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FCCPC warns Coca-Cola over ‘misleading products labelling, unfair marketing tactics’

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The Federal Competition and Consumer Protection Commission (FCCPC) has warned Coca-Cola Nigeria Limited (Coca-Cola) and the Nigerian Bottling Company Limited (NBC) over the use of misleading trade descriptions.

FCCPC, in a statement on Thursday, said the companies have been carrying out unfair tactics, thereby “misleading consumers”.

The commission said Coca-Cola and the NBC are guilty of deceiving the public by describing the variant of its Coca-Cola “Original Taste, Less Sugar” as the same as its “Original Taste” variant in terms of formulation.

“In June 2019, the Federal Competition and Consumer Protection Commission (Commission) became aware that Coca-Cola Nigeria Limited (Coca-Cola) and Nigerian Bottling Company Limited (NBC) (jointly referred to as the “Companies”) had commenced a migration of their Coke brand from a formulation that included regular sugar to non-nutritive sweeteners,” the statement reads said.

“The migration at the time, though not concluded, apparently followed previously concluded, but undisclosed and uncommunicated migrations with respect to their other brands, to wit: Fanta and Sprite (as the Investigation will later discover).

“The strategy and conduct at the time appeared to possibly infringe FCCPA provisions prohibiting misleading trade descriptions, unfair marketing tactics, and questions whether some pricing strategies in certain geographical areas of Nigeria were on account of market power in the geographic areas, and as such constituted abuse of dominant market position.”

‘COMPANIES ABANDONED DEAL, USED DIFFERENT BUSINESS STRATEGY’

FCCPC also said Coca-Cola and the NBC abandoned months of work and mutually agreed outcome with the commission for a different business strategy.

This adopted strategy, the commission said, has turned out not to meet the applicable standards.

“Accordingly, and considering that the conduct continues and remains, the Commission has entered, issued and served its Final order on Coca-Cola and NBC on July 29, 2024,” the statement further reads.

“The Final Order contains the Commission’s findings some of which include:Misleading trade descriptions under Section 116 FCCPA by continuing to mislead consumers to believing Coca-Cola Original Taste is not materially different from Coca-Cola Original Taste ‘Less Sugar’.

“Unfair marketing tactics: Contrary to Section 124(1)(a) of the FCCPA, Coca-Cola Nigeria markets Coca-Cola Original Taste Less Sugar in packaging first, indistinguishable, and now not sufficiently distinguishable from Coca-Cola Original Taste, contrary to Sections 123(1)(a), (b), and (c) of the FCCPA.”

The commission said Coca-Cola and NBC, after regulatory intervention, still failed to take appropriate steps to “modify misleading behaviour demonstrating that the companies acted intentionally by misrepresenting Coca-Cola Original Taste Less Sugar as Coca-Cola Original Taste in a deliberate business strategy”.

“Furthermore, NBC used identical packaging for both Zero Sugar and its 50:50 variant of Limca Lime- Lemon flavoured drink, misleading consumers and violating Sections 17(g), 116(1) & (2), and 123 of the FCCPA and Section 2(a) of the National Agency for Food and Drug Administration and Control Act 2004,” the statement added.

“The commission found NBC applied deceptive trade descriptions to the two variance and supply these products to consumers violating Section 116 (3) of the FCCPA.”

The commission said it has reserved the question of “abuse of dominance and quantum of the penalty appropriate under the FCCPA and Administrative Penalties Regulation 2020 (APR) for further regulatory action, and same will be imposed in due course”.

FCCPC’S ORDERS TO THE COMPANIES

The commission, therefore asked the companies to ensure sufficient and acceptable packaging, labels, and differentiation between Coke Original Taste and Coke Original Taste Less Sugar — satisfactory to and approved by the commission.

FCCPC also ordered the immediate conduct of a robust advertorial campaign of all its product variants in a manner that provides consumers with clear and adequate identification factors that aid them in clearly distinguishing one variant from the other, without ambiguity, deception or confusion.

The commission noted that the companies are subject to supervision for a period of 24 months.

On July 19, the FCCPC fined Meta $220 million for data privacy violations.

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UK government announces 45,000 seasonal worker visas for 2025

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In a bid to address labour shortages in its agricultural and poultry sectors, the UK government has announced plans to issue 45,000 Seasonal Worker visas in 2025.

This initiative aims to support the nation’s food production by ensuring sufficient workforce availability during peak demand periods.

The visa allocation includes 43,000 slots for horticultural roles, encompassing tasks like fruit picking, vegetable harvesting, and flower cultivation, while 2,000 visas are designated for poultry sector positions focused on processing tasks between October and December.

The Seasonal Worker visa scheme is intended to provide a temporary labour force for essential roles in food production.

To be eligible for these visas, applicants must be at least 18 years old, have a valid sponsorship from a licensed UK employer, and meet health and safety standards for their respective roles.

Applicants are also required to provide evidence of adequate funds for their stay and must secure health insurance coverage.

Visa holders must return home once their employment period ends and cannot convert their visa type while in the UK.

Application Process and Sector-Specific Roles
The Seasonal Worker visa covers various tasks within the horticulture and poultry industries. In horticulture, seasonal workers perform duties such as planting, pruning, weeding, harvesting, and packing. Poultry workers, in contrast, handle responsibilities including bird care, egg collection, and processing.

Candidates interested in these roles must first obtain a sponsorship certificate from a licensed UK employer. Once sponsored, applicants can complete their visa application through the UK’s online immigration portal. Applications for poultry roles close by November 15 each year, while horticulture applications are accepted year-round.

Balancing Seasonal Labor with Technological Advancements
In addition to expanding the Seasonal Worker visa program, the UK government is investing in technological solutions to reduce its reliance on seasonal labor. Planned investments include automation, such as robotic harvesters, to improve agricultural efficiency and sustainability.

The government has pledged up to £50 million to support innovations in agriculture, including robotics and automation technologies.

This extension of the Seasonal Worker visa scheme, renewed in May 2024 for an additional five years, will be in effect until 2029. The extended timeline aims to give businesses the opportunity to gradually adopt technology-based solutions, ultimately creating a more sustainable workforce model in the UK’s agricultural sector.

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NDIC to begin sale of Heritage Bank assets December 4

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The Nigeria Deposit Insurance Corporation (NDIC) says the sale of Heritage Bank assets will begin on December 4, 2024.

In a statement on Sunday, Bashir Nuhu, NDIC’s director of communication and public affairs, said the commission has started the process to sell off landed properties belonging to the defunct bank.

Nuhu said the exercise conforms to the corporation’s statutory powers as the liquidator of failed banks in the country.

He said interested bidders should submit bids at designated NDIC offices in Abuja, Lagos, Bauchi, Kano, Enugu, and Port Harcourt.

“In a bid to ensure timely declaration of liquidation dividends to uninsured depositors of the failed Heritage Bank, the Nigeria Deposit Insurance Corporation (NDIC) has commenced process for the sale of landed properties of the defunct bank,” the statement reads.

“The exercise is pursuant to the Corporation’s statutory powers as liquidator of failed banks under section 62 (1)(d) of the NDIC Act, 2023.

“The sale of assets is by competitive bidding and will take place at the 36 affected locations of the bank across the country, from Wednesday 4th December, 2024.

“Buyers who wish to participate in the auction are expected to follow laid down guidelines aimed at ensuring transparency, fair competition, equity and accountability to enable recovery of commensurate values from the exercise. This is vital for the payment of liquidation dividends to eligible claimants.

“In order to allow the continuation of provision of financial services to the Nigerian public at the locations of the closed bank towards bolstering financial inclusion, preference shall be given to financial institutions who are willing to buy any of the properties at the highest auctioned prices along with all the physical assets at wholesale value.”

‘CORPORATE BODIES, PRIVATE INDIVIDUALS ELIGIBLE TO BID’

Nuhu said corporate bodies and private individuals interested in the bidding are eligible to participate without prejudice, assuring that the auction will be open and competitive to all bidders.

He added that bidders will be allowed to inspect the properties and chattels across all locations prior to disposal.

“For full details check our website, social media platforms and Newspapers,” Nuhu said.

On June 3, the Central Bank of Nigeria (CBN) revoked the licence of Heritage Bank Plc with immediate effect.

The regulator, in a statement, said the revocation was necessary due to the bank’s inability to improve its financial performance, a situation which constitutes a threat to financial stability.

Following the revocation, the NDIC announced the commencement of verification and payment to depositors.

At a media briefing on June 5, Bello Hassan, NDIC’s managing director, promised to settle insured customers within one week, adding that the total bank deposits at Heritage Bank stood at N650 billion while its loan portfolio was above N700 billion.

Hassan said the bank’s total depositors are 2.3 million, with 99 percent of them having total balances of less than N5 million.

On June 13, the NDIC announced the national listing of the bank’s assets for sale, including 48 properties and various chattels such as vehicles, office equipment, plant and machinery located in 62 locations nationwide.

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Akwa-Ibom government to pay extra one-month salary in December

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Akwa Ibom State government has announced its readiness to pay an extra one-month salary to workers in its employ in the month of December, popularly known as Eno-Mber.

It could be recalled that the current administration started the payment of Eno-Mber last December in its commitment to the welfare of workers.

The state governor, Pastor Umo Eno who announced this during a church service at the Eternity Mission International Church on Sunday, advised those constantly agitating for disruption in the smooth and seamless relationship that has existed between the State Government and the Organized Labour to have a rethink.

He reiterated that the payment of the N80,000 minimum wage to all public servants would commence shortly after completion of the ongoing proper verification exercise.

These were contained in a statement signed by Chief Secretary to the Governor, Mr Ekerete Udoh and made available to newsmen yesterday in Uyo.

His words, “I am aware that quite a number of our Civil Servants have relocated within Nigeria while others have gone abroad. We have to be sure that those receiving payments are real Civil Servants.

“My watchword since assuming office has been transparency and honesty in service deliverables and we have to ensure that we carry this through this verification exercise, which would soon be completed.

“Since we came in, we have paid critical attention to the needs and the welfare of civil servants in this State. To date, we have paid N35billion in gratuities to retired state, local government workers and primary school teachers in the State “

According to the statement, the governor during the last Public Service Week, had announced a bonus of N1.1billion naira to all public servants in the State, which was promptly paid.

It disclosed that apart from prompt payment of salary, pension and gratuities as mentioned above, Eno had also released and ensured prompt payment of Wage award for 3months to cushion the effect of high cost of living occasioned by fuel subsidy removal.

“He is also committed to investing in Affordable Housing Scheme for Workers. Last September, 150 homes at the Grace Estate were given to Civil Servants from grade levels 1-8 free of charge through raffle draw.

“He had also given approval for the conduct of all Service Examinations in preparation for 2024 promotions as well as the release of 2023 promotion and an increase of pension to workers who retired before 2012.

“Equally striking in the Governor’s dedication to the welfare of workers, was the approval given for release of outstanding 7.5 per cent contributory pension to contributors as well as the appointment of 22 new Permanent Secretaries”, the statement added.

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Bodex F. Hungbo, SPMIIM is a multiple award-winning Nigerian Digital Media Practitioner, Digital Strategist, PR consultant, Brand and Event Expert, Tv Presenter, Tier-A Blogger/Influencer, and a top cobbler in Nigeria.

She has widespread experiences across different professions and skills, which includes experiences in; Marketing, Media, Broadcasting, Brand and Event Management, Administration and Management with prior stints at MTN, NAPIMS-NNPC, GLOBAL FLEET OIL AND GAS, LTV, Silverbird and a host of others

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