AFBTE posts 22.3% income growth in 2018

The Association of Food, Beverage and Tobacco Employers (AFBTE) said that its full year income in 2018 grew by 22.3% to N102m from N83.4m in 2017.

The trade union organization which represents the interest of companies in the food, beverage and tobacco industries said that the sector was beset by influx of imported finished products, which negatively impacted the patronage of locally made goods and thus affected the organisation’s profit margin.

Further describing the sector’s performance in 2018, the Association’s president, Comrade Patrick Anegbe, said that the business operating environment in the year under review faced the usual challenges thus impacting firms in the sector.

He blamed the low income realisation for the organization to the rehabilitating state of the country’s economy and the delay in several actions of the Federal Government.

“Despite coming out of recession as announced by the Federal Government in Q3 of 2017, in Nigeria, the business environment still remains fragile and weak in the course of 2018.

“As a result, the sector suffered a 7% decline in pre-tax profit because of the slow pace of recovery in the economy,” he said.

He noted that the delay in the passage of the 2018 budget and insecurity in some parts of the country constrained business operations in those areas, adding that industry was also impacted by contraction in yield from Federal Government debt instruments, which affected accessibility to funds from banks.

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