AFRICA outlook

Investment profile
The World Bank predicts the country’s
economy to increase by seven percent
this year and one man who is more
than aware of Mozambique’s potential
is Simon Everest, Country Manager for
Coca-Cola Sabco in Mozambique.
Coca-Cola Sabco has a huge 87
percent share of the carbonated drink
market in the country and has big
plans to grow the brand - and Everest
expects double-digit growth in the
next two to three years.
Conscious that new competitors
are being drawn by Mozambique’s
increasingly attractive economy as oil,
gas and mining operations grow, he is
working to raise the company’s game.
Coca-Cola however has clear
advantages in Mozambique. It’s
been operating there since 1994
when restrictions on South African
businesses operating in Africa were
lifted and it’s built up enormous brand
loyalty, a big factor in Africa’s markets.
The company also has what Everest
describes as “the best distribution
system in Mozambique and 1,000
experienced staff members” and
it’s strategically placed throughout the
elongated country with three plants:
one in Nampula servicing the North,
another in Chimoio servicing central
regions and a plant in the capital
Maputo servicing the
Southern provinces.
Everest says the locations
were carefully chosen because
of their geographic and strategic
importance, with Nampula covering
Northern provinces and Chimoio
placed equidistantly between the
port of Beira and the coal-producing
Tete region.
While the country’s roads could “still
do with some work” there is growing
investment into its infrastructure to
upgrade its railway connections, roads
and ports.
The company has committed
itself to the country and to increasing
its production capacity to meet
market demands.
“We’re investing $170,000 over the
next three years,” says Everest.
This includes installing a brand new
PET production line, a German-made
Krones line at the Chimoio factory,
which will triple PET capacity, which is
desperately needed.
They are also constructing a new
factory in Maputo where the present
facility is too small for production
needs. The new facility will ultimately
produce 140 million cases annually.
Phase one of the process is due to
be completed by the end of 2016
and will put capacity at about 95
million cases.
“We are making a very significant
investment because apart from
the production plant we are also
investing in coolers, vehicles and
people,” says Everest.
Mr Everest, who joined the firm in
November 2010, saw the potential
of the country and the company but
was also aware of big challenges
like capacity constraints that had to
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