To
them, it is just one of their favourite pastimes. But popping champagne is
becoming more than a habit of the rich; it is putting this country in the
record books.
them, it is just one of their favourite pastimes. But popping champagne is
becoming more than a habit of the rich; it is putting this country in the
record books.
Nigeria spent N9.4billion ($59 million) on consumption of
champagne last year, a report by the AFP has said.
champagne last year, a report by the AFP has said.
Recent data puts Nigeria among the fastest-growing countries for
champagne consumption, spending an estimated N9.4billion ($59 million) last
year on bubbly, according to Euromonitor International research firm.
champagne consumption, spending an estimated N9.4billion ($59 million) last
year on bubbly, according to Euromonitor International research firm.
That number is up from N7.84 billion ($49 million) in 2011, and
the firm forecasts that the country will spend some N616.8 billion ($105
million) on fizz in 2017.
the firm forecasts that the country will spend some N616.8 billion ($105
million) on fizz in 2017.
Analysts say oil wealth, hip-hop, movie stars and an elite
obsessed with status symbols have driven demand.
obsessed with status symbols have driven demand.
One Euromonitor analysis using data from about a year and a half
ago forecast Nigeria, Africa’s largest oil producer, as having the world’s
second-highest growth in new champagne consumption from 2011-2016, trailing
only France.
ago forecast Nigeria, Africa’s largest oil producer, as having the world’s
second-highest growth in new champagne consumption from 2011-2016, trailing
only France.
The study showed 849,000 litres in new consumption during that
timeframe in Nigeria, Africa’s most populous nation with a huge gap between its
rich and poor.
timeframe in Nigeria, Africa’s most populous nation with a huge gap between its
rich and poor.
Euromonitor senior analyst Spiros Malandrakis said the figures
have since come down somewhat, with projections around 500,000 litres in new
consumption from 2012-2017, which would still keep Nigeria in the upper tier.
have since come down somewhat, with projections around 500,000 litres in new
consumption from 2012-2017, which would still keep Nigeria in the upper tier.
“It’s among the top markets for the future of champagne,”
Malandrakis told AFP.
Malandrakis told AFP.
Malandrakis said one aspect of Nigeria’s market seemed to set it
apart from countries such as China, where champagne producers have banked on an
emerging middle class to drive growth.
apart from countries such as China, where champagne producers have banked on an
emerging middle class to drive growth.
“In the case of Nigeria as far as I understand, we have a very
divided society with big sections of the population in the working class,” he
said, while the elite “have the money to spend on really extravagant
consumption.”
divided society with big sections of the population in the working class,” he
said, while the elite “have the money to spend on really extravagant
consumption.”
Oil barons and Nigeria’s movie industry, known as Nollywood,
have especially helped drive growth, he said, while hip-hop has also played a
role.
have especially helped drive growth, he said, while hip-hop has also played a
role.
US hip-hop stars with global appeal have long promoted their
love of bubbly — and Nigeria’s homegrown music scene has toasted it as well.
love of bubbly — and Nigeria’s homegrown music scene has toasted it as well.
Prices at clubs can vary widely here, with a standard bottle of
Moet & Chandon running around N19,200 ($120), while bottles of Cristal can
come in at 144,000 ($900) or more. Store prices tend to be much lower.
Moet & Chandon running around N19,200 ($120), while bottles of Cristal can
come in at 144,000 ($900) or more. Store prices tend to be much lower.
Nigeria has long been considered one of the world’s most corrupt
nations, with billions in oil revenue pocketed and misused over the years,
while basic development has been neglected.
nations, with billions in oil revenue pocketed and misused over the years,
while basic development has been neglected.
Such spending on champagne is particularly striking when
considered against World Bank calculations from 2009-2010 showing some 63 per
cent of Nigerians live on less than N160 ($1 dollar) per day.
considered against World Bank calculations from 2009-2010 showing some 63 per
cent of Nigerians live on less than N160 ($1 dollar) per day.
Data from the same years, the latest available, shows 46 percent
of the country’s population living in poverty, a slight decrease from 48
percent in 2003-2004.
of the country’s population living in poverty, a slight decrease from 48
percent in 2003-2004.
However, the decrease is less than population growth, meaning
more people live in poverty today than a decade ago.
more people live in poverty today than a decade ago.
The gap between the rich and poor has also been growing, with a
scale measuring inequality moving from 0.39 in 2003-2004 to 0.42 in 2009-2010.
Zero represents complete equality on the scale, while one is absolute
inequality.
scale measuring inequality moving from 0.39 in 2003-2004 to 0.42 in 2009-2010.
Zero represents complete equality on the scale, while one is absolute
inequality.
“By international comparisons, that’s fairly high, but not out
of the range of other countries,” said John Litwack, the World Bank’s lead
economist for Nigeria.
of the range of other countries,” said John Litwack, the World Bank’s lead
economist for Nigeria.
Some members of Nigeria’s class of super-rich would likely have
not have participated in the survey, possibly distorting the figures to a
certain degree, he said.
not have participated in the survey, possibly distorting the figures to a
certain degree, he said.
Source: The Nation
