Inflation, power, weak Naira push manufacturing cost up by 30% in H1, 21
Nigerian manufacturers ran on increased production cost in the first half of the year, as foreign exchange challenges, epileptic power supply continue to batter their bottom-line gains.
According to data compiled by Ripples Nigeria, the total cost of listed firms across various categories rose by 30 percent to N725 billion in the first half of the year from N557 billion in the same period in 2020.
The cost incurred by these firms represented 51 percent of their combined revenue of N1.41 trillion.
This pressure faced by the firms will be more significant should administrative and distribution costs be factored in for this analysis.
Some of the half Year audited financials surveyed include NASCO, Unilever, Cadbury, Nestle, Nigerian Breweries, BUA cement, Dangote Cement Plc
Others are Lafarge, Fidson Healthcare, and May & Baker Nigeria Plc.