“TOMATOES are on top of our priority, we are looking at backward integration and what we would do concerning the tomato paste going forward. The plants are not producing but we are looking at backward integration option for the past.”
Paul Farrer, Managing Director of NASCON Allied Industries told shareholders of the company during their annual general meeting held in Lagos.
Farrer, while fielding questions from shareholders at the event, explained that the firm entered into the product category in response to an identified supply gap within the Nigerian market where local production and imports could not effectively meet local demand.
He assured shareholders that the firm would prioritise its tomato paste business through the adoption of backward integration process and local sourcing of raw materials.
Reviewing its performance, the chairperson, Yemisi Ayeni explained that the company leveraged its core competencies and operational discipline to advance the overall business and deliver unprecedented returns to shareholders.
According to her, a review of the firm’s financial statements for the year ended December 2017 showed improvement in all indices. She explained that revenue increased from ₦18.2 billion in 2016 to ₦27 billion in 2017, while profit before tax jumped by over 100 percent from ₦3.5 billion in 2016 to ₦7 billion.