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Wines and spirits maker African Distillers (Afdis) Limited has lauded the Government for taking the initiative to introduce special coins to convenience consumers and retailers.
Afdis marketing, sales and distribution director Mr Albert Chitapi said this last Friday during a cocktail for Manicaland stakeholders as post-celebrations for its commissioned state-of-the-art $5 million cider production and packing plant unveiled on October 8.
The remarks also come after the Zimbabwe Stock Exchange-listed wine maker, Afdis, last month slashed its cider prices.
Mr Chitapi called on all local retailers to be fair in their pricing to consumers, especially the liquor outlets.
The recommended retail price of Hunters went down to $1,25 from $1,60 while Savanna is now priced at $1,35 from $1,66.
He discouraged the unfair rounding off of prices by liquor outlets to $2.
“While designed for a new range of products, the new plant will allow production of existing products at competitive efficiency levels benefitting both our business partners downstream as well as our valued final consumers.
“We are proud that this investment will also create new jobs and save the nation from reliance on imported products. Our consumers are guaranteed world class quality products at affordable prices.
“We will move around countrywide to check whether retailers are slashing prices,” said Mr Chitapi.
The Governor of the Reserve Bank of Zimbabwe, Dr John Mangudya, in his Mid-Term monetary review in August announced that a new regime of special coins indexed at par with the United States coins would be bankrolled by a $50 million bond facility and put in circulation by December 2014 to improve the small-change challenges.
Mr Chitapi added that the high import duties on ciders influenced the company to invest in a new plant.
He said the new plant will see prices fall by between 22 percent and 25 percent while the improved plant capacity is expected to bring competitive advantage as the company focuses on exporting to regional markets.
Against a nail-biting liquidity crisis in the country, several manufacturing companies are trying to resuscitate operations.
Afdis joins other beverage companies like Mutare Bottling Company, Schweppes Zimbabwe and Delta Beverages that in recent times commissioned new production line equipment to remain competitive.
Delta Corporation’s retail price of beer also marginally went down from between five cents and 20 cents across all its brands.
The upgrade of these companies no doubt comes as a positive development to Government that is currently grappling to reduce the country’s import bill as cheap imports continue to choke local industry.
Afdis also announced that it would soon invest in cold chain refrigeration to assist retailers.
From a capacity of 1 300 litres per hour, the new packaging line produces 4 200 litres of ciders per hour, which is a huge improvement.
Afdis currently operates six depots in Harare, Bulawayo, Mutare, Kwekwe, Masvingo and Victoria Falls.
Online Reporter