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R500 million investment ploughed into KZN by Tetra Pak

R500 million investment ploughed into KZN by Tetra Pak

Estimated reading time: 3 minutes

The Swedish food packaging and processing firm, Tetra Pak, invests R500 million in its Pinetown facility.

On Monday, October 25, 2021, the company stated that the investment would upgrade and expand the plant’s capabilities. Further noting that the improvements will take several years, beginning in the first quarter of 2022.

Tetra Pak processes and packages various items, including ice cream, cheese, pet food, and fruits and vegetables. Additionally, the company offers packaging equipment for liquid food products.

The Pinetown facility will serve as the company’s South African base, generating both direct and indirect employment opportunities in the region.

It’s worth noting that the new packaging technique being implemented at the company will consume less energy and water throughout the processing phase. As a consequence, carbon dioxide emissions will be reduced. The factory will also use alternate green energy sources.

While the investment is primarily a commercial choice, Stefan Fageräng, Managing Director of Tetra Pak South Africa, explains the other variables to consider. According to Fageräng, the investment is also a much-needed morale lift for both KZN and South Africa.

Furthermore, he asserts that, in addition to helping its customers, the Pinetown plant upgrade provides several opportunities for the surrounding communities.

According to Fageräng, the investment would move Tetra Pak closer to using sugarcane as a raw material for locally made bio-based plastic material.

KZN Premier Sihle Zikalala has praised Tetra Pak for their trust in the resiliency and revival of the KwaZulu-Natal economy. Especially since their multi-million rand investment will result in new jobs in the aftermath of the COVID-19 outbreak and accompanying socioeconomic issues.

“Tetra Pak South Africa has firmly nailed its colours to the mast in announcing this R500 million upgrade to increase the production capability of this aseptic packaging material factory in Pinetown, KwaZulu-Natal. Critically, this confirms Tetra Pak’s long-term commitment to KwaZulu-Natal, and it taps South Africa as a key manufacturing hub with the capacity in infrastructure and skills to serve all the Southern Africa markets. We welcome this injection of half a billion rand into our economy which will certainly foster economic growth and boost much-needed jobs in the province,” said Premier Zikalala.

He says that when the world economy suffers due to the COVID-19 outbreak, the provincial government is glad that the firm’s investment would protect about 120 jobs. This is with an additional minimum of 20 new technical professionals to be employed.

Premier Zikalala further stated that the Tetra Pak investment strengthens and vigors Sweden-South Africa amicable fraternal connections.

“Working with a country like Sweden and a company like Tetra Pak, we are confident that we can grow the provincial economy, create employment, and lift the living standards of all our people, black and white. Our government has a carefully conceived programme of radical socioeconomic transformation that is being implemented on a daily basis with demonstrable results. Our task is to help support skills development, attain policy certainty, remove red tape, fight crime and protect investments,” said Premier Zikalala.

As Tetra Pak paves the way to further economic development in KZN, what are your thoughts? 

Share your thoughts in the comments section below.

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