Business

Sefalana brings Delta Dairies products back

In the group’s 2016 annual report, the managing director, Chandra Chauhan said the group intends to re-launch the Delta Fresh range of products, which will include full cream and low fat variants of the products.

“This was a very successful brand, which unfortunately collapsed under its previous ownership. We are excited about bringing this Botswana brand back into the market,” he said.

The MD said the plant has been tested and restored as additional equipment was procured to ensure that it is fully operational adding that the manufacturing of milk commenced in December last year.

Chauhan said they have also been awarded a tender to supply children’s milk feeding scheme.

“The tenderer who was awarded the contract was not able to supply the milk to the government, which resulted in our subsidiary, Foods Botswana being approached subsequent to the year end to supply part of the contract volumes in the run up to the issue of the 2016 tender, which is expected to be released towards the end of the year,” he said.

Chauhan added that the establishment of the plant has resulted in the re-employment of a number of staff members who were affected by the liquidation process. In addition, he noted that the group has also purchased the Delta Dairies property in Broadhurst where its newly acquired plant is located.

“This allows us to carry out the necessary developments to the site to enable us to move the fruit juice plant to this site from Ramotswa along with any additional beverage lines that we introduce.”

During the year under review, the group purchased another building that previously housed Golden Fruit juice business in Ramotswa, which they intend to renovate this financial year.

On their expansion plans the group seeks to open about six more stores in Namibia in the next financial year to reach their medium target of 20 stores across the country. Currently, the company has 14 stores in Namibia. “Our medium target is to reach about 20 stores across the country, and right now other potential sites in Namibia are being considered for additional store openings,” Chauhan said.

However, the MD noted that the weakening of the Namibian dollar over the year had resulted in a loss in the translation of the net investment value of the Namibian business.