Castel Malawi prepare to close production factory in Mzuzu
Castel Malawi officials have confirmed that the privately owned French beverages company is to close its production factory in Mzuzu, threatening many job cuts.
The managing director for Castel Malawi says there is a drop of sales of Sobo squash by 40 per cent since 2012, saying this has pushed the cost of production up.
“The factory is now being relocated to Blanyre,” he said.
He said the factory has only five days of production in a month, saying the losses are huge.
Malawi Bureau of Standards have been removing Sobo squash from shops because the company uses tertrazine, a deadly chemical used to colour drinks.
The ban of tertrazine in sobo squash drinks has forced the beverage company to halt production of the drink.
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Anthu omwe amagula pano anasamukila ku BrantAya…nde ati agule ndi ndani/
Sorry many of my fellow Tumbukas who worked at Castel will have no jobs.
Man this has nothing to do with Tumbukas, this has to do with bad economy on this banana republic , never use tribes on professional issues,all the people will be jobless regardless of tribe race, origin, so get civilised my brother, Malawi is losing on its TAX contributions if people lose jobs
MBS are sometimes too Harsh on Malawian Companies nditonena achina ngati Sobo ,PTC zomwe Anasiya Angwazi.Khoma ma company Amwenyewa akupanga umve koopsa,malipironso poor,working environment poor .Mmene tinayambira kumwa Sobo muja bwenzi titafa khale.
Don’t worry in fact sobo has been monopolising the market. This will give room to other players who in place will also employ more labour than sobo did
The company will close shop just in the same way Unilever closed shop in Limbe. Those are effects of liberalising the economy wholesale without considering the protection of local companies.