Nigeria Distilleries Limited, a subsidiary of Lexel Group Inc led the spirit market in terms of sales in 2016 according to a recent report released by Euro-Monitor International.
The report showed that the company led the total volume of sales in 2016 because of its strong presence domestically and wide range of affordable products.
Nigeria Distilleries Limited are the makers of Seaman’s Aromatic Schnapps, Lord’s Dry Gin and Regal Dry Gin, which are all very popular among spirit consumers in Nigeria.
Euro-Monitor International further reported that local spirits brands dominated the spirits market which materialised in a 3% growth for the segment in total volume of sales in 2016 and with a projection of 5% increase over the next two years (2017 and 2018).
“Spirits brands such as gin are available in small sachet sizes or small bottles, driving growth among low-income consumers. Cheap spirits are seen as effective alcoholic drinks, as they can provide required satisfaction, without much cost,” the report reads.
Apparently, as noted in Euro-Monitor’s report, the growth of the local spirits market in the country is proportional to the low purchasing power of spirit consumers who could not afford the premium imported spirits as a result of the economic turbulence.
The situation has led to premium brands diversifying into value sector, while others are looking into launching local production of their brands in the nearest future.