08
Jun

Nosak Distilleries earn Standard Organisation Nigeria’s NIS ISO Certification

Nosak Group has reported that its Distillery Plant, Nosak Distilleries Limited has earned the Standard Organisation of Nigeria’s (SONs) award of NIS ISO 9001: 2008 Certification. Edwin Ibude, Managing Director (MD) of the Company Wednesday made this affirmation to newsmen at a Media Briefing in Lagos Nigeria.

“The Quality Management System in accordance with the requirements of NIS ISO 9001: 2008 was established, documented and is being implemented and maintained. All Nosak product realisation processes are planned to meet customers’ needs in all aspects of quality, cost performance and safety. Adequate resources, including human and infrastructure are provide, to support the production of Food grade Ethanol, in order to ensure that client, regulatory and statutory requirements are met and surpassed” he said.

Ibude said that to maintain a leadership position in the industry, its third (3rd) plant was commissioned February this year. “This raised the daily combined production capacity to 540,000 litres, this capacity in addition to the capacity of other current local producers will be enough to meet the Local Market demand and excess for export Market” he said. According to him, the Nosak Distilleries commenced operation in July 2002 and specialised in the production of Ethanol, with a daily production capacity of 100,000 litres; while it increased this to 250,000 litres per day; following the commissioning of the second plant in October 2007.

On listing the Nosak Group on the Nigerian Stock Exchange (NSE), Ibude said that before the end of the year, Nosak Group will do so, “very soon, we will do so” he said. The MD of Nosak Distilleries further highlighted some of the challenges faced in the operations of the Company; these include infrastructure such as good roads, constant power and water supply.

“These three items as regards our facility in this location are provided by us; no Government is providing any of these things for us. If I tell you what it cost us to build those power plants, you will be amazed, like I have always told people, such an amount can start another business; if our public power supply were steady and efficient” he said. On power, with the new tariff, domestic users are meant to pay lower compared to Commercial users, the Government should review this, in advanced countries, domestic users pay higher than commercial users, I don’t know why this will be different in Nigeria” Ibude said.

Another challenge he mentioned is the high cost of funds, “when you are growing an industry, and the Bank is giving you funds with up to 15% interest, you can’t go too far. And that is why quite a number of Manufacturers who use such money run into problem and eventually go bankrupt. It is by the Grace of God we are just here. We have developed a relationship with our Bankers and we are able to carry them along; not because we are not facing these challenges of high cost” the Chairman affirmed.

Ibude also said Government policies and regulations are part of the challenges militating against the operations of the Nosak Group, “going into export, you would have thought that the duty drawback we are suppose to get for doing that will come instantly; but take it from me, sometimes it takes two to three years before you get it back; this destroys the interest to go into export” he said.

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