Reports went viral two days ago that Procter & Gamble (P&G) may be shutting down its production plant situated in Agbara Industrial Estate, Southwest, Nigeria, exactly one year after launching the $300 million factory.
Earlier reports quoted the reason for the shut down to be that “the company is battling with the challenge posed by government policies that regulate the importation of raw materials for its production.”
PremiumTimes reported that an insider familiar with the development disclosed this to them while another source said the factor responsible for the shutdown was the unhealthy competition being faced by the company.
However, Lailasnews.com has received a statement signed by Temitope Iluyemi, Director Global Government Relations & Public Policy, Procter & Gamble SSA which says these reasons are incorrect.
Read the statement we received below:
AGBARA PLANT CLOSURE: Correct facts about the plant restructuring project
We are aware of the media publications quoting incorrect information about the closure of the P&G Agbara Plant site and hereby issue the correct facts of the plant restructuring project.
P&G is restructuring its Nigeria manufacturing operations to deliver a more effective business operation for now and sustainably for the future. This will entail an exit from production in its Agbara plant.
We will strengthen our manufacturing operations in the Ibadan plant, scale up our contract manufacturing operations as well as continue to invest in our local talents.
P&G is a foremost global consumer goods providing world class products sold in over 180 countries worldwide. This is purely a business decision for a sustainable and innovative business operation in Nigeria.
P&G is a model investor in Nigeria investing economically and socially and investing in technology transfer in partnership with local suppliers, agencies, contract manufacturers and the Government to deliver key development objectives of inclusive growth.
We have been operating with world class standards in Nigeria for over 25 years, we believe in Nigeria’s potential and are here to stay for the long haul developing our Nigerian talent. manufacturing operations in the Ibadan plant, scale up our contract manufacturing operations as well as continue to invest in our local talents.