Following unsuccessful court bid to challenge alcohol ban, Kgalagadi Breweries (Pty) Limited (KBL) has announced today that it will suspend a majority of operations at all sites from Monday, 9th August 2021.
A statement from the company said, after the announcement of the alcohol ban on 28th June 2021, KBL immediately stopped production at the Francistown and Gaborone Chibuku plants, due to the nature of the product.
However, KBL continued production of clear beer brands with the intention of building stocks in anticipation that the ban would be lifted sooner rather than later.
“We are now on the 39th day of the alcohol ban; and without line of sight of when the ban will be lifted, we cannot continue to produce indefinitely,” said the statement.
“Therefore, from 9th August, employees will be asked to remain at home until further notice, and a minimal number of critical operations will continue at select Gaborone sites only.
‘The extent of the impact of this suspension on employees is still under consultation with all relevant parties.”
KBL said it had previously aligned with suppliers of the decision to suspend, until further notice, payments due from 5th August 2021.
“KBL is painfully aware of the impact this will have on our employees and the overall supply chain whose livelihoods depend on the beer industry and requests their understanding,” the brewer said.
“We will continue our efforts to engage Government on this critical issue, which has had a devastating impact on the 50,000 lives and 200,000 livelihoods represented in the industry and our extensive value chain.”