Harare, Zimbabwe – Schweppes Zimbabwe, a leading regional beverage company, has announced a US$28 million investment in a new citrus project to stabilize the supply of its iconic Mazoe Orange Crush.
The project aims to address challenges faced by Schweppes due to fluctuating supply and inconsistent quality from local farmers. To mitigate these issues, the company has acquired 4,000 hectares of government land and plans to cultivate 700 hectares initially.
This investment is part of a broader strategy to ensure a reliable and consistent supply of oranges, which will benefit both Schweppes and its customers. The project is expected to generate US$31.5 million in export revenue, boosting the company’s regional market position.
By controlling its supply chain more effectively, Schweppes aims to reduce risks associated with external sources. However, this move could have mixed effects on Zimbabwe’s local industry and consumers.
While the project promises to invigorate the local agricultural sector and create jobs, it may also intensify competition among citrus farmers. Additionally, consumers might face short-term price increases due to the initial investment costs.
Existing citrus suppliers may also face challenges as Schweppes gains greater control of its supply chain. However, the project could also open up new opportunities for collaboration and knowledge sharing within the agricultural sector.
Schweppes has a history of investing in citrus production. In 2021, the company announced a US$35 million investment over 10 years, focusing on a 2,700-hectare plantation.
The goal was to boost production and value addition at the Beitbridge Juice Processing Plant. However, limited local supply and competition from export markets presented challenges.
The new plantation included 300 hectares reserved for community development in Beitbridge, and the company also planned to install a mini-solar power plant and utilize the Zhovhe Dam for irrigation.
“This investment will not only increase our local production but also enable us to explore new export markets and provide additional job opportunities for the local community,” said Charles Msipa, Managing Director of Schweppes Zimbabwe.
