Tetra Pak injects Sh300m in new factory

March 26, 2008 12:00 am

, NAIROBI, March 26 – Packaging firm Tetra Pak Eastern Africa Wednesday announced that it had set aside Sh300 million to upgrade its factory.

The firm’s Chief Executive Officer (CEO) Anders Lindgren said the money would be spent on upgrading the different parts of the factory including the printing, lamination and slitting areas.

At the same time, Lindgren said that despite major disruptions in the supply chain during the months of January and February, production had continued according to plan.

The factory currently produces around 1,000 tonnes of material each month, which equals approximately 800 million packages per annum.

The CEO said despite competition, the company had grown by 20 percent over 2007 due to market growth and an increase in key export markets of Uganda and Tanzania.

Stiff competition from local plastic bag manufacturers, had seen an increase in the total processed and packaged dairy products, he noted.

But he saw reprieve for the company as plastic packaging is not ideal for milk products which must be stored in a way safeguarding the cold chain to keep it from going bad.

Lindgren said he expects the company to increase its efficiency as a supplier to the liquid food industry in the region.

He enthused that the company was back on track to growth and that Kenya would see a quick recovery and strong future economic growth.



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