Notes From Africa: Chicoa Fish Farm, OK Limited, Williamson Tea, Carrefour, Online Shopping
ESM is proud to launch a new weekly series, Notes From Africa, which will bring you the latest retail, consumer goods and food and beverage stories from across the African continent. Past editions can be found here.
In this week's report:
South Africa: COVID-19 Boost For Online Grocery Retail
Online grocery retail is booming in South Africa, as the COVID-19 pandemic has restricted access to physical shops. According to a recent MasterCard Study, 54% of shoppers have bought groceries through e-commerce channels since the pandemic started. The trend of online shopping is likely to remain even as COVID-19 subsides, as 71% of respondents said they will continue to shop online even after the end of the pandemic.
Rwanda: Government Prohibits Packaging of Alcoholic Drinks in Plastic Bottles
Rwanda's Food and Drugs Authority (FDA) has banned the use of plastic bottles for alcoholic drinks packaging due to environmental concerns and a potential health risk to consumers. The move has been welcomed by drinks makers, which have called for the establishment of factories making glass bottles to ensure the affordable supply of packaging materials in the country. This decision comes months after Nigeria announced its goal to cease production of alcoholic drinks in sachets by 2024.
Mozambique: Chicoa Fish Farm Gets Support For Expansion Bid
Chicoa Fish Farm has raised Series A funding totalling $1.5 million (€1.2 million) from Goodwell Investments. The funds will help the company to develop processing, distribution and sales of frozen tilapia products in Southern Africa countries such as Zambia, South Africa and Malawi. Chicoa Fish Farm, which operates an integrated aquaculture business, is aiming to produce over 5,000 tonnes of tilapia per annum, injecting more than $10 million of direct income into the local economy per year. Chicoa Fish Farm was founded in 2015 by Damien Legros and Gerard McCollum.
Kenya: Williamson Tea Posts Record Profit In H1
Kenyan tea manufacturer Williamson Tea has posted a 151% jump in net profit to Ksh33.9 million (€252,000) in the half year period to the end of September 2020. According to local media reports, the company, which is listed on the Nairobi Stock Exchange (NSE), attributed its triple-digit growth to the good performance in smallholder tea plantations linked to favourable weather. The company has also successfully navigated the troubling operating environment due to COVID-19. Williamson Tea's brands include Duchess Grey, Purple Blush, Mint Garden and Green Matcha.
Zimbabwe: OK Limited Sees 33% Drop In Half Year Profit
Zimbabwean supermarket chain OK Limited has reported a 33% year-on-year slump in group profit to $2.7 million (€2.2 million) in the first six months of its financial year, ended September 30. This poor performance is due to an extremely challenging trading market as containment measures related to COVID-19 disrupted supply and logistical chains and reduced demand. Revenue declined by 15.5% to $32 million during the period. OK Limited is one of the largest grocery retailer chains in Zimbabwe, with more than 60 outlets.
Kenya: Carrefour Opens New Store In Mombasa County
French retailer Carrefour has opened a new outlet in Mombasa, the second-largest city in Kenya. The launch of the new store, its first outside of Nairobi, brings to nine the total number of Carrefour stores in Kenya since it entered the market in 2016. Carrefour plans to open two mores branches in the country's coastal regions in the mid-term. The company's expansion approach has seen it take over spaces formerly occupied by retailers such as Uchumi, Nakumatt and Shoprite. Carrefour has reported a 28% rise in sales in Kenya, to Sh18.7 billion(€139 million) in 2019.
© 2020 European Supermarket Magazine – your source for the latest retail news. Article by Espoir Olodo. Click subscribe to sign up to ESM: The European Supermarket Magazine.