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National Blankets

Business Reporter
BULAWAYO-based textile company, National Blankets, could come out of judicial management soon after production rebounded. Judicial manager Phillip Ndlovu said that there was consensus among the company’s creditors that the company should now come out of judicial management.

“We had an annual general meeting two weeks ago and all the creditors agreed that it’s time to bring the company out of judicial management.

“We’re now working towards achieving that goal and we hope the company will be out of judicial management soon,” he told Ambassadors and representatives of regional and continental lending institutions who visited the company last week.

Ndlovu said that he was confident that the company was now in good stead to operate profitably since the injection of $2.3 million by creditors to kick start operations.

“Since the injection of the money, which went towards buying new machinery, the company is well placed to supply the market,” he said.

Ndlovu said there were plans to diversify the business through the production of canvas products.

“As you know blanket sales are seasonal so we want to manufacture canvas products to sell during the off peak period,” he said adding that the imposition of duty on blankets would also help the company to increase production.

Ndlovu said they were also working on rationalising the loan they accessed under the Distressed Marginalised Areas Fund and had since approached the Zimbabwe Asset Management Company (Zamco) in that regard.

“We’ve made representations to Zamco and provided them with all the information and we’re waiting for their response,” he said.

The company, which has been under judicial management since 2010, currently employs 100 workers out of a potential of 500 workers when operating at full capacity.

The company produces a variety of blankets and recently introduced personalised blankets in a bid to diversify its product mix.