NB improves local sourcing of raw materials

Nigerian Breweries (NB) Plc, a leading brewer in the country, has continued to improve development of local sourcing of raw materials with focus on sorghum and maltose syrup derived from cassava.

“Local sourcing of raw materials creates shared value for us and our stakeholders,” Nigerian Breweries said in its most recent Sustainability Report.

“It guarantees sustainable supply of materials for the business, reduces dependence on imports, encourages costs and improves our environment performance,” the firm says in the report.

Nigerian Breweries is the country’s largest brewer, playing strongly in the premium and value brands. It has over 60 percent market share and recently concluded merger with Consolidated Breweries.  It is also contributing to the local input preference of the country’s manufacturing sector.

“Our engagement of local sorghum and cassava starch suppliers will continue to make positive impact on the economy of these local people for a long time,” the report states.

According to the company, the impact of their sustainable sourcing strategy will simulate the local economy through their support to farmers.

To improve agribusiness for Nigerian smallholders’ farmers and optimise the cassava value chain, NB partnered two firms- Psaltry International Company Limited, a Nigerian cassava processing company and 2SCALE, a Dutch Consortium- to improve cassava output in the country.

NB also signed a memorandum of understanding with the Federal Ministry of Agriculture and Rural Development (FMARD) to collaborate on the development and commercialisation of hybrid sorghum as part of the local sourcing of raw materials.

“We anticipate that the partnership with FMARD will further expand and strengthen the company’s efforts in developing the sorghum value chain in Nigeria,” said the report.

These partnerships will enhance Nigerian Breweries socio-economic contribution via the agricultural sector and supports the progress the company is making, towards the achievement of one of its brand’s ambition, Heineken to source 60 percent of its agricultural raw materials in Africa locally by 2020.

 

JOSEPHINE OKOJIE