Global beverage manufacturer Coca-Cola will embark on the construction of a US$60mn plant in Ethiopia
The company revealed that the step was taken to quadruple its production capacity and enable it to battle for a bigger share of the fast-growing market in Ethiopia.
Through its local subsidiary, East African Bottling Company (EABC), Coca-Cola has secured 30 hectares of land in Bahir Dar, approximately 578km north west of the capital city of Addis Ababa.
The plant will be Coca-Cola’s third factory in the Horn of Africa region, where consumption of soft drinks has been growing at an average rate of eight per cent every year.
The soft drink manufacturer will also invest another US$5mn in a plastic bottle manufacturing plant and a water treatment plant.
EABC managing director Greig Jansen said, “Ethiopia is Coca-Cola’s fourth most important market in Africa after South Africa, Kenya and Uganda. This plant will help us grow our market share.”
Construction of the plant will start early next year and should take 12 months to complete.
Currently, the company operates two plants in Addis Ababa and Dire Dawa, in the eastern part of the country. Coca-Cola has been also mulling investments in two more plants in Ethiopia.
