|
Getting your Trinity Audio player ready...
|
Syringe manufacturing company exits Nigeria, joins P&G, GSK to stop operations over ‘challenging business environment’
Another company, Jubilee Syringe Manufacturing (JSM), the largest syringe manufacturing venture in Africa, has officially ceased operations in Nigeria.
The company, which was inaugurated in 2017 by former Vice President Yemi Osinbajo and based in Awa, Onna LGA of Akwa Ibom, attributes its decision to unforeseen circumstances impacting business operations.
Despite discontinuing production several months ago, the official announcement of the end of operations came on December 31, 2023.
JSM, known for its significant role in the healthcare sector, particularly in syringe production, expressed the necessity to implement temporary measures for long-term sustainability.
In a memo addressed to all employees, the company outlined the challenging situation, placing all positions, including workers, on temporary redundancy effective January 1, 2024.
The statement, titled ‘Temporary Redundancy – Service Not Needed Till Further Notice,’ conveyed the unfortunate news to the workforce, emphasising the challenging business environment as the driving force behind the difficult decision.
The memo acknowledged the dedication and performance of the employees, clarifying that the decision is not a reflection of their individual contributions.
It concluded by instructing employees to return all company belongings in their custody. The company expressed gratitude for the understanding and cooperation of the workforce during these challenging times.
Jubilee Syringe Manufacturing’s decision to cease operations reflects the harsh realities of the business environment, impacting even significant players in critical sectors. The halt in production, coupled with the temporary redundancy of positions, underscores the economic challenges that businesses face, highlighting the need for adaptability and resilience in uncertain times.
This announcement by JSM adds to the long list of companies that have exited Nigeria in months.
Recently, consumer goods giant Procter & Gambles said it would dissolve on-ground operations in the country.
The announcement meant that famous brands such as Omo, Sunlight, and Lux, which many Nigerians had become accustomed to, would no longer be on retail shelves.
The company’s decision to end production in Nigeria is not unconnected to increased financial difficulties occasioned by the continued devaluation of the naira, among others.
Before P&G’s announcement, GlaxoSmithKline Consumer Nigeria Plc, the country’s second-biggest drug producer, announced it was halting manufacturing operations in Nigeria.
According to a statement published on the Nigeria Exchange, GSK Plc (Headquartered in the UK), which owns a majority stake in the Nigerian unit, said it will appoint third-party distributors to sell its prescription medicines and vaccines in the country.
GSK’s consumer-health arm, Haleon Plc, also informed GSK Nigeria of its “intent to terminate its distribution agreement in the coming months” and appoint a third-party distributor.
Earlier, Sanofi, a French pharmaceutical multinational, announced its exit from Nigeria.
Far from the healthcare sector, an announcement was made by Bolt Food, revealing the decision to discontinue food delivery operations in Nigeria due to business reasons.
Follow the Neptune Prime channel on WhatsApp: https://whatsapp.com/channel/0029Va74ZvU2v1IqKByXoX3d
Do you have breaking news, interview request, opinion, suggestion, or want your event covered? Email us at neptuneprime2233@gmail.com
