P&G’s impressive local content drive and expansion strategy

Procter and Gamble (P&G) is a leading name in the Fast Moving Consumer Goods (FMCG), producing well-known brands such as Pampers, Ariel, Always, Duracell batteries, Oral-B, Safeguard Complete, Ambi Our, among others.

Having been in Nigeria in the last 20 years, the firm has invested millions of dollars in the manufacturing sector. The climax of such investment is the completion of the ultra-modern $300 million plant at Agbara, Ogun State, making it the United States of America’s largest non-oil investment in the country, with the promise of creating over 2000 direct and indirect jobs and engaging over 300 small and medium scale enterprises (SMEs).

Aside the huge investment, the general excitement of Nigerians over the company is that the majority of staff are Nigerian citizens while most of its raw materials are sourced locally. This underlines the firm’s local content drive, which centres on deliberate utilisation of Nigerian human resources, material resources and services.

‘’Over 95 percent of employees are local. P&G is committed to supporting Nigeria’s prosperity and Vision 20:20 20,’’ said Laurent Philippe, group president, Central Europe, Europe, Middle-East and Africa(CEEMEA), P&G, during the commissioning of the project last Thursday.

‘’We source the majority of our raw materials locally, ‘’ added Yaser Sheto, manager, P&G Agbara Plant, while answering questions from newsmen.

Philippe enthused that 85 percent of the firm’s products sold in the country were manufactured locally, adding that the new Agbara plant would help to accommodate significant expansion of the current diaper lines and other category growth in the country.

To underline its expansion drive, the firm intends to make many more investments in 5 years.

‘’The size of the plant here(at Agbara) is 400,000 square metres, and we are expanding by bringing in businesses that will be locally produced,’’ said Yannis Skoufalos, global product supply officer, P&G, Cincinnati.

P&G commenced operations in Nigeria in 1992 and started production of Always and Vicks in 1993. While it launched Oral B toothpaste and Safeguard Antibacterial soap across West Africa in 2011, it acquired 40.2 hectares of land for a new plant the same year.

Information from the company shows it currently has over 3000 direct and indirect employees through its offices, suppliers and distributors and has created over 200 SME jobs.

George Nasser, managing director, P&G Nigeria said more expansion should be anticipated.

‘’We are constantly expanding our range of offers to suit customers,’’ he stated.