Liberty Dube Business Correspondent BEVERAGES company Mutare Bottling Company Private Limited has invested $17 million in a new high-tech 30 000 bottle per hour (returnable glass bottles) plant line from Italy. The new plant, which has the capability to bottle 300ml and 1 000ml, is set to replace the old lines which are labour intensive, expensive to maintain and no longer working at optimum output. In an interview on Tuesday, the company’s plant manager, Mr Erick Makarimayi, said the line will be able to deliver up to six million cases annually if required to as well as produce a reasonable output for at least 12 to 15 years if maintained well. “With the advent of stability, the Zimbabwe economy has opened up and allowed more players in the beverages sector. Competition has intensified both in the sparkling beverages as well as in other beverage categories. Clearly for us to remain competitive we have to invest in technologies that keep us on the leading edge. “The major focus areas for our continued competitiveness are production availability, unit cost and quality consistency. Matched against the future requirements of the business this translates into capacity provisions for the next 15 years at the least in RGB. The plant will also be able to reduce the unit cost of a case by at least 35 percent on account of gains in efficiencies, maintenance costs and yields predominantly,” he said. Mr Makarimayi said that maintenance during the hyperinflation times was limited due to the shortage of foreign currency from 2004 to 2008. “A lot of modifications were undertaken in order to keep the production lines running. This lapse in maintenance has made it very difficult to restore maximum performance of the lines because most spares are no longer available and the technology used on the machines is obsolete,” he said. As a result of inline and computerised control systems, the level of product consistency will be exceptionally high. MBC has, as part of its ongoing growth strategy, invested over $60 000 to purchase 160 vending units which will benefit informal sector expansion in Manicaland Province. The investment, apart from creating employment for those running the vending units, will also enable the company to absorb current contract workers who will be affected as a result of the automation taking place. MBC will retain its entire permanent staff although some of them from the manufacturing plant will be deployed to other departments,” he said. A group of Italian technicians is currently installing the new plant, which is expected to be commissioned in late February. MBC’s managing director, Mr Allen Lang, said that the new line was less labour intensive and would improve production efficiencies. “We are confident about our future. We are investing in new technology to compete regionally and globally. We would be able to compete with any manufacturer. We recently acquired seven delivery trucks to assist with servicing our market. This will help the communities who have not had direct services,” he said. Mutare Bottling Company was established in June 1950 and is the biggest private investment in Manicaland. It is an authorised bottler of Coca-Cola products serving Manicaland Province in Zimbabwe. The company’s majority owner is Pentamed Investment, a wholly owned subsidiary of Econet Wireless Zimbabwe (EWZ) with 67 percent while the 33 percent is still owned by the founders through an investment vehicle called Northunderland Investments. The acquiring of the new line is hugely significant in light of massive closure of companies in Manicaland and the country at large. MBC currently employs around 350 workers.
Posted on: Mon, 03 Feb 2014 09:33:54 +0000
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