7 businesses that have left Nigeria in the last 10 years

These exits have thrown thousands of workers back into the unemployment market and also led to an increase in the price of some of the products as users are now forced to pay higher to import them into the country.

Businesses that have left Nigeria in the last 10 years

From 2014 till date, some blue chip companies have called it quits with the Nigerian business climate and these include;

1. Tower Aluminium

The popular pot maker, Tower Aluminium, known for producing pots, plates, spoons, and roofing sheets set up office in Nigeria in 1959 and served several homes in the country and West Africa in general.

The company finally shut down operations in 2020 as it would not overcome the many challenges faced with smuggling, a major issue faced by aluminum companies.

It also faced a ₦2.6 billion lawsuit from Access bank. It was taken over by African Foundries, one of the major steelmakers in the country.

2. Etisalat

Etisalat Group joined Nigeria’s telecommunications industry in 2008.

While highlighting the reasons the company exited the Nigerian market, the Etisalat CEO, Hatem Dowidar, noted the detrimental impact of Nigeria’s macroeconomic conditions, steep currency, devaluation and market challenges.

Etisalat Group exited the Nigerian Market in 2017 to protect the wider interests of the Group and those of its shareholders.

3. WEMPCO

Chinese-owned Western Metal Products Company (WEMPCO), joined the long list of international companies that have exited the Nigerian business climate due to chaotic economic policies.

The company faced challenges in 2019 as the FIRS placed restrictions on the company's account over non-payment of ₦200 million tax.

As at 2018, WEMPCO had shut down a good number of its factories due to low patronage. Investigations had revealed the company lost its market share in the steel industry as cash-strapped customers preferred to buy cheaper substandard substitutes smuggled in from across Nigeria’s borders.

4. Evans Medicals

The company, which started operations in 1954 in Nigeria and famous for its Glucose product and antimalaria drugs like Malar-XT shut down operations in 2017 due to rising production costs and bank debt.

The pharmaceutical company also lost its assets due to debt it incurred after procuring machines and upgrading its production facilities.

5. GlaxoSmithKline Nigeria

GlaxoSmithKline (GSK) in 2023, announced plans to shut down its Nigerian operation ending its 51-year existence in the country.

The manufacturer of household brands like Panadol and Sensodyne, announced it would stop the commercialisation of its prescription drugs and vaccines in Nigeria and instead, adopt a distributor-led model to supply the country with its products.

GlaxoSmithKline produces popular toothpaste, Sensodyne [GSK] Sensodyne

The company noted the challenging business environment with foreign exchange (FX) availability as main issues affecting its operations as it had difficulties in settling foreign currency-denominated trade payables with suppliers.

6. Procter and Gamble (P&G)

Popular consumer goods company, Procter & Gamble in 2023, announced plans to end its ground operations in Nigeria, transforming the country into an import-focused market.

This development came about seven years after the company set up a $300 million diaper plant in Agbara, Ogun State

The company cited rising production costs caused by high import duties, energy costs and the unsteady FX policies which affected its capacity to import raw materials.

7. Shoprite

The multinational supermarket chain announced its exit from Nigeria in 2020 after 15 years of operation.

Shoprite, with nearly 2,000 staff in Nigerian said the decision came after the company re-evaluated its operating model not just in Nigeria, but across Africa.

According to Nairametrics, Shoprite Holdings in Nigeria lost 8.1% of its sales in constant currency terms at the end of the second half of 2019 following the Xenophobic attacks and reprisals in Nigeria. The grocery giant was also hit with the tough business climate with Nigeria’s weakening naira currency and fluctuation FX policies.