Kwekwe plans to dispose of brewery, abattoir

01 Dec, 2017 - 02:12 0 Views

The Chronicle

Amanda Chikari, Midlands Reporter
THE City of Kwekwe has announced plans to dispose of its defunct brewery and abattoir units as it is struggling to attract partners for their revival.

Council has, for the past few years, been scouting for investors to take over the subsidiaries although some councillors insisted on a forensic audit of the obsolete traditional brewery to ascertain its market value.

The local authority admitted that it can no longer afford to run the two entities due to the difficult economic conditions and limited resources. As a result of the salary back log and the demand by workers for salary increment, the council says it was struggling to meet its obligations hence the move to lease the two entities to private partners.

Mayor Councillor Matenda Madzoke said they were going to flight tenders for the last time before doing away with the entities.

“We have been looking for private partners for our brewery and abattoir for years now but there are no takers. In March we advertised a tender seeking partners to revive the brewery and abattoir but takers have come on board. We are therefore left with no option but to dispose it, a very unfortunate development since council stands to lose because the revival of the two entities was going to benefit council and the residents at large,” he said.

Clr Madzoke said in as much as they wanted partners to help us run the entities, they have failed to attract one.

“This time around we have decided to set other conditions, which are favourable to interested partners. If we again fail to obtain one we will write off the two entities and sell them out,” said Clr Madzoke.

Three years ago, the local authority signed a lease deal with a private company, Limsol Trading, but the deal collapsed after the latter failed to inject the required capital to turn around the firm. Council has already lost over $50 000 in labour disputes as former workers at the beer concern demand their dues.

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