Awa, Onna Local Government Area of Akwa Ibom State mourns the end of an era as Jubilee Syringe Manufacturing (JSM) Company, once hailed as the largest syringe manufacturing venture in Africa, closes its doors indefinitely.
The company’s cessation of operations marks another grim milestone in the growing list of businesses shuttering due to the hostile business climate prevailing in Nigeria.
The company, inaugurated in 2017 by former Vice President Yemi Osinbajo, faced insurmountable challenges, forcing it to halt production several months ago. Finally, on December 31, 2022, the management declared an end to its operations, citing “unforeseen circumstances affecting our business operations” as the reason for the closure.
Tekedia Mini-MBA edition 16 (Feb 10 – May 3, 2025) opens registrations; register today for early bird discounts.
Tekedia AI in Business Masterclass opens registrations here.
Join Tekedia Capital Syndicate and invest in Africa’s finest startups here.
In a memo addressed to all employees, the company announced the implementation of temporary redundancy effective January 1, 2024, affecting all positions, including those of the workers. The communication, titled “Temporary Redundancy – Service Not Needed Till Further Notice,” conveyed the heartbreaking decision made in the wake of a challenging business environment.
“We trust this message finds you in good health. With a heavy heart, we write to you today to communicate a challenging decision that Jubilee Syringe Manufacturing Company Limited has had to make due to unforeseen circumstances affecting our business operations,” the memo reads partly.
“After careful consideration and a thorough evaluation of our current business situation, we regret to inform you that we must implement temporary measures to ensure the long-term sustainability of the company.
“Unfortunately, this includes placing all positions including yours on temporary redundancy effective January 1, 2024.”
The memo expressed regret over the necessity of taking such drastic measures, clarifying that the move was not a reflection of individual performance but a consequence of the harsh economic realities. Workers were requested to return all company belongings in their possession, marking the end of an era for the once-thriving manufacturing entity.
Akin Oyediran, the managing director of Jubilee Syringe Manufacturing Company, had expressed optimism about the company’s prospects in an interview in April of the previous year. At that time, he highlighted the company’s success in securing a credit facility of $1 million, attributing it to the conducive environment facilitated by the state government for the manufacturing sector’s growth.
Oyediran had spoken highly of the state government’s support, noting the level playing field and advantages that had attracted investments, enabling the company to expand its operations beyond syringe manufacturing to include gloves, masks, and infusion sets.
Despite these optimistic remarks, the company’s closure denotes the harsh realities of the Nigerian business environment, where even ventures with promising prospects have succumbed to challenges beyond their control.
Economic experts said the growing number of businesses shutting down in the country serves as a poignant reminder of the urgent need for structural reforms and a more favorable business environment to prevent further economic setbacks and preserve the livelihoods of workers across various industries in the country.