Flour Mills of Nigeria plans to invest NGN100bn($623.36bn)in Nigeria over the next five years,to take advantage of the increasing demand for pasta,bread and fast food in the country.
The company plans to double its existing milling capacity of 12,000 ton per day.
Flour Mills of Nigeria chief financial officer Jacques Vauthier was quoted by Reuters as saying that the demand for flour in the country is expected to increase,as Nigeria consumes about 80g of flour per person daily,compared to 200g in South Africa,and 400g in Egypt.
The company,which has a 55%to 60%market share in the flour and pasta segments in Nigeria,plans to foray into higher margin retail products such as snacks to retain its market share.
For the first quarter of 2012,the company reported a 32%rise in profit before tax to NGN5.1bn($31.79m).According to Vauthier,flour milling represented about 76%of the total sales.
Flour Mills is involved in span flour milling,pasta manufacturing,port operations,fertilizer blending,cement trading and manufacturing,bags and other packaging materials manufacturing,and agricultural business activities in Nigeria.
