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George Chisoko recently in New Dehli, India
Zimbabwe has clinched a $30 million Indian investment deal to set up a state-of-the-art bottling plant that is expected to create 500 direct jobs and 3 000 indirect ones through downstream distribution activities. The investment facilitator, Savanna Tobacco executive chairman Mr Adam Molai, said in an interview that the business, which will bottle PepsiCo’s brands in Zimbabwe, will also include alternate beverages and packaged drinking water plants.

The rolling out of Pepsi chilling equipment to outlets has already started ahead of the ground breaking ceremony planned for November 14, with the official opening by President Mugabe scheduled for September next year. The investment is the brain child of Mr Ravi Jaipura through his company, Varun Beverages India, which is part of RJ Corp and will trade as Varun Beverages Zimbabwe Pvt Ltd

Mr Jaipura is listed in Forbes Magazine as one of the top 50 wealthiest Indians, with a net worth of $1, 67 billion. His company produces 55 million litres of ice cream a year and holds more than 50 percent of the Pepsi soft drink business in India. “It is an honour and pleasure to meet His Excellency President Mugabe and his Cabinet ministers,” said Mr Jaipura while confirming the investment to The Herald. “I would like to take this deep friendship and trust bestowed on me a step forward and become business partners.

“I would like to complete my first venture in Zimbabwe before the end of the year 2016. I love your beautiful country and have the desire to spend more time and further strengthen the ties of friendship and commerce between the two countries.” Mr Molai said the project would take off soon after the ground breaking ceremony next month.

“We are indeed excited with the development which will bring an initial $30 million worth of investment with more than $250 million expected as RJ Corp rolls out more projects under the investment portfolio,” said Mr Molai.

Under the RJ Corp portfolio, Mr Jaipura intends to drive investment in other key areas such as facilitating the support of small-scale potato farmers by setting up a potato processing plant that ensures food outlets and other such companies would buy processed French fries.

In addition to the beverage plants, the company would, as part of its investment drive, set up a tomato processing plant to sell the paste thereof to local food outlets for making pizza and ketchup and for export to India where Mr Jaipura owns a large chain of Pizza Hut and KFC outlets.

The company will also roll out a 100 Megawatt solar project once the approval has been secured, with the project expected to start within 12 months of being approved. Mr Molai said the bottling plant, tomato and the potato processing plants were in line with the Zim-Asset agenda as they all have a strong component of value addition and beneficiation, and infrastructure clusters that are key result areas of Zim-Asset.

Another project that was brewing was the establishment of a hospital in Zimbabwe in partnership with India’s Medanta Group. Setting up such a hospital would create “a regional medical tourism hub” as Zimbabweans would cut on the costs of flying to India for treatment, while the hospital would provide services to the regional market.

“We have facilitated these investments through our friendship with Mr Jaipura,” said Mr Molai. “I would also like to appreciate the role played by H.E. the President, Zimbabwe’s ambassador to India, Mr Maxwell Ranga, and the entire delegation of ministers and staff in supporting the initiatives and encouraging Indian investment into Zimbabwe.”

“What was achieved in India, in terms of business, reflects the possibilities when Government and private sector work together, collaboratively, in driving investment. “This model is a model for success that will see Zimbabwe becoming a major investment destination.”