THE Federal Competition and Consumer Protection Commission (FCCPC) has revealed findings from a recent investigation into Coca-Cola Nigeria and Nigerian Bottling Company, accusing the companies of engaging in misleading branding and anti-competitive practices.
In a comprehensive report, the FCCPC highlighted that many consumers are unaware of significant differences between certain Coca-Cola products. Specifically, the report pointed out that products labelled as “Original Taste” contain full sugar, while those with less sugar use artificial sweeteners.
“There is a distinct difference between these products, but Coca-Cola doesn’t want you to know,” the FCCPC stated.
According to the Mr Tunji Bello-led FCCPC, the branding issue affects four products produced by the companies with respect to two flavours, which include Coke Original and Coke Less Sugar as well as Limca Lime-Lemon flavour (2kcal) and Limca Lime-Lemon flavour (53kcal).
“Regarding the Coke variants—Original and Less Sugar—the nutritional information for both products varies significantly, and they have separate NAFDAC registration numbers,” the report noted. “However, Coca-Cola Nigeria, in its submission to the Commission, identifies them as different variations of the Cola flavour. Yet, there is minimal distinction in the packaging and advertisement of these products.”
The report elaborated on the subtle differences, noting that phrases like “ORIGINAL TASTE- LESS SUGAR” and “ZERO SUGAR” are printed in small text on the product labels, making it difficult for consumers to differentiate between the variants.
Parts of the report
The FCCPC’s scrutiny began in June 2019 when the Commission became aware of Coca-Cola Nigeria’s shift from using regular sugar to non-nutritive sweeteners in some of its products.
On 29 July 2024, the Commission issued its Final Order to Coca-Cola and NBC, outlining several findings, including allegations of misleading trade descriptions under Section 116 of the FCCPA and unfair marketing tactics contrary to Section 124(1)(a).
The Commission, however, reserved the question of Abuse of Dominance and the quantum of the penalty appropriate under the FCCPA and Administrative Penalties Regulation 2020 (APR) for further regulatory action, saying the same will be imposed in due course.
Meanwhile, Coca-Cola Nigeria and its bottling partner, Nigerian Bottling Company Limited, have denied allegations from the FCCPC that their product labels are misleading.
In a statement released on 1 August 2024, the company clarified that its product labels provide clear and accessible nutrition information, fully complying with national regulations. It emphasized its commitment to transparency and consumer protection.
“Our priority is safeguarding consumer interests,” the statement said. “We are committed to working constructively with the government to address this issue. We are confident that we adhere to all regulations and look forward to resolving this matter.”
Credit: Platinum Post News
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