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Industry and Commerce Minister Mike Bimha(left) listens to Chloride Zimbabwe managing director Milton Macheka (centre). Looking on is Art Corporation chief executive Tapiwa Ameer (right) at the launch of a battery manufacturing plant in Workington yesterday

Business Reporter

Art Corporation’s battery manufacturing subsidiary, Chloride Zimbabwe is now operating at full capacity after seeing increased volumes following restrictions introduced by Government on imported batteries under Statutory Instrument 20 of 2016 in February. SI20 of 2016 removed from open general import licence certain batteries, candles, floor polishes and tobacco twine.Speaking at the launch of Chloride’s battery manufacturing plant yesterday, Art Corporation board chairman Dr Thomas Utete Wushe said capacity had increased to 100 percent from 70 percent previously.

“We approached the Ministry of Industry and Commerce seeking for an incubation period to enable us to catch up with the rest of the world in terms of technology. This factory that time was running at 70 percent capacity.

“We are grateful that the ministry included batteries under SI20 and as a result of this we are now running at full capacity. On our part we pledged that we are going to invest in new equipment to enable us to compete with imported products,” said Dr Utete.

Chloride Zimbabwe yesterday commissioned a $3 million battery making equipment sourced from South Korea through a three year finance facility arranged by the major shareholder, Taesung Chemical Limited.

The investment has seen an increase in production to 360 000 batteries per annum from 240 000 previously.

“We estimate the current market size is only for 300 000 annualised, so we will be able to supply the local market and have excess for exports. The excess capacity will be exported to Zambia, Malawi and Mozambique. We are also in the process of opening other regional markets,” said Dr Utete.

He added that the investment will also result in reduced costs of production, better quality and a wide range of products including the Exide solar battery. This new technology will enable the company to manufacture maintenance free batteries, a first in Zimbabwe.

Industry and Commerce Minister Mike Bimha officiating at the event highlighted that Government is impressed with the commitment shown by Art Corporation in driving the value addition and beneficiation agenda forward.

He said restrictive measures recently implemented by Government on certain imports are only temporary and companies should take advantage of this period to retool and capacitate themselves against competition.

“The restrictive measures are only temporary and as such, all companies that are being protected now should brace themselves to be able to stand on their own and face competition by investing in more efficient technologies,” said Minister Bimha.