Lager production up 11%

DELTA Beverages says its lager portfolio is performing better than the previous year, with a target of producing more than two million hectoliters this year, up 11% from the previous year.

Last year, the company produced around 1.8 million hectoliters of beer.

“Currently, we are ahead of the previous year. We hope to exceed two million hectoliters of blond beers this year. You would have seen last year that we passed the 1.8 million hectoliter mark, so we are well on our way to that goal,” said Kundayi Mawema, Marketing Director of Delta Beverages (lager), during a interview during a visit to the Delta Lagers factory in Harare.

Mawema said the Sable brand was growing and operating ahead of projections.

“Our brand and our market pack are in very good health. You will see a good representation of all our brands. You will also see the addition of a new brand, Sable Lager to the portfolio. This was launched in April, so it’s a new brand. So additions like this to our portfolio will actually augment the broader total category,” she said.

Sable Lager was an addition to already well-known lager brands including Castle, Black Label and Zambezi.

“So the more we grow and expand our portfolio of brands as well as our portfolio of packs, then we will be able to achieve our goals,” Mawema said.

Delta, she said, will continue to invest in glass to ensure consistent bottle availability to customers.

She said the beverage maker had rebranded its beer tanks for some of its major beer brands just to reinforce the message that its brands were still going strong.

“We are only growing as a company and we continue to invest in our brands. This is just to confirm that we remain committed to creating brilliant brands, not only for our customers but also for our merchants. We are here to stay and we will continue to invest in the business and we will continue to grow and do exciting new things for the public,” Mawema emphasized.

According to the business update for the quarter ended June 30, 2022, lager volumes increased 19% year over year.

The recovery in volumes was supported by the improvement in the offer of brands and packs, which benefited from the injection of returnable glass.

Group revenue increased 55% for the quarter in inflation-adjusted terms compared to growth of 283% in historical cost terms. This reflects volume growth and replacement cost pricing.

Sorghum beer volumes in Zimbabwe increased by 14% for the quarter compared to the previous year, driven by the Chibuku Super product, while sparkling beverage volume increased by 32% and continues to recover market share .

For Associates, African Distillers Limited (Afdis) volumes increased 18% for the quarter while Schweppes reported volume growth of 9% for the quarter, which was limited by a shortage of fruit juices for the flagship Mazoe Orange Crush.

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