Spreading out

In its single-biggest capital investment in South Africa, one of the continent’s major food-processing companies Tiger Brands has launched a new ZAR300 million peanut butter manufacturing and bottling plant.

The new plant, situated in Krugersdorp in Gauteng, will process 1 million jars of Black Cat peanut butter a month.

Besides offering more space, increased capacity and an improved research and development facility, the new facility includes a more flexible packaging line, enabling the use of PET (polyethylene terephthalate) packaging instead of more expensive glass.

‘Consumers are seeking affordable and healthy food options, and peanut butter is a staple in the South African diet,’ says Tiger Brands chief executive Tjaart Kruger.

According to FoodforMzansi, peanut butter accounts for ZAR1.7 billion or 50% of the total South African spreads market (excluding margarine), with Black Cat selling 5 million kg through formal retail stores annually.

Kruger says the new facility ‘will allow us to be more flexible, efficient and cost-effective, all while meeting the needs of our customers’.