Afdis supply chain director Mr Claim Mundengu (left) shows Minister of Industry and Commerce Mr Mike Bimha (right) how the new packaging plant works during a tour of the company’s factory yesterday.
Martin Kadzere Senior Business Reporter
WINES and spirits maker African Distillers Limited says it will focus on exports of ciders into the region following the commissioning of the new packaging line yesterday.
Managing director Mr Cecil Gombera said the group may start exports into the region in a year’s time.
“In the next 12 months, we should see products from this line going into the region,” he said.
The company yesterday officially commissioned the state-of-the-art cider packaging line, which was installed at a cost of $5 million. With the new investment, annual capacity is expected to increase to 54 million litres from 34 million.
The new packaging line produces 4 200 litres per hour from the current 1 300 litres.
“While designed for a range of products, the new plant will allow production of existing products at comparative efficiency levels benefiting both business partners downstream as well as our valued customers,” chairman Mr Joe Mtizwa said.
“As the business focuses on expansion, this investment will bring with it competitive advantages as we venture into regional exports.”
Afdis has been importing ciders from South Africa since 2010, resulting in higher prices related to high import costs.
With the new plant, prices are expected to go down by between 23 and 25 percent, a development likely to stir demand, Mr Gombera said.
“The investment will bring down costs associated with importing,” he said.
Speaking during the official commissioning, Minister of Industry and Commerce Mike Bimha said: “Let me begin by expressing my heartfelt pleasure to note that over the past seven decades, African Distillers Limited has made significant capital and capacity development investments. These have had a direct socio-economic impact on the Zimbabwean economy as evidenced by the information I have been provided indicating that the company has indeed invested over $5 million into the project.”
He added that the beverage industry was one of the leading industries in the country playing a significant role in reviving the economy.
“It is critically important to restate once again that although or notwithstanding that, we are submerged in a sea of doom and gloom, the beverage sub-sector is one of those few sectors helping to rescue us from this submersion as it is doing well,” he said.