, the forces of nature will not allow them to enjoy their wealth. Let them think they have built a fortress around themselves and think that no hardship can reach them, I know Bode George, Sanni Abacha, Tafa Balogun, Alamesheigha and so many of them whom nemesis caught up with will admit that there is a day that one cannot escape no matter his/her influence. Nigerians, one day, our deliverance will come from the Almighty God himself. Let's put our trusts in Him alone and not in any mortal. Only Jesus Christ is the messiah that can surely deliver us from the demons that are terrorising us in human flesh. Look up to Christ and pray for the deliverance of Nigeria.

Permalink 12/17/09 @ 12:24

Comment from: Pica Mensa [Visitor]

It is unfortunate that bad news are constantly coming out of Nigeria--fuel scarcity, insecurity, bad roads, lack of infrastructures, unemployment to name a few--all because of bad leadership. May God save the suffering masses, and help to sanitise the nation by whipping out these evil leaders who concentrate in looting than in caring for the populace.

Permalink 12/17/09 @ 13:55

Comment from: papa [Visitor]

The time has come to think about Baba Ogundes song of yester years that says YORUBA RONU. I am re branding this song now to Nigeria Ronu e.
What hope do we have if Cocacola should relocate out of Nigeria again. Think of the nos of workers that will be jobless again. Nigerians, it is time to rise up and do something .

Permalink 12/17/09 @ 16:48

Comment from: Auwal Hafeez Ahmad [Visitor] · http://Cedar Rapids U.S.A

Please our Leaders that our responsibilities lay upon you! Help Nigeria out of misery! It will be completely unfortunate and diappointing if Giants companies like Coca-Cola, that bring pride, popularity and prosperity in our economy, would be heading their ways out of our their Nation, because they are no longer interested in transacting their main business in the nation, just because of the unscrupulous elements that are distabilizing the nation. All hands most be on deck to restore the nation's first places status. The process most be participatory and holistic in approach.

Permalink 12/17/09 @ 18:58

Comment from: jonathan [Visitor]

this is no news,please we need something serious!..is he dead now?

Permalink 12/17/09 @ 22:23

Comment from: Gregg...USA [Visitor]

There is no salvation for Nigeria. The out look of things are not encouraging. It will only get worst if all we can think of is...."Please God save Nigeria"....and refuse to stand up for our rights. God will not come down from heaven to save Nigeria. In fact God is saying..." I have given you all the tools to take back Nigeria...use them".
How did Ghana become what it is today? Of course they prayed to God, but did not sit back on their behinds and expect God Almighty to come down and deliver them. A single man took the BULL by the horn. If all we can do in Nigeria is to praise sing our voices to useless thieves called politicians that we never even voted for, then Nigerians can keep on sleeping and hope crumbs will fall from the tables of those thieves. Remember that this trend of all these companies moving out of Nigeria is not new; didn't ALL our politicians move out also? They all have mansions outside Nigeria, industries built outside Nigeria....is it refineries outside Nigeria? while those in Nigeria are obsolete. I say a J.J.Rawlings should please come to the rescue of Nigeria. THAT IS THE ANSWER to the problems of NIGERIA. THE LIGHT WILL SHINE AGAIN. We will have educational centers, roads, hospitals, government, electricity, transportation, industries, courts etc that works again.

Permalink 12/18/09 @ 00:14

Comment from: Egharevba Festus Akadi [Visitor]

It is sad to note that, coca cola is planing to leave Nigeria. The greatest problem most companies are facing today in Nigeria is that, there is no enabling environment for their product to sell because there is no money in circulation. It is very unfortunate, out of the twenty four commercial banks we have it is only first bank that is given skeletal facility to business men. How do we expect the business to triumph in our country? CBN should empower and encourage commercial banks to start given facilities to those that have good security. I sincerely beg Lamido to look into the above issues before it get out of hand.

Permalink 12/18/09 @ 04:30

Comment from: Benson Omijie [Visitor]

Coca Cola have contributed immensely to the development of Nigeria. This all sincere Nigerians must Confess. Past and Present leaders not left out of this confession. I must confess that for them to have remain in Nigeria till this moment is a reflection of their love for my dear country Nigeria and a reciprocation of the loyalty of Nigerians to their brand of products. I will appreciate NBC on behalf of all Nigerians even if no other Nigerian does, but I am just one of the numerous Nigerians that appreciate u-NBC. Please Tarry a little while. The reasons given for your intended relocation is quite enormous and sincere enough.
I remember that one of the cardinal programs of President Umuru Musa Yar'dua is on Power supply/generation and distribution. Nigerians are praying for his quick recovery. Join us in prayers than thinking of relocating at this period of the Nigerian Nation. Join us to pray to the creator of the World where things work to touch the heart of NIGERIANS both LEADERS and OTHERS that until they remember that the Nigerian Nation is blessed and that we are the architects of our backwardness, and not until we all change for the good of all mankind, we are heading for doom.
Please bear with us a little. I wonder how you still survive and cope with the multiple factors contending against the survival of businesses with particular reference to epileptic power supply.
Anyway, on a lighter mood if una leave Nigeria, Nigerians go stop to dey drink COCA COLA products. make una pity for the workers for there. where them wan go in an already distressed system? NBC please stay in Nigeria, Things will be better!

Permalink 12/20/09 @ 04:25

Comment from: ade sadowe [Visitor]

Well, i think the so called government of Nigeria should not need any grader or everluators to declare them as "FAILURES" which are operating in a failed state, carrying the failed agender, while deceiving all Nigerians. When the Big corporations like the Coca Cola, lives Niogeria, where and how, will the problems of unemployment be addressed? Wake up and smell the coffee, you lotters and rogues mascurading as politicians. Be prapared to bury Nigeria as a Nation, shame on you all.

Permalink 12/21/09 @ 17:58

Comment from: Adedayo Adekunle-(love all jnr) USA [Visitor]

CoCa Cola shouldnt leave Nigeria.That will be disastrous especially to
company investors and even nigeria as a country.
The Federal government should step in and address the fundamental issues of
banks no giving out commercial loans.
The Nigerian President should step up and call the banks executives like
President Obama did in USA,with a view to resolving the present credit freeze
in the Nigerian commercial sector.
Nigerian leaders should realise a crash in the commercial sector of the economy
will dent Nigeria's image both locally and internationally.
A proactive measure by all legislative arm of government including the senate
and house of representative will help reinstate/solve this huge problem of bank
lending to the commercial sector which has a multiply effect on the economy.

Permalink 12/22/09 @ 09:32

Comment from: NNAMUDI [Visitor]

We dont have leaders,what we have is rulers.Other companies are gone, Why are we raising a dust that Coca Cola is about 2 leave?.My simple Prayer is,WE WILL SEE THEIR END,THEY WILL NEVER SEE OUR END!!!!

Permalink 12/23/09 @ 15:24

Comment from: Muhammad Taufan [Visitor] · http://commodity-onlinetrading.com/best-online-stock-trading.htm

Nigeria's leaders must find solution, so coca cola will not leave Nigeria, or Nigeria's leader must anticipate soon the impact of coca cola leaving

Permalink 12/23/09 @ 18:47

Comment from: Kelly Peaks [Visitor] · http://bambukawiki.net

I can gues it is recession related issue (some global trend) any proves, ideas

Permalink 01/03/10 @ 11:30

Comment from: Natha [Visitor]

I THINK ALL THIS BIG MEN IN NIGERIA SHOULD BE KILL, THEN THINGS WILL BE JUST FINE

Permalink 01/03/10 @ 11:48

Comment from: dada [Visitor]

Nigeria is a country where truth and the fear of God is not known by our leaders,so the economical and structural
strength of the state will be weaken.Our government should profer remedy for this problem in 2010 budjet.

Permalink 01/04/10 @ 04:30

Comment from: dada [Visitor]

Nigeria is a country where truth and the fear of God is not known by our leaders,so the economical and structural
strength of the state will be weaken.Our government should profer remedy for this problem in 2010 budjet.

Permalink 01/04/10 @ 04:32

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Permalink 01/06/10 @ 01:31

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the macroeconomic and micro-economic conditions in the country are failing companies.

Permalink 01/06/10 @ 01:53

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Very good impressive articles and I am also interested in that.

Permalink 01/07/10 @ 10:10

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Permalink 01/10/10 @ 11:37

Comment from: ALIYU IBN HAMZA [Visitor]

NBC Should not leave nigeria soil, why? already the tension is so high, lack of employment is on the high side, by the time they leave they will do more harm than good nigerians in the name of safeguarding their face.Please kindly drop the idea.

Permalink 01/11/10 @ 06:55

Comment from: Joseph Thorton [Visitor]

Nigeria is developing faster though, I dont really see why NBC should poke there face into everything and anything they can interrupt into, true they help but dont you think they are in for something too??

Permalink 01/11/10 @ 13:14

Comment from: cialis [Visitor] · http://www.buy-specialist.com

It is sad to note that, coca cola is planing to leave Nigeria. The greatest problem most companies are facing today in Nigeria is that, there is no enabling environment for their product to sell because there is no money in circulation. It is very unfortunate, out of the twenty four commercial banks we have it is only first bank that is given skeletal facility to business men. How do we expect the business to triumph in our country? CBN should empower and encourage commercial banks to start given facilities to those that have good security. I sincerely beg Lamido to look into the above issues before it get out of hand.

Permalink 01/12/10 @ 18:39

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Permalink 01/29/10 @ 20:54

Comment from: Abba [Visitor]

Let them go, at least we will
have our own soft company.

Permalink 02/05/10 @ 02:53

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Permalink 02/25/10 @ 19:56

Comment from: winddomino [Visitor] · http://www.ledlightsworld.com

Nigeria leaders please wake up and save the nation of increased unemployment. Companies are leaving the country and the leadres are there without plans to reduce unemployment rate in nigeria. Please nigerian leaders wake up!

Permalink 02/26/10 @ 22:57

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Permalink 03/24/10 @ 03:30

Comment from: Nana [Visitor] · http://nanatones.com/artist/681/

Coca Cola is really huge company. I just can not understand how this drink could become so popular all over the world. I can't believe that company could leave the country after $150 million of investment.

Permalink 03/25/10 @ 09:49

Comment from: Chess Sets [Visitor] · http://www.pmpproducts.com

Coke is such a large company and really only care about themselves

Permalink 04/01/10 @ 20:00

Comment from: Moccasin [Visitor] · http://www.themoccasinshop.com

I think that Coke sucks anyway and you should all just stick to the good old Pepsi products! There's really only one way to go and that would be with a can of Dew in your hand. So tell those Nigerians to forget about Coke and look to the birght side.

Permalink 04/14/10 @ 16:26

Comment from: SOLOMON JOHN [Visitor]

if cocacola leaves what would be fate of the employees? May God help this
country.

Permalink 04/15/10 @ 03:56

Comment from: SOLOMON JOHN [Visitor]

if cocacola leaves what would be fate of the employees? May God help this
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Comment from: Robert D. [Visitor] · http://www.BigFeetPJs.com

It is clearly Coca-Cola’s frustration over administration.

After Investing Hugh and providing employment to 6000 employees, and building state of the art bottling plants, it must be tuff decision for Coca-Cola.

---
Robert D.

Permalink 04/16/10 @ 09:20

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Corporations are meant to make a profit along the way they create jobs and revenue for the country. If they do not feel the investment is safe they will leave and take the jobs with them.

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Permalink 05/09/10 @ 09:17

Comment from: Carl Broady [Visitor] · http://sellit2us.com

It really seems a shame to lose more International companies. I really think the government should step in and offer some incentives for them to stay. If power is a problem then maybe the companies could generate their own power with large diesel generators or even by erecting wind turbines to guarantee an uninterrupted electrical supply. Maybe the government could offer these companies some kind of tax breaks or a subsidies to assist them in generating their own power.

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