Photo by: Creamer Media's Darren Parker
The South African Breweries (SAB) has announced a R5.8-billion investment commitment to the South African economy this year in addition to the R11.7-billion invested in the preceding two years.
Of the amount to be invested by SAB in 2023, R2.4-billion will be allocated to new developments supporting growth and cost initiatives, including a R555-million expansion of the Ibhayi Brewery, and R3.4-billion will be allocated to sustaining SAB’s operations and infrastructure.
“We are once again proud to support President [Cyril] Ramaphosa’s investment drive and the South African Investment Conference (SAIC). We have, for many years, proven our ability to drive economic growth and transformation in an inclusive manner,” said SAB CEO Richard Rivett-Carnac.
“Through knock-on and multiplier effects, our R5.8-billion investment is anticipated to contribute billions to our gross domestic product (GDP), which, alongside the other investment commitments tabled at the 2023 SAIC, will provide a significant boost to an economy sorely in need of stimulus,” he added.
SAB invested R4.5-billion in 2022, which included a R925-million investment into its Prospecton Brewery and the R510-million into Ibhayi Brewery.
The investment into the Prospecton Brewery is expected to create 25 000 additional jobs, while the Ibhayi Brewery investment is expected to result in the creation of 14 000 additional jobs throughout the beer value chain across South Africa.
“Our commitment to invest a further R5.8-billion and our support of the [2023 SAIC] conference demonstrates our belief that the ongoing work with government is creating a conducive operating environment that allows for investments and facilitates the future growth of businesses. We are positive about the future of the country and are making further investments because of the potential in South Africa,” Rivett-Carnac said.
“However, we are also very aware of the challenges that the country currently faces. We cannot talk about a sustainable business environment without addressing the impact that energy, transport, safety and security and water shortages have on our productivity,” he added.
“We are encouraged by, and supportive of, the work government, and [what] the dialogue with government, is doing to address the energy and resource challenges, but, given where we are, more work needs to be done and we will support initiatives that help to maintain the continuity of operations, prevent losses and support economic growth,” he noted.
“Our big dream for South Africa is to support gross domestic product growth, create jobs and contribute meaningfully to society. Our investments in 2023 will help us reach that dream. We remain optimistic about South Africa’s potential and are committed to playing our part in stimulating a much-needed recovery and creating a future with more cheers,” Rivett-Carnac said.