Confectionery maker Baker’s Inn says it will reach an installed capacity of 550 000 loaves by the end of the year buoyed by investment in plant and distribution network.
by BUSINESS REPORTER
Baker’s Inn is currently producing 355 000 loaves per day.
Chief operating officer Ngoni Mazango told journalists yesterday the company’s strategies were to get to full capacity and the company was working on improving its distribution in a quest to reach the target.
This will see the replacement of the entire fleet of around 200 vehicles. He said the capital expenditure towards growing the company would reach $50 million raised through a combination of internal resources and borrowings. Head of marketing Douglas Mangonya said 550 000 year-end target was “a journey that we are travelling”.
“We are in an open market where there are many players. We have repositioned the product so that we walk that journey,” he said.
Baker’s Inn has a market share of around 40%. Mazango said the reduction in the price of bread by the company has seen volumes going up by 30%. Baker’s Inn reduced the price of bread by 10% to 90 cents.