In Nigeria’s fast-moving consumer goods (FMCG) sector, packaging waste is emerging as one of the most pressing environmental and operational concerns. While the country’s rapid urbanisation and growing middle class continue to drive consumer demand, the corresponding increase in packaging waste—particularly plastics—has outpaced the infrastructure available to manage it responsibly.
Without a national material recovery system or extended producer responsibility framework that is consistently enforced, FMCG companies in Nigeria face a growing set of risks: regulatory pressure, reputational damage, and missed opportunities for cost optimisation.
At CSR-in-Action, we believe that companies must go beyond compliance. The way forward lies in embedding circularity—by rethinking packaging design, recovery processes and stakeholder engagement—to build long-term, sustainable value.
The Waste Problem: What We Know
Reliable data on packaging waste in Nigeria remains limited, but trends from similar emerging markets provide a meaningful reference.
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According to the World Bank, municipal solid waste is growing in urban centres of low- and middle-income countries at between 3 to 5 percent annually, with plastics making up a growing share.
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Nigeria, with over 200 million people, generates approximately 2.5 million tonnes of plastic waste every year, much of it from single-use packaging. Less than 12 percent of this is estimated to be recycled.
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Informal waste collectors currently manage a significant proportion of material recovery, often without protective equipment or formal recognition.
These figures signal a systemic issue, particularly for companies whose products rely heavily on PET bottles, sachets, shrink wrap, and multilayer packaging.
The traditional “take-make-dispose” approach to packaging is no longer sustainable. Instead, circularity demands that materials be designed for durability, reuse, recyclability, or compostability—and that systems exist to capture them after use.
Several organisations in Nigeria are experimenting with solutions:
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A few beverage producers have launched bottle buy-back initiatives in urban areas.
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Local social enterprises, such as WeCyclers, have partnered with corporates to recover plastics in Lagos.
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Pilot schemes are emerging around compostable packaging and refill stations for home and personal care products.
However, these efforts remain fragmented and small-scale. The next phase requires moving from pilots to integrated systems—supported by data, stakeholder cooperation, and clear business incentives.
To begin the transition towards circularity, companies must first understand their current footprint and then map out feasible interventions. The following steps can serve as a foundation:
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Conduct a Packaging Footprint Audit
Measure the volume, type and end-of-life outcome of all packaging materials across product lines. -
Engage the Ecosystem
Work with recyclers, local aggregators, NGOs and government to co-create recovery systems that are inclusive and scalable. -
Invest in Sustainable Design
Shift toward mono-material packaging, incorporate recycled content, and prioritise materials with existing end-of-life infrastructure. -
Build Customer Participation
Introduce consumer-facing return and reward systems that support a culture of reuse or recycling. -
Embed Circular KPIs
Integrate packaging recovery, recycled content, and material substitution indicators into ESG and financial reporting.
These steps are not simply corporate responsibility measures—they are business resilience strategies that reduce risk, improve supply chain reliability, and meet emerging customer expectations.
Globally, companies that lead in circular packaging are securing long-term contracts, winning customer loyalty and attracting capital from sustainability-conscious investors. In Nigeria, the same logic applies.
With the Financial Reporting Council of Nigeria aligning with IFRS S1 and S2, and disclosure requirements around resource use becoming more prominent in frameworks such as GRI, businesses that cannot account for their packaging impact will increasingly struggle to meet investor-grade expectations.
At CSR-in-Action, we support FMCG companies in embedding these principles, not as a short-term fix, but as a structural transformation that benefits business and society alike.
The packaging waste challenge is real, but it is also an opportunity. Nigerian FMCG businesses that move early can define the standards, shape national practice, and unlock new value across their product lifecycles.
Circularity is not a Western trend. It is a practical, African necessity and one whose time has come.