R50-m dairy processing plant for Coega

THE Coega Development Corporation (CDC) will launch a dairy processing plant with an initial investment of R50 million in September, it said today (June 29).

“Coega Dairy (Pty) Ltd is owned by Coega Milk Producers Organisation (Pty) Ltd (CDMPO) and will invest initially approximately R50 million required to tool and operate the plant,” CDC said in a statement.

The CDMPO is owned by 13 commercial dairy farmers.

The business operations would take place in a 3956 square metre building in Zone 3 of the Coega Industrial Development Zone, which is situated outside Port Elizabeth.

It would create 754 indirect jobs, 200 farm jobs, 70 operational jobs and 50 construction jobs, the CDC said.

“By the end of 2013, the investment would have grown to R150 million. The company is currently raising finance for a 40% equity stake for their empowerment partners.”

The shareholding would be modified in 2012 to include the Coega Empowerment Trust, a body which would include previously disadvantaged community commercial dairy projects, black factory employees of Coega Dairy, and dairy farm labourers.

The CDC said the processing plant would consume 50 percent less water, energy and chemicals than other plants.

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