The Nation Newspaper

Tag: nestle

  • Nestle MD: BIP has built our capacity, improved local content

    The Managing Director, Nestle Nig Plc, Mr. Mauricio Alarcon, has said his company’s Backward Integration Policy (BIP) and the use of more familiar and common ingredients has not only improved the nutritional profile of their products, but also boosted the  economy.

    At the launch of the company’s new variant of seasoning, Maggi Naija Pot, in Sagamu, Ogun State, Alarcon said the seasoning helps families cook better-tasting wholesome southern dishes with less effort while delivering the delicious ‘bottom of the pot taste.’

    He said with over 4,000 farmers, the company uses 80 per cent of locally-sourced raw materials, which has helped its factory expansion.

    Alarcon said: “Most consumers want minimal processes, but desire adequate nutritional needs from any purchased products. With that in mind we fortified our Maggi Naija pot with iodine and other essential nutrients.

    “We have further trained over 1,600 farmers in local technology using soya beans with over 7,000 local maggi traders. In doing this, we have not only increased our capacity, but is also creating wealth.”

    The Category Manager (Culinary), Mr. Nordine Meguini, said the company has brought out innovative solutions to help women cook appetising food for their families.

    On the composition, he said it has a component of stock fish, crayfish and smoked fish to enhance the taste and aroma of Nigerian southern dishes.

    On the unique selling features of the new seasoning, Meguini said: “The maggi Naija Pot has superior taste and aroma, a source of iodine, saves time, money and effort in purchasing different ingredients.

    “The new seasoning makes it possible for people with low budget to enjoy quality mouth-watering food appeal in a unique blend of recognisable local ingredients developed to enhance the taste and aroma of Nigerian southern cuisine giving them that authentic bottom pot taste.”

    He said as a company, Nestle’s driving force is to improve the nutritional profile of their products and work on salt and sodium reduction and the fortification of its products with iron in order to   reduce the risk of under nutrition and contribute to address micronutrient deficiencies.

    The category manager assured that the company will continue using more familiar and common ingredients to create competitive products that are not only healthy but also friendly to customers’ budget.A

  • NSE market capitalisation increases further by N76bn

    NSE market capitalisation increases further by N76bn

    The upward trend continued on the Nigerian Stock Exchange  (NSE) on Wednesday for the second consecutive day with the market capitalisation increasing by N76 billion.

    The News Agency of Nigeria  (NAN) reports that the market capitalisation which opened at N10.121 trillion, rose by N76 billion or 0.75 per cent, to close at N10.197 trillion.

    In the same vein, the All-Share Index inched 221.72 points or 0.76 per cent, to close at 29,498.31, compared with the 29,276.59 recorded on Tuesday due to price gains by some blue chips.

    An analysis of the price movement indicated that Dangote Cement led the gainers’ table with a gain of N7.90, to close at N175 per share.

    It was followed by Nestlé with a gain of N5.01 to close at N875.01 and Total  garnered N5 to close at N265 per share.

    Nigerian Breweries advanced by N3.50 to close at N149.50, while Unilever increased by N1.74, to close at N37.49 per share.

    On the other hand, Seplat topped the losers’ chart, dropping by N81.51 to close at N351.99 per share.

    7UP trailed with a loss of N4.98 to close at N94.77 and Guaranty Trust Bank shed N1.78 to close at N34.01 per share.

    Stanbic IBTC lost 75k to close at N26, while Zenith International Bank declined by 55k to close at N18.95 per share.

    NAN reports that the banking equities maintained leadership as the most sought after, with FBN Holdings recording the highest volume, trading 62.19 million shares worth N318.89 million.

    It was followed by Diamond Bank with an exchange of 41.86 million shares valued at N40.38 million and Fidelity Bank traded 38.78 million shares worth  N40.72 million.

    United Bank for Africa exchanged 34.95 million shares valued at N264.76 million, while Zenith International Bank sold 26.57 million shares worth N506.29 million.

    In all, the volume of shares traded dropped by 58.78 per cent, with a turnover of 343.19 million shares valued at N3.34 billion transacted in 4,905 deals.

    This was in contrast with the 832.52 million shares worth N7.59 billion transacted in 6,259 deals on Tuesday.

  • Nestle Nigeria plans new investments to boost growth

    Nestle Nigeria plans new investments to boost growth

    Nestle Nigeria Plc is considering new investment proposals to strengthen its nationwide production and distribution networks with a view to driving the growth of the consumer goods company.

    Chairman, Nestle Nigeria Plc, Mr. David Ifezulike, told shareholders at the company’s annual general meeting in Lagos that company was considering a lot of investment proposals that should strengthen the operations of the company.

    He said parts of the investment proposals include expansion of its operations in the South East and South-South regions of the country adding that the company will make public announcement of the new investments at the appropriate time.

    Ifezulike commended government’s economic diversification agenda noting that the focus on non-oil sectors such as agriculture and solid minerals would boost national growth.

    He also commended government’s efforts at ensuring local sourcing of raw materials for manufacturing but urged that government needs to ensure availability of foreign exchange for critical raw materials, which cannot be sourced locally.

    He pointed out that the 2016 business year was a challenging year due to scarcity of foreign exchange, devaluation of the naira and unfriendly economic policies among others.

    Nestle Nigeria’s turnover increased by 20 per cent from N151.3 billion in 2015 to N181.9 billion in 2016 but profit after tax slumped to N7.9 billion in 2016 as against N23.7 billion recorded in 2015.

    Ifezulike said that the scarcity of foreign exchange and devaluation of the Naira led to increase in the company’s foreign loans portfolio.

    He however added that current foreign exchange policy by the Central Bank of Nigeria (CBN) has enabled the company to pay back most of its foreign loans.

    In his remarks, Managing Director, Nestle Nigeria, Mr. Mauricio Alarcon, assured shareholders that the company would continue to work to impact the society positively.

    According to him, every day, Nestlé Nigeria touches the lives of millions of people, from the farmers who grow its ingredients to the families who enjoy its products, to the communities where the company operates, and the rural environment upon which it depends.

    “Driven by its purpose that is: enhancing quality of life and contributing to a healthier future, Nestlé Nigeria is committed to enabling healthier and happier lives for individuals and families, local sourcing, capacity building for farmers and rural development,” Alarcon said.

    He assured that Nestlé Nigeria will continue to stay true to the confidence its consumers place in it to guarantee the highest quality standards in the brands they know and trust for healthy nutrition.

  • How to fix economy, by Nestle, Airtel, LCCI chiefs, others

    How to fix economy, by Nestle, Airtel, LCCI chiefs, others

    Business leaders and chief executives of major companies across the key sectors of the economy yesterday stressed the need for the Federal Government to address the challenges of infrastructural gap, policy inconsistency and fiscal and monetary policy mismatch so as to stimulate the nation’s economic development.

    The chief executives and business leaders in the manufacturing, telecoms and financial services sectors as well as economic thinkers and the organised private sector (OPS) met yesterday in Lagos at the Nigerian Stock Exchange (NSE) under the auspices of the 2nd edition of the CEO Roundtable organised by the NSE and Bloomberg.

    The Managing Director, Nestle Nigeria Plc, Dharnesh Gordon, said the problem of inadequate power supply had worsened due to unavailability of gas, forcing companies to resort to more expensive alternatives.

    In a two-point advice to President Muhammadu Buhari, Gordon urged the government to focus on resolving the power problem and to enforce the rule of law as basis for government actions across all tiers of the government.

    According to him, government should discourage the tendency by tiers of government to resort to all sorts of self-helps in the name of revenue generation without recourse to national laws on such issues.

    CEO, Airtel Networks Limited, Mr, Segun Ogunsanya, said Nigeria needs to develop a vision of her own and channel resources to achieving this, noting that a visionary approach to the development of the nation would lead to proper allocation of resources.

    He urged government to take a broad outlook to national economic development, pointing out that while the immediate challenge of foreign exchange (forex) may be important, there are other factors that engender capital and investment flow including infrastructure, political system, security and stable policies.

    Ogunsanya urged the government to leverage on the information communication technology (ICT) potential of the country to drive inclusive economic growth.

    According to him, government should consider digitalisation  as a viable option for growth by creating affordable access to broadband.

    He said the telecoms companies should be considered as part of the manufacturing sector and urged the government to allow broad and non-discriminatory access to forex.

    Director-General, Lagos Chamber of Commerce and Industry (LCCI), Mr. Muda Yusuf, said government should work to rekindle investors’ confidence in the  economy because capital and investment flows from investors are needed to complement government’s developmental drives.

    According to him, government can rekindle investors’ confidence in the economy by the quality and consistency of its policies.

    Senior Economist, Africa and Middle East, Bloomberg Intelligence, Mark Bohlund, noted that Nigeria will be left behind if it fails to fix the power problem.

    He also underscored the importance of strict adherence to rule of law as this will drive investment inflow into the country.

    Director, Investment Banking, Chapel Hill Denham, Mr. Ayo Fashina, called for a more measured and coordinated approach to monetary policies management, describing the current approach as more of guesswork.

    Economist and public policy analyst, Dr. Ogho Okiti, said government needs to coordinate development blueprint and identify policy options that will help to drive the growth of the economy.

    “Money doesn’t grow the economy, policies do,” Okiti said.

  • Why Maggi is number one, by Nestle chief

    Why Maggi is number one, by Nestle chief

    The Managing Director/CEO, Nestle Nigeria Plc, Mr Dharnesh Gordhon, has said the continuous dominance of Maggi in the seasoning market is as result of the company’s safety practices in the production of the brand.

    He spoke during a factory tour of the Maggi plant in Agbara, Ogun State.

    Gordhon said the tour was to let Nigerians know the secrets of the success the brand has enjoyed over decades, which could be attributed to the special ingredients in the product prepared in a unique way.

    He said such practice is maintained from the production line through the supply chain till it gets to the customers.

    Gordhon said each cube undergoes up to 300 quality controls during manufacturing and the adherence  to the original recipe as formulated by Julius Maggi, the founder.

    He said: “This is why over 60 million cubes are sold daily to Nigerians as the maggi cubes are iron fortified and appealing to the low rung of the seasoning market through the affordability of the products  as Maggi is all about innovation, constantly pleasing consumers, always one-step ahead of the game. We are always excited as the cube provides the best colour, aroma and taste to all of Nigerians dishes.

    On ensuring safety, he said: “Nestle always meet with officials of the National Agency for Food and Drug Administration and Control (NAFDAC), either in them visiting our factory to give the necessary certification on our products and also in checking the influx of counterfeit products as we always go to the markets with Nafdac officials to monitor and prevent our products from being counterfeited.

    “The uniqueness of Maggi in Nigeria is a testimony on the qualities of our workers, understanding of our customers and this tour is to open our hands to  our customers for them to know what we are doing as it is also an element of our marketing mix, which is part of our global strategy.’’

  • Nestlé Nigeria canvasses consumption of vegetables

    Nestlé Nigeria canvasses consumption of vegetables

    Buoyed by the need to encourage consumption of vegetables as part of a healthy diet, Nestlé, through the Maggi brand, has engaged over 15,000 Nigerian women through its home garden initiative this year.

    The scheme is an integral part of the yearly Maggi Women’s Forum, which is held in different parts of Nigeria in partnership with various women’s groups, including the Governors’ Wives Forum. At each forum, participants are taught about the importance of nutrition, health and wellness, shown how to raise a home garden and are given a vegetable garden starter pack containing iron-rich fluted pumpkin vegetable (an indigenous vegetable grown in southern Nigeria), and a leaflet. Over the past five years, women in 18 Nigerian states have received vegetable seeds.

    Commenting on the Maggi home garden initiative, Category Business Manager Culinary, Nestlé Nigeria, Nordine Meguini, said: “Maggi helps families to prepare balanced menus, based on nutritious ingredients. The home garden initiative is a simple and sustainable way to promote home cooking with vegetables. The seeds offered are easily grown and do not require specific skills”.

    Speaking on the response to the home garden initiative, Imabong Martins, Regional Consumer Services Manager said, “It has been very positive and encouraging. Women have called in to report on the progress of their home gardens. Some women have even taken this a step further and are now selling the vegetables they grow on a commercial basis”.

    This year, women are encouraged to cultivate and send pictures of full grown-harvest ready plants. The first five women to send their pictures from each association will be visited and presented with a Maggi gift.  This initiative is part of Nestlé’s global commitments to encourage consumption of vegetables as evidence suggests that many people do not reach the recommended level of consumption. The Maggi Women Forum is expected to reach an additional 15,000 Nigerian women by the end of 2015.

  • Analysts optimistic on Nestle Nigeria’s future returns

    Nestle Nigeria Plc has a strong potential to generate double-digit return on investment in the year ahead, according to analysts at FSDH Securities Limited.

    Analysts at FSDH Securities placed “buy” on the shares of Nestle Nigeria, citing the company’s historic performance and ongoing initiatives.

    Nestle Nigeria recently distributed N13.87 billion to shareholders as final dividends for the immediate past business year ended December 31, 2014. Nestle Nigeria had earlier distributed N7.93 billion as interim dividends, bringing total dividend for the year to N21.8 billion.

    Shareholders received a final dividend per share of N17.50, bringing total dividend per share for the year to N27.50. The final dividend was paid from the pioneer profits of the company and as such it was not subjected to deduction of withholding tax.

    Key extracts of the audited report and accounts of the company for the year ended December 31, 2014 showed that turnover rose by eight per cent from N133.08 billion in 2013 to N143.3 billion in 2014. Profit before tax however dropped from N26.05 billion in 2013 to N24.4 billion in 2014. Profit after tax was almost unchanged at N22.24 billion in 2014 as against N22.26 billion in 2013.

    Analysts at FSDH said they considered Nestle Nigeria’s investment and innovation in plants, which should improve efficiency, technical partnership with the parent company and large market size in Nigeria and stable growing population as major drivers in deciding the future outlook of the stock.

    Analysts also noted that Nestle Nigeria’s products have strong demand at all levels, which could moderate the potential downsides that may be created by the prevailing stiff competition in the industry and foreign exchange exposure and possibility of a further depreciation.

    “Our fair value for Nestlé Nigeria Plc share price is N937.29 per share and the stock is currently trading at N850.10. The total return, a combination of the capital appreciation and the dividend, generates 12.68 per cent. Going by historic trend the company shares would always trade at a premium to its fair value,” FSDH Securities stated.

  • Man arraigned for allegedly defrauding Nestle of N100m

    Man arraigned for allegedly defrauding Nestle of N100m

    A 48-year-old man, Giles Nwokolo, was yesterday charged before a Magistrate’s  Court sitting in  Ikeja for allegedly defrauding Nestle Foods Nigeria Plc of N100 million.

    Nwokolo was arraigned before Chief Magistrate Abimbola Komolafe on a five-count charge bordering on conspiracy, fraud and stealing.

    Prosecuting police Inspector Eranus Nnamonu, alleged that the defendant fraudulently tricked Nestle Foods Nigeria Plc to pay him N100 million, an amount said to be greater than the value of services he rendered to the company.

    According to the charge sheet, the defendant, being a staff of Fobim Investment Ltd, with intent to defraud Nestle Foods Nigeria Plc, fraudulently forged some terminal invoices used in collecting terminal charges from the company.

    The charge stated, “That you Giles Nwokolo, being a staff of Fobim Investment Limited, sometime between 2009 at Fobim Investment Limited, No. 23 Caulcrick Crescent Apapa Lagos in the Lagos Magisterial District, did steal about N100 million, property of Nestle Foods Nigeria Plc.”

    Nnamonu said the offence is punishable under Section 278 of Criminal Code Cap 42 Laws of Lagos State.

    However, when the charge was read to the defendant, he pleaded not guilty.

    Magistrate Komolafe granted him bail in the sum of N1million with two sureties in the like sum.

    He ordered that the sureties must be blood relations and must show evidence of tax payment for the period of three years.

    She, thereafter, adjourned the matter till April 23, for hearing.

  • Honey Care Africa wins Nestle prize

    Honey Care Africa wins Nestle prize

    Honey Care Africa has emerged the winner of the 2014 Nestle Creating Shared Value (CSV) Prize.

    The prize, an investment of CHF 500,000, was shared between the winner and runners-up.

    The winners were announced at this year’s CSV forum held in Switzerland.

    The Creating Shared Value Prize rewards innovative businesses that create values for their communities by addressing issues of nutrition, water or rural development.

    Honey Care Africa has the record of pioneering the honey industry in Africa.

    Creating opportunities for all, Honey Care Africa believes in transforming lives across East Africa into pillars of wealth, health and environmental stewardship.

    Honey Care’s success relies on treating farmers and consumers as equal partners in this co-created value chain, designed to increase the incomes of farming families, provide additional pollination for staple crops, sustain environmental balance and bring new sources of nutrition to urban and rural low-income communities.

    Honey Care Africa provides a range of honey products for both personal consumption and commercial food ingredients. The product range include: Honey Care Light+Mild, Honey Care Pure Health, Honey Care Pure +Natural and Honey Care Acacia.

  • Govt partners Nestlé on energy foods

    Govt partners Nestlé on energy foods

    The Federal Government is   partnering   with Nestlé on the  manufacturing and processing of agricultural raw materials, such as maize, sorghum, millet and soybeans, into high-energy nutritious foods.

    It  aims at tackling high incidence of malnutrition and ensuring healthier children.

    The Minister of Agriculture and Rural Development, Dr Akinwumi Adesina, and the Managing Director and Chief Executive of Nestlé Nigeria, Mr Dharnesh Gordhon, broke the news when the Minister visited the  Nestlé factory in Agbara,Ogun State.

    Adesina probed Nestlé for the state-of-the-art technology in its Agbara factory.

    He was  impressed with the breakthrough technology for processing maize and millet into Nestlé all-family cereal, Golden Morn.

    He said  Nestlé’s commitment to responsible sourcing of agricultural raw materials, which has resulted in purchase of over 32,000 metric tonnes of grains from local Nigerianfarmers in 2013 alone,is a clear example of business supporting farming and promoting it as a livelihood of choice that offers an attractive income.

    Nestlé will collaborate with the government to establish farmers group to grow grains such as maize, millet, sorghum and soybeans for the company at the right volume, price and quality.

    He added that Nestlé was an ideal partner for the Transformative Partnership for High-Energy Nutritious Foods, which was launched at the last World Economic Forum in Abuja.

    In his own remarks, Gordhon lauded the federal government for their agricultural transformation agenda which is aimed at growing the agricultural sector and creating wealth.

    He assured the Minister that the company would support the Transformative Partnership for High-Energy Nutritious Foods project.

    He added that the initiative was in line with Nestlé’s global commitments to help increase consumption of whole grains and to help reduce the risk of under-nutrition through micronutrient fortification. These initiatives are of the company’s approach to business, which it calls ‘Creating Shared Value’. This is based on the belief that for a company to be successful over the long term and create value for shareholders, it must create value for society.

    One of the firm’s strategies to increase consumption of whole grains is by re-formulating and redesigning products based on scientific insights. Nestlé has announced a major pledge to improve the welfare of the farm animals in its supply chain, following the signing  of a partnership agreement with NGO World Animal Protection.