eBusiness Weekly
Tawanda Musarurwa
Industrial conglomerate Innscor Africa Holdings Group says it has invested at least $36 million in capital expenditure to expand its light manufacturing portfolio.
According to CEO Julian Schonken the investment has boosted its capacities and employment levels.“During our last financial year we invested over $36 million in various capital expenditure projects. We now have in excess of 7 500 employees across all our light manufacturing platforms,” he said.
In FY2017, the Innscor Group —currently valued at circa $1,3 billion — invested in enhancing milling capacity, dairy production and pie production.
The diversified group also set up a Polymerase Chain Reaction (PCR) facility, the only such laboratory in Zimbabwe to provide accurate on-site testing for Avian Influenza. The Prodairy project investment, in particular, is expected to improve the country’s dairy sector.
“The plant and our backward integration project in the dairy sector is a perfect example of bringing the value added process to Zimbabwe to help the country reduce its dependence on imports and create employment,” said Schonken.
“It shows we have the ability to produce world-class fast-moving consumer goods (FMCG) products right here in Zimbabwe. Our home-grown and proudly Zimbabwean group continues to invest in light manufacturing platforms locally. The success of the Prodairy project is, however, hinged on the availability of raw milk, with management indicating that the company is targeting raw milk purchases of circa one million litres a month.
Official figures show that as at the end of September 2018, Zimbabwe’s milk output stood at 48 million litres, out of annualised demand of 120 million litres, showing significant growth opportunities in the local milk sector.
