Business Reporter
INSTALLATION of equipment of a fast consumer goods factory by South African firm, Willowton Group has started, with production lines expected to start running early next year.

The group is setting up the plant which produces a wide range of products including edible oils, margarines and spreads, toiletries, laundry and bathing soaps, candles, and stock feeds.

“Some major works have already started; some pieces of equipment are being installed as they arrive,” an official with the company told The Herald Business in an interview.

Willowton, which has budgeted $40 million for the project acquired some premises in Mutare. It will directly employ at least 100 workers and thousands in downstream.

The success of the project, which was granted National Project Status by the Government, will depend on the availability of feedstock.

As such, the company official said the Government would establish out-grower scheme mainly for soya bean.

Zimbabwe has serious shortage of oil seeds and the oil expressers have been largely depending on importing crude oil and soya beans to feed their factories.

The project is expected breathe fresh air in the Mutare business landscape which, in the recent years experienced de-industrialisation

as many companies were forced to close due to economic challenges.

Early this month, Cairns Foods, which was under care of judicial management since 2012 re-opened its Mutare branch. The new plant was acquired from China for about $260 000 and has capacity to produce 3,1 million units of Cashel baked beans per month.

The company said it is planning to raise capacity utilization from 15 percent to 80 percent by 2018.

Some of the big companies that have since closed shop include Mutare Board and Paper Mills, PG Glass, Karina Textiles, Hunyani have since closed.

Companies such as Allied Timbers Zimbabwe and Quest Motors, one of the country’s leading vehicle assembler are struggling.

Willowton has three plants in South Africa; Pietermaritzburg, Johannesburg and Cape Town.

Zimbabwe has four main oil expressers, with crushing capacity of 24 000 tonnes of oil seed per month.

These are ETG Parrogate, Surface Investments, Olivine Industries and URL.

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