Namibia: Okahandja brewery starts brewing in 2014

SABMiller’s Namibian Brewery currently under construction, is expected to begin brewing its first products in mid-2014, almost a year earlier than previously anticipated. The brewery is currently under construction and is situated on a 7.2 hectare site in Okahandja. Good progress has been made by local contractors less than 6 months after beginning work, allowing the completion date to be brought forward significantly. Construction began in July this year, shortly after it was marked by SAB leadership and local national and regional government dignitaries with an official ground breaking ceremony on site. This is SABMiller’s first brewery in Namibia. SABMiller previously announced that it expected the brewery would be up and running in mid-2015 after an estimated 14 to 18 month building phase. However, this timeline has been fast tracked owing to construction progress. “The swift construction progress means we are even closer to fulfilling our commitment to the people of Namibia through our investment in the country’s economy and helping government realise its 2030 vision of an industrial nation. Most importantly, we have the opportunity to make a positive contribution to society,” said Cobus Bruwer, SABMiller Namibia Managing Director. While SABMiller will fully fund the projects, SABMiller Namibia will be 60% owned by SABSA Holdings (Pty) Ltd, a wholly owned subsidiary of SABMiller, and 40% by local Namibian partners comprising 20% Onyewu Investments and 20% by three charitable trusts for the benefit of local communities. The formation of the new entity allowed for the allocation of a sizeable shareholding to local partners for nominal consideration, which was an important empowerment initiative. The total investment in the brewery is estimated at N$420-million. (USD$45.7-m) which will make a meaningful contribution to the Namibian economy. Furthermore, several hundred largely local people will be employed and once it is operational, an estimated 100 full time jobs will be created. The company will also seek to make use of local suppliers whose products and services meet global brewing standards. The Namibian owned and run civil works contractor successfully tendered to construct the 260,000 hectolitre brewery, tipping other local, as well as South African based companies. The brewery site plan accommodates future growth. While the installed capacity of the brewery is 260,000 hl per annum which is expandable to 400,000 hl. SABMiller also plans to invest in a 750ml returnable bottle packaging line and warehouse facilities.