Tiger Brands invests 200 million rand in modern culinary complex in Paarl

Tiger Brands announced on Monday investments of 200 million rand in its facility in Paarl. This factory, which has been operating since 1903, will be transformed into a state-of-the-art culinary mega-site, including three specialized production complexes.

Growth Strategy and Capital Expenditure

These investments represent the company's first structural investment as part of its strategy to enhance competitiveness and stimulate growth. Over the next three years, Tiger Brands plans to allocate approximately 1.5 billion rand annually to capital expenditures, with peak investment reaching 2 billion rand.

Other Company Projects

Additionally, Tiger Brands has a super bakery in Pretoria, a project valued at 1 billion rand, scheduled to commence operations in 2027. The Mega Distribution Centre in Gauteng is also expected to become operational the year after the bakery launch.

At the Snacks and Treats facility in Ekurhuleni, Durban, production is being consolidated into a single mega-site, completion of which is planned for the end of this year. This consolidation aims to optimize processes and increase production efficiency across the entire company.

Modernization of Existing Facilities

The company has also completed the first major upgrade of its factory in Pietermaritzburg, which has been operating for 33 years. These improvements will allow for increased production efficiency, greater flour yield, and reduced waste.

The Boksburg Culinary production site, where well-known brands such as KOO, All Gold, and Cross & Blackwell are produced, has been expanded with a new Culinary Hub. This brings commercial and operational teams closer together, fostering innovation and improving collaboration.

Localization and Economic Benefits

Localizing production in Paarl brings significant benefits to both consumers and the economy. Raw materials are sourced from qualified suppliers, supporting South African agriculture and promoting local economic activity in the region.

The facility also benefits the Western Cape as a major employer and producer.

Management Comments

CEO Tjaart Kruger stated at the factory opening on Monday: 'Paarl has been a centre for South African food production for over 120 years. This legacy continues thanks to these investments. We are proud of expanding our presence here and supporting the local economy.'

He added that the stability of performance in the first half of the year, combined with the launch of structural investments, puts the company in a favorable position for the future. 'The Paarl mega-site is a tangible expression of this ambition.'

Raw Material Sources and New Developments

For the culinary complex in Paarl, Tiger Brands purchases primary agricultural goods throughout the province. For example, strawberries from Paarl and Stellenbosch are used for All Gold and Hugo’s Strawberry Jam, onions from Villiersdorp and Grabouw are used for Mrs Ball’s Sweet Chilli Sauce, and Seville oranges from Ceres are used for KOO Seville Jam, which is mainly intended for export markets.

The 200 million rand sum includes a dedicated vinegar production plant with an annual capacity of three million litres. Vinegar is a key component for several core products, including Mrs Ball’s Chutney, All Gold Tomato Sauce, and Cross & Blackwell Mayonnaise.

The second major step was the production of Mrs Ball’s Chutney at the Paarl facility using three production lines. Previously, this product was manufactured by a third party, and moving the brand under one site for the first time has strengthened the guarantee of quality and supply for one of the country's most beloved brands.

The third change is the transition to recyclable PET containers instead of jars for jams. This change offers substantial advantages to most consumers, who no longer need to place jam in additional packaging upon purchase.

Dumo Mfini, Chief Commercial Officer for Culinary Business at Tiger Brands, noted: 'Bringing Mrs Ball’s in-house, securing our vinegar supply, and improving packaging allows us to focus on driving growth and more fully meeting consumer needs with convenient packaging solutions.'

autopapo.com.brJuly 22, 23:00

GM reaches milestone of 5 million vehicles produced at Gravataí factory, RS

General Motors has reached the milestone of five million vehicles manufactured at its Gravataí unit, located in Rio Grande do Sul (RS). The factory, which has been operational since 2000, celebrated this achievement in an event held directly on the production line. Currently, the plant is responsible for assembling the Onix Hatch, Onix Plus models, and more recently, the Sonic.

Plant Structure and Pioneering Role

The Gravataí unit was the first GM factory established outside the state of São Paulo and stands out in Latin America for being a pioneer in implementing the industrial condominium model. This format integrates, in addition to the assembly line, thirteen strategic suppliers and one logistics provider, providing advantages in terms of agility, economies of scale, and logistical optimization.

Launch of the New Sonic

The vehicle that completed the count of 5 million was the new entry-level SUV. Despite being a recent launch, the Sonic demonstrated a notable impact on Gravataí's production, registering sales of 14 thousand units in its first week alone, as disclosed by the automaker.

Expansion and Future of the Model

Thomas Owsianski, President of General Motors South America, participated in the ceremony and highlighted the relevance of the new model for the Chevrolet assembly line in Brazil. He stated that the Sonic represents a substantial investment, exceeding one billion reais, and has significant volume due to the strong growth of this segment both in Brazil and the rest of South America.

Owsianski also announced that in the coming months, GM will introduce additional versions of the Sonic and expand the model's commercialization to other South American countries, including Argentina, Colombia, Peru, Uruguay, and others.

Investment and Technology History

With 26 years of operation, the Gravataí complex has an installed capacity of up to 330 thousand vehicles annually and operates with a complete industrial infrastructure, covering stamping, polymers, bodywork, painting, and general assembly, ranking among GM's best-performing global operations. Throughout its history, the factory has undergone four expansion phases, consolidating the production of iconic models such as Celta, Prisma, the Onix family, and more recently, the Sonic.

The modern complex utilizes hundreds of robots, smart cameras, artificial intelligence, and integrated systems. Since its inauguration, four major investment cycles have been carried out, totaling R$ 6 billion, aimed at increasing productive capacity and raising the level of automation and AI:

2000: Inauguration with Celta production (initial investment of R$ 1.1 billion)
2006: Expansion for Prisma sedan production (R$ 240 million)
2010 to 2012: Expansion for the arrival of the Onix (R$ 1.4 billion)
2019: Line modernization for the launch of the new Onix and Onix Plus (R$ 1.9 billion)
2024: Announcement of R$ 1.2 billion for modernization, portfolio renewal, and preparation for the Sonic

Thomas Owsianski concluded by stating that Gravataí's journey mirrors the evolution of General Motors itself in South America. He emphasized that over 26 years, the unit has increased its competitiveness, adopted new technologies, and built an industrial base suitable for the company's future transformation processes, with the 5 million vehicle mark reflecting this evolution and the effort of the teams.