Production Cost: Sachet, Table Water Producers Strike In Enugu

States that “with effect from Feb. 16 2024, a Bag of Sachet Water (20 sachets) will be sold at N300 to enable the producers to sustain their operations and rescue their businesses from total collapse”
Satchet Water
Satchet Watergoogle

Due to the high cost of production, the Association of Table Water Producers (ATWAP) announced that it would close and cease operations in all Enugu State facilities that produce water.

This declaration was made in a statement released on Sunday in Enugu by the State Secretary of ATWAP, Sir Clems Nwamadi, and Chairman of the Enugu State Chapter, Mr. Tony Edike.

The announcement came after an urgent meeting of the ATWAP Enugu State Chapter on February 8, 2024, wherein members discussed the issues that all association members were experiencing.

The statement outlined that the harsh economic situation in the country, especially as it affects materials and other logistics for the production of sachet water in the state, was critically reviewed.

It said that all Table Water Producers in Enugu State, including those making sachets and pet bottles, must shut down and halt all production from Monday, February 12, to Thursday, February 15, 2024, in order to find a practical solution to the numerous difficulties that members are facing.

The shutdown was made necessary by the sharp rise in the cost of raw materials, which included nylon, packaging bags, purifying materials, water from boreholes outside the city, high energy tariffs, haulage/transportation, diesel, and other maintenance and personnel expenditures.

Another contributing reason was the upward reassessment of different fees levied within their respective regions of operation by state and local government entities.

According to field reports from the association's various zones, a large number of manufacturers had already closed their factories as a result of rising material costs and other production-related issues that raised their rates among members.

The statement further resolved that “with effect from Feb. 16, 2024, a Bag of Sachet Water (20 sachets) will be sold at N300 to enable the producers to sustain their operations and rescue their businesses/investments from total collapse.”

Any defaulter or violator of this resolution, unanimously endorsed by all members of ATWAP Enugu State Chapter, will pay a fine of N200,000 per any truck/driver caught by the ATWAP Task Force already mandated to enforce the exercise.

It is recommended that members utilise the time during the production closure to tidy up their workspace and equipment, as the Task Force will shortly be conducting a factory inspection to verify adherence to standard operating procedures.

The statement concluded by appealing for the cooperation of dealers and consumers, soliciting their understanding during this period to enable producers to remain in business.

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