Failure of its biscuit manufacturing plant unit to meet threshold targets over time may have forced closure of the plant, but the Bolux group is nevertheless looking to a bright future.
Other than supplying 15 percent of the local biscuit market, with the rest exported to South Africa, Zambia, Zimbabwe and Namibia, Bolux also produces pasta, maize and flour, most sought after commodities in Botswana.
“By taking this strategic decision to close down the biscuit plant, Bolux Group will put more focus on its core activities,” said Bolux Group Product and Business Development manager, Jonann Swanepoel. “We are definitely certain of a bright and sustainable future. This guarantees success even with the economic downturn at hand.”
Swanepoel further stated: “The closure will most definitely affect the image of our company but this will allow us to become a world class food manufacturer by directly focusing on core business aspects that have made the business successful over the years.”
He said further retrenchments and restructuring would be prevented, with the company remaining true to its slogan ÔÇô ‘Food for the nation’.
Meanwhile, Choppies Group Chief Executive Officer, Ramachandran Ottapath, said that the closure of the plant at short notice is an inconvenience because Bolux was manufacturing and supplying Choppies branded biscuits.
Choppies now faced the challenge of looking for another company to manufacture and supply its branded biscuits.
“The closure is going to have a significant impact on the economy, more so that there is a major challenge of unemployment in the country,” Ottapath said.
The shutdown of the plant is expected to affect an estimated 100 employees who are expected to be declared redundant.
But Swanepoel said Bolux would in the long term consider all possible alternatives to support the affected employees, but did not go into details.
He said the company has clear intentions of ensuring a sustainable future for the remaining 550 employees.
To enhance existing brands, the company is investigating new products as brand extensions, and is also seeking more innovative ways to create better brand awareness for its customers.
