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The company, which went on annual shutdown on 14 December, sourced the tyre-making machinery from South Africa recently.
Responding to questions from Business Chronicle, Dunlop managing director Mr Kennedy Mandevani said they would use the shutdown period to install the machinery.
“Sure, Dunlop will use this shutdown time to carry out essential maintenance and also install machinery recently imported from South Africa.
“The extra machinery will boost our efficiencies and assist us in producing more tyres to meet growing demand for Dunlop products,” he said without revealing the value of the machinery citing professional reasons.
He said the machinery had a capacity to produce four times Dunlop’s present output, which Mr Mandevani would also not reveal. Despite the shutdown, he said their marketing and sales departments would remain open for business to serve customers adding that the re-opening by their production department could be sooner depending on stock levels and customer requirements.
“These two departments are complemented by finance and human resources which are still open. Customers can buy their tyres for the festive season as Dunlop depots in both Harare and Bulawayo are open except for Christmas, Boxing Day and New Year breaks. Dunlop tyres are also available through the dealer network throughout the country,” said Mr Mandevani.
Commenting on the business environment this year, he said the climate was difficult in the face of the liquidity challenges and lack of long-term funding.
He said due to liquidity constraints and lack of long-term funding their customers’ ability to meet financial obligations to suppliers was compromised.
Mr Mandevani said during the year Dunlop adopted a prudent financial and customer strategy based on producing good quality product at an affordable price.
“Dunlop further widened its distribution footprint to ensure that its tried and tested tyres are available in all places at all times.”
On future prospects of the company going forward into the new year, he predicted that the present financial constraints would continue adding that his organisation will explore further cost saving and market share gaining strategies to ensure Dunlop remained afloat.
“Because of the safety considerations for the tyre more and more customers are now shifting from the so-called cheap zhing zhongs to good quality Dunlop tyres. Discerning customers now see the wisdom of paying a bit more for a good quality tyre that is reliable and long lasting,” he said.
Online Reporter