Huggies maker exits Nigeria, cites harsh economic system
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Kimberly-Clark, the American multinational and makers of “Huggies”, has introduced its resolution to cease native manufacturing and gross sales operations in Nigeria.
This marks the top of its 14-year presence within the nation.
The firm disclosed this resolution in a press release launched on Friday.
It attributed the transfer to its lately adjusted world strategic priorities and the prevailing financial situations in Nigeria.
“Kimberly-Clark today announces it has made the difficult decision to exit its business in Nigeria after almost 15 years, due to recently refocused company strategic priorities globally as well as economic developments in the country,” the assertion learn.
The firm stated it would shut down its manufacturing facility and industrial workplace in Lagos, discontinuing the manufacturing, advertising, and gross sales of its Huggies and Kotex merchandise in Nigeria.
The firm assured all that its foremost precedence is to fulfill its commitments and be certain that workers and companions are handled with equity and respect throughout the transition.
Kimberly-Clark had invested considerably in Nigeria, opening a manufacturing unit within the Ikorodu space of Lagos in 2022, which was estimated to price over $100 million.
The firm’s exist follows a latest development of multinational companies exiting the Nigerian market.
In August 2023, GlaxoSmithKline Consumer Nigeria Plc introduced plans to switch its enterprise actions to a third-party organisation.
Similarly, in November 2023, French pharmaceutical firm, Sanofi-Aventis Nigeria Limited, halted its direct operations within the nation.
By December 2023, Procter and Gamble additionally revealed plans to shift from native manufacturing to importing its merchandise.
The departure of those worldwide corporations alerts a difficult enterprise setting in Nigeria, prompting reassessments of market methods by world companies.
