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MOHA Orders Plastic Bottle Machinery from France for $9m

Production to skyrocket from about 3,000 to 14,500 bottles per hour

 

MOHA (Mohammed Hussein Ali Al-Amoudi) Soft Drinks Industry SC placed an order to Sidel, a company based in France, for 6.5 million euros (nine million dollars) worth of plastic bottle manufacturing machinery as part of the expansion of its existing factory. An additional 1.5 million euros (2.08 million dollars) has been allocated for the civil work of the new plant, which will be constructed in the factory compound in the Samit area of the Bole District.

“The money has been availed by Mohammed Hussein Ali Al-Amoudi’s account outside Ethiopia,” said Getachew Birbo, CEO of MOHA.

The new machines are expected to be delivered by May 2010. It will be installed at the existing factory facility.

The factory expansion was planned in response to the national economic growth and the preference of consumers in rural areas and large scale farms and construction projects for plastic bottles, Getachew said.

The purchase of the machinery was approved by Al-Amoudi, after he approved the company’s corresponding study.

MOHA already has plastic bottle manufacturing machinery which manages 2,500 to 3,000 bottles an hour, according to Getachew.

“The new machine will produce 14,500 bottles an hour in one, 1.5 and 2.5 litre capacities,” he said. Of the products 80pcs will be used for soft drinks and the rest for Kool [brand] water.”

The company’s products include Mirinda, Pepsi, 7 Up, Mirinda Tonic, Mirinda Apple, Kool and Bure Water. It has an annual capacity to produce 27 million crates of soft drinks. Kool is now limited to the Sheraton and a number of other hotels while the market for Bure Water is in the Amhara Regional State and the Metekel Zone of the Benishangul-Gumuz Regional State. MOHA plans to expand the market for Kool beyond its current level.

MOHA was established in 1996 by acquiring Pepsi-Cola plants from the government in the same year at a total cost of 111.8 million Br (17.5 million dollars at the exchange rate of the time).

In 2007, the company inaugurated another plant in Hawassa Town in the Southern Nations, Nationalities and Peoples Regional (SNNPR) State, which it erected at a total cost of 127 million Br. MOHA now has four plants in Dessie, Bure, Addis Abeba and Hawassa.

 
 

By WUDINEH ZENEBE
SPECIAL TO FORTUNE

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