CFAO NIPEN, the licensee manufacturers and distributors of BIC products has reiterated its commitment to the production of quality plastic products despite the economic recession facing Nigeria.
Chairman of the Board of CFAO NIPEN, Mr. Steve Faderin, gave this assurance during the 41st Annual General Meeting of the company held in Lagos.
Whilst considering the annual general report and accounts of the company, Mr. Faderin noted that the weakening of the naira, scarcity of foreign currency as well as the drastic fall of over 70 Per cent in oil prices have badly impacted the business environment.
He added that stiff competition from cheaper, substandard competitors has also created a pricing gap for NIPEN’s products, he however stated that in spite of this scenario, the ‘Premium Ball Pen and Crates categories maintained about the same sales volume as the previous year.
“In the Razor category, whilst we sustained our market leadership position, the overall market contracted due to the decline in disposable incomes and the unrelenting assault by counterfeiters.”
During the interactive session at the Annual General Meeting, all attendees called on the federal government to come to the aid of the manufacturing sector to avoid a total collapse of the economy.
On the part of the company, according to Mr. Faderin, “NIPEN will continue to apply its Kaizen programme of quality enhancement of its products and maintain adjustments of operational tactics to reduce exposure to foreign exchange fluctuations; the company would also look for further optimisation of operating expenses, preserving the capacity to produce and distribute and be in good position for expansion as soon as the economy stabilises.”
NIPEN, a subsidiary of the CFAO Group in Nigeria is one of the major B to B plastic players with leading position in Crates and Closure Caps categories. It is the manufacturer of internationally renowned BIC Cristal Pen, BIC shaving sticks and the Premium ball pens.