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Sunday, April 28, 2024
HomeBusinessDelta Commissions New Plants, Eyes Regional Expansion

Delta Commissions New Plants, Eyes Regional Expansion

Zimbabwe’s leading beverage-maker, Delta Corporation has commissioned three new plants in Harare as part of the group’s expansion strategy taking total investments to US$169 million since 2017.

The newly completed projects which includes the sparkling beverages line, a new state-of-the-art returnable glass packaging line at Southerton Brewery and a Chibuku Super plant and factory upgrade at Harare Sorghum Brewery cumulatively consumed US$70 million in costs.

These investments have managed to sustain the group’s dominance in alcoholic beverages market share after it posted record volumes last year.

“This investment by Delta Corporation, which has been operating in the country for 125 years, demonstrates the confidence by players in the manufacturing industry in the business friendly policies being ushered in by the Second Republic,” said President Emmerson Mnangagwa, during the official launch yesterday.

The group has also announced plans to expand its presence in the region rising on its recent acquisition of South African and Zambia traditional beer units.

According group chief executive officer, Matlhogonolo Valela, the capital projects in the region will kickstart the journey to positioning the beverage-maker as a Pan-African business headquartered in Harare.

“Our journey as a Pan-African business headquartered in Harare began with the acquisition of Sorghum beer breweries in Zambia and South Africa,” said Valela.

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“By September this year we will commission our new Chibuku Super Line in Pretoria as we expand our footprint, grow earnings and provide career growth opportunities for our 7000 people that are directly under our employ.”

The company has adopted a strong farmer -contracting model to meet it’s massive raw material supply demands which is in tandem with various government agricultural programmes.

It contracts 12000 small holder farmers in Sorghum and maize growling and 7000 hectares in barley growing-as it deliberately localized it’s supply chain to create local employment opportunities.

“This is an ongoing investment and we are projecting opportunities in our value chain to increase productivity by 30%,” said Valela.

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