Nigerian Breweries to Invest N56bn on Ama Brewery Expansion

Gideon Arinze

The Nigerian Breweries Plc has disclosed plan to spend a total of N56 billion on the expansion of its Ama Brewery facility in Enugu State.
The company also said in 2021, it paid a total of N423.9 million to the Enugu State government in Pay-As-You-Earn (PAYE) taxes as well as a withholding tax of N5.68 million, making it the most consistent corporate tax payer in the state.
The Chairman of Nigerian Breweries Plc, Kolawole Jamodu, who made this known yesterday during the inauguration of the Ama Brewery Expansion Civil works said the impact of the expansion would lead to improved revenue and increased economic activities in the state.
Jamodu explained that the project would be executed in two phases, with the first phase to be completed in 2022, in full compliance with international environment and safety standards.
He noted that when completed, the brewery capacity would be boosted from three million hectoliters to 4.8 million hectoliters in the first phase and to 5.3 million hectoliters in the second phase.
He maintained that the company has 840 staff who contribute to the growth of the state via tax payments and other levies, adding that in 2021, it was awarded the most consistent corporate tax payer to the Enugu State government by the Enugu State Internal Revenue with payments
“We are expanding our business because we see ourselves playing a major role in Nigeria’s future, “he said.
“We are also happy with the support we have received from the Enugu State government which has provided an enabling environment for our business to thrive over the years”.
He thanked the state government for positioning itself as an investment hub, making it conducive for business.
He maintained that over the years, the company has invested hugely in health, education, sports development and community infrastructure in its host community which is part of its corporate social responsibility.
Speaking during the event, the Governor, Central Bank of Nigeria, Mr. Godwin Emefiele said the plant expansion would not have come at a better time than now when the country was trying to recover from the impacts of the COVID-19 pandemic which had disrupted the economy.
Emefiele who was represented by CBN’s Director, Trade and Exchange Department, Ozoemena Nnaji said the central bank was ready to support the NB Plc in its drive to further expand its project in Enugu which would further contribute to the Nigerian economy.
“We are committed to supporting measures by private sectors such as the NB towards improving the Nigerian economy.
“We call on the company to take advantage of the CBN’s interventions for further expansion of other projects, beyond the Ama facility as we work to build an economy beyond the oil sector,” he added.

In his address, Enugu State governor, Ifeanyi Ugwuanyi thanked the NB Plc for its decision to expand further, a move which according to him, will expand the company’s market share in the beverage market.

Ugwuanyi, who was represented by the Secretary of State government, Simon Ortuanya, said the state would always provide an enabling environment for the company, adding that it will supply the company with the needed workforce, regulatory framework and tax regime to ensure that the goals and objectives of the expansion are achieved.

 “Enugu state parades the credential of one of the best states in the country in ease of doing business and remains one of the safest states in the country and this shows how much we are committed to encouraging and partnering with companies and industries in their businesses,” he said.