Zimbabwe plant planned

The cigarette manufacturer Gold Leaf Tobacco (GLT) is planning to set up a multi-million-dollar manufacturing plant in Zimbabwe within the next 18-24 months, according to a story in The Herald.

It is said to be set on using Zimbabwe as a regional launch pad.

GLT has reportedly been manufacturing in South Africa while sourcing 80 of its raw materials from Zimbabwe.

But GLT’s Zimbabwe manager Tanaka Matimbe said this was about to change. “We are looking at setting up a manufacturing concern within the next 18 to 24 months in Zimbabwe,” he said. “This is predominantly driven by the lag time between the time that you order machinery and the time it is delivered.”

He said the capital expenditure on the plant would run into millions of dollars.

Matimbe was speaking at a function to reintroduce to Zimbabwe GLT’s Rudland and George cigarette brand.

GLT has had to navigate a legal battle with a competitor over the use of RG as a shortened form of the brand name.

Matimbe said the company had appealed to the Supreme Court against a ruling that had led to the removal of its product from shelves.

“This is contrary to the previous reports which were publicised that we had lost the case,” he said. “We still believe that we have no trademark case to answer but we shall let the law take its course.

“As a business, we have however taken the decision to get back on track and not focus on the legal hiccups that we are going through.”

GLT is targeting 20 percent of the Zimbabwe cigarette market with, initially at least, three versions of Rudland and George: Red, a toasted American-blend product; Menthol, a flavoured Virginia-blend cigarette; and Blue, a plain Virginia blend.