Staff Reporter
Schweppes Zimbabwe Ltd is making a strategic move to fortify its supply chain by investing US$28 million in a new citrus production project.
This initiative marks a significant shift for the company, as it aims to decrease reliance on external suppliers while boosting Zimbabwe's agricultural productivity.
Chief Executive Officer of Schweppes, Charles Msipa, emphasized that this investment is a crucial long-term strategy to address the growing pressure on orange supplies.
"With global demand for oranges increasing, we are turning to local cultivation to supply our juice processing plant in Beitbridge," Msipa stated.
Government has already allocated 4 000 hectares of land for this project. Schweppes plans to initially cultivate 700 hectares, with ambitious plans to expand to 2 000 hectares in the coming years.
Msipa highlighted that the project has the potential to produce up to 150 000 tonnes of fruit annually.
Schweppes intends to leverage its Beitbridge Juicing Company, which currently processes 28 000 tonnes of oranges each year.
With this new venture, the company expects to significantly increase output, meeting its growing demand and enhancing its position in the regional juice market.
Economic analyst Batanai Matsika commented on the significance of this investment, noting that it marks a pivotal moment for the beverage giant.
"This investment in citrus production is a long-term solution to supply challenges. By creating a more stable supply of feedstock for juice production, Schweppes will greatly reduce its reliance on external sources," Matsika explained.
This expansion is especially noteworthy for Schweppes, a company renowned for producing popular non-carbonated beverages such as Mazoe, Minute Maid, and Schweppes Water.
As Schweppes scales up its operations, it is clear that the company is not only investing in its future but also in the future of Zimbabwean agriculture.
The citrus project is poised to serve as a model for other companies looking to secure their supply chains in an increasingly competitive global market.