Coca-Cola Nigeria denies FCCPC allegations of misleading labelling. The FCCPC is considering penalties for breaches of consumer rights and transparency regulations.
The Coca-Cola System in Nigeria has firmly denied allegations from the Federal Competition and Consumer Protection Commission (FCCPC) regarding deceptive product labelling. The FCCPC recently announced potential fines for Coca-Cola Nigeria and Nigeria Bottling Company Limited (NBC) over alleged breaches of consumer rights.
In response to the FCCPC's announcement, the Coca-Cola System issued a statement asserting that the company adheres to national regulatory requirements for clear and accessible nutrition information. The statement emphasized Coca-Cola Nigeria's commitment to consumer transparency and its intention to continue working collaboratively with the government on the issue.
The statement read: “Coca-Cola Nigeria provides clear, accessible nutrition information on our packaging in line with national regulatory requirements and is committed to transparency for consumers. Our priority is safeguarding consumer interests and we will continue to work constructively with the government on this matter. We strongly believe that the Coca-Cola System in Nigeria has complied with all regulations and look forward to the opportunity to bring this topic to closure.”
This rebuttal came after the FCCPC revealed plans to impose penalties on Coca-Cola Nigeria and NBC for alleged violations of the Federal Competition and Consumer Protection Act (FCCPA) 2018. The commission alleged that both companies had repeatedly breached regulations concerning transparency and clear disclosure obligations.
The FCCPC's investigation, which took place between June 2019 and December 2020, involved collecting extensive internal documents and production logs. The commission sought to verify allegations that Coca-Cola and NBC had failed to meet their disclosure obligations, particularly concerning product labelling.
According to the FCCPC, Coca-Cola Nigeria was accused of violating Section 124(1)(a) of the FCCPA by marketing its Coca-Cola Original Taste Less Sugar in packaging that was indistinguishable from the standard Coca-Cola Original Taste, contravening Sections 123(1)(a), (b), and (c) of the FCCPA. The commission alleged that despite regulatory intervention, Coca-Cola and NBC did not take sufficient steps to correct the misleading practices, implying intentional misrepresentation.
The FCCPC also charged NBC with using identical packaging for both Zero Sugar and 50:50 variant of its Limca Lime-Lemon flavoured drink. This practice allegedly misled consumers and violated various sections of the FCCPA, including Sections 17(g), 116(1) & (2), and 123, as well as Section 2(a) of the National Agency for Food and Drug Administration and Control Act 2004. The commission found that NBC’s packaging was deceptive and in breach of Section 116(3) of the FCCPA.
The FCCPC has stated that it will determine the appropriate penalty for these alleged violations in due course and has reserved the question of potential abuse of dominance and penalties under the FCCPA and Administrative Penalties Regulation 2020 (APR) for further action.
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