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South Africa’s Tiger Brands says its new plant to help cut costs, lower prices

Published

8 months ago

April 14, 2024

Tiger Brands, South Africa’s biggest food company, says that its 400 million rand ($16 million) peanut butter factory, which opened on Friday, will help it cut costs and give customers more products at lower prices.

Its managing director for culinary, Dumo Mfini, told journalists that the new plant will let the company run two lines for different-sized jars at the same time, instead of just one. The plant is in Krugersdorp, west of Johannesburg, and will make the Black Cat brand.

“We can now produce faster,” Mfini said, adding that the company was becoming more flexible in bringing out new products. In February, the company reported flat to lower operating income for the six months ending March 31.

Tiger Brands, which also makes KOO baked beans, Albany bread, and Jungle Oats, says that peanut butter makes up 50%, or 1.7 billion rands, of the country’s overall spreads market. Margarine is not included.

The factory will be able to make about a million bottles of peanut butter every month. It will also lower the group’s costs, which will help it meet customer needs for affordability in a world where prices are high, said Tjaart Kruger, CEO of Tiger Brands.

“Our unit costs will go down because of how we make things here,” Kruger told reporters. Kruger also said that the plant would make more plastic tubs and tubes, which are cheaper ways to package things than glass jars.

After Russia invaded Ukraine and caused more problems in the supply chain linked to the pandemic in 2022, prices for almost all raw materials, energy, and packaging went up, making it hard for companies that make consumer goods around the world. Because of this, companies have raised their prices, but this is hurting customers’ wallets and making them switch from expensive brands to cheaper ones.

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Moroccan annual inflation rises to 0.8% in November

Published

1 day ago

December 21, 2024

Ifeoluwa Dada

Morocco’s statistics office has confirmed that the country’s annual inflation rate, as determined by the consumer price index, increased from 0.7% in October to 0.8% in November.

Monthly, consumer prices decreased by 0.2% from October.

The primary driver of inflation, food costs, grew by 0.8% compared to the previous year, while non-food inflation climbed by 0.7%. Core inflation, which does not include more erratic items like food, increased 2.6% annually and 0.2% monthly.

According to the central bank, inflation is expected to average 1% this year, down from 6.1% last year.

Despite the Al-Haouz earthquake, a spike in inflation, and worldwide economic challenges, Morocco’s GDP grew by 3.4% in 2023.

A recovery in tourism, robust industrial exports, and rising private consumption—all bolstered by prudent macroeconomic policies—were the main drivers of growth.

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Nigeria’s $42bn foreign reserves enough for 9 months’ imports— Central Bank

Published

2 days ago

December 20, 2024

Ifeoluwa Dada

According to Olayemi Cardoso, Governor of the Central Bank of Nigeria (CBN), the nation’s $42.01 billion in foreign reserves can cover imports of goods and services for almost nine months.

Cardoso promised Nigerians improved economic fortunes in 2025 while addressing the Senate Committee on Banking, Insurance, and Other Financial Institutions yesterday in Abuja at the presentation of the performance index report.

Cardoso stated: “External Reserves rose from $ 38.35 billion it was on September 30, 2024, to $ 42.01 billion as of December 12, 2024”.

He clarified that third-party receipts in Q3 2024 and revenues from taxes connected to crude oil were the main drivers of the rise in foreign reserves during the specified time.

“We saw remarkable improvements in our trade balance and maintained a current account surplus,” he added.

“Our external reserves level can finance over 9.09 months of import of goods and services or 13.91 months only, higher than the international benchmark of 3.0 months and a robust buffer against shocks”.

On cash shortage, the CBN boss reiterated the N150 million fine against any branch of banks caught illegally distributing new Naira notes to currency hawkers and unscrupulous elements and said the Nigerian economy will improve in 2025 through policies and measures.

He predicted a stronger economic future: “Despite our economy’s challenges, there are clear reasons for optimism.

“The gradual stabilization of the forex market, ongoing banking sector recapitalization, and positive growth trends in key sectors, especially the services sector, indicate a path toward recovery and stability.”