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Nigerian Breweries Advocates Responsible Management of Returnable Packaging Materials

Lagos: Nigerian Breweries Plc has urged Nigerians to stop crushing and misusing its returnable bottles and crates, stressing their importance to the company’s sustainability goals and environmental protection efforts. Dr. Uzo Odenigbo, Corporate Affairs Director of the company, made the call during a media engagement session on Thursday.

According to News Agency of Nigeria, Odenigbo highlighted a significant challenge faced by the company, wherein individuals collect and crush its bottles and crates for sale to recyclers, diverting them from the firm’s production cycle. He emphasized that this practice undermines the company’s investment in reusable glass packaging, which supports environmental protection and aligns with global sustainability practices.

Odenigbo explained that the company’s glass bottles and crates are designed as sustainable packaging materials because they are reusable and have minimal impact on the environment. However, the illegal destruction of these bottles increases the company’s operational burden, which already involves significant capital costs.

He noted that this issue is not unique to Nigerian Breweries, as other major beverage producers, such as Guinness Nigeria Plc, have reported similar incidents. Evidence shows that bottles and crates of several beverage brands are being crushed and recycled for purposes outside the manufacturers’ value chains.

Odenigbo urged the public, including scavengers and waste collectors, to return used bottles through approved distributors or collection points, where they can be exchanged for cash, rather than selling them for crushing. He appealed to government and regulatory bodies to support manufacturers investing in returnable packaging materials through incentives and policies that promote sustainable production.

Speaking on the proposed introduction of tax stamps on beer products, Odenigbo called for a balanced and practical approach to regulatory enforcement in the alcoholic beverage industry. He argued that beer products pose a low illicit risk and that introducing tax stamps would cause operational disruptions, leading to inefficiencies and increased costs for manufacturers.

Odenigbo stated that the proposal is globally misaligned, as most international markets do not require tax stamps for beer, opting instead for more efficient excise tracking systems. He warned of a risk of market distortion, as uneven enforcement could allow non-compliant operators to gain unfair advantages, undermining fair competition in the industry.

While Nigerian Breweries supports regulatory transparency and compliance, Odenigbo advocated for a fit-for-purpose approach that aligns with global best practices and promotes operational efficiency within the Nigerian market.