Huggies maker, Kimberly-Clark will soon exit Nigeria after 14 years due to the harsh economic condition in the country.
Glamtush reports that Kimberly-Clark, the American multinational and makers of “Huggies,” has announced its decision to stop local manufacturing and sales operations in Nigeria.
This online news platform learnt that the company disclosed this decision in a statement released on Friday.
This marks the end of its 14-year presence in the country.
It attributed the move to its recently adjusted global strategic priorities and the prevailing economic conditions in Nigeria.
“Kimberly-Clark today announces it has made the difficult decision to exit its business in Nigeria after almost 15 years, due to recently refocused company strategic priorities globally as well as economic developments in the country,” the statement read.
The company said it will shut down its manufacturing facility and commercial office in Lagos, discontinuing the production, marketing, and sales of its Huggies and Kotex products in Nigeria.
The company assured all that its foremost priority is to meet its commitments and ensure that employees and partners are treated with fairness and respect during the transition.
Kimberly-Clark had invested significantly in Nigeria, opening a factory in the Ikorodu area of Lagos in 2022, which was estimated to cost over $100 million.
The company’s exist follows a recent trend of multinational corporations exiting the Nigerian market.
In August 2023, GlaxoSmithKline Consumer Nigeria Plc announced plans to transfer its business activities to a third-party organisation.
Similarly, in November 2023, French pharmaceutical company, Sanofi-Aventis Nigeria Limited, halted its direct operations in the country.
By December 2023, Procter and Gamble also revealed plans to shift from local production to importing its products.
The departure of these international companies signals a challenging business environment in Nigeria, prompting reassessments of market strategies by global firms.
