Nigeria’s spirit market is worth two billion dollars ($2 billion) and it is increasing at six per cent average yearly, according to a report by the Global Agricultural Information Network, GAIN.
While imported spirits account for $500 million, local spirits dominate the sector with 75 per cent share as they are cheaper than the imported brands, it added.
The report, however, said imported spirits of various classifications, including the international brands, continue to have preference among Nigeria’s growing young and educated middle class. The report obtained by The Nation, contains assessments of commodity and trade issues made by United States Department of Agriculture (USDA).
According to the report, which was prepared by GAIN’s Marcela Rondon and Uche Nzeka, Nigeria’s 160 million people provide a large market for alcoholic beverages worth more than $6.5billion. It said while spirits consumption constitutes about 30 per cent of the market, beer and wine share 55 per cent and 15 per cent.
Although the GAIN report noted that local spirits lead the market, they, however, do not meet the standards of the increasing high- and middle- class consumers preferred premium brands.