Coca Cola plans massive investment

Coca Cola Kwanza plans to invest 50 million US dollars (about 75bn/-) in machinery, human resources and distribution network to maximally tap the country’s growing market.

“We are looking forward to a fantastic 2012 year in our business in Tanzania,” General Manager of the Dar es Salaam- based Coca Cola Kwanza Bazil Gadzious told reporters over the weekend, noting that the investment will focus on new production line, coolers and distribution network.

He said Tanzania offers good business prospects for the soft drink company, adding that the firm targets double digit growth in business for the year 2012.

“While developed economies are in recession, the economies of most African countries, particularly Tanzania, have maintained impressive growth,” said Mr Gadzious, speaking on the sidelines of a meeting that brought together some 240 salespersons of the company from all over the country to strategise on the firm’s business.

The company’s Director of Public Affairs, Mr Evans Mlelwa, decried poor infrastructure and high taxes as the major challenges that the bottling firm faces.

“Tanzania is too big to supply our products…but with the planned investment, we want every citizen to drink cold Coca-Cola products,” Mr Mlelwa said.

He noted that the company has started to negotiate with the government to reduce the tax burden on soft drinks.

 “Taxation is a problem…every financial year, the government raises taxes on our products, ultimately hurting the final consumer,” said Mr Mlelwa, expressing optimism over a possible consensus for lenient taxation on soft drinks.
Source: The Daily News,www.dailynews.co.tz
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