<\/p>\n
Tiger Brands has completed an investment of more than R200 million into its Paarl culinary mega-site, which has enabled the food producer to consolidate production of its iconic Mrs Ball\u2019s chutney in the region where it was founded in 1917 (it started in Woodstock, Cape Town).<\/p>\n
Until now, production has been outsourced to a third-party manufacturer in Gauteng.<\/p>\n
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This would\u2019ve made commercial sense at some point, but the dried stone fruit used in the chutney is grown near Ashton, little over 100km from the newly expanded factory.<\/p>\n
(Langeberg Foods, which processes the fruit, was owned by Tiger Brands until it was sold in October 2025. Tiger first announced its intention to exit that business in 2020, and a solution was eventually found that enabled it to dispose of the unit for a symbolic R1. The move preserved more than 3 000 permanent and seasonal jobs.)<\/p>\n
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The upgraded plant in Paarl has seen three production lines installed for Mrs Ball\u2019s, which together output between 140 to 145 tonnes of chutney a day.<\/p>\n
The Paarl site is a historic one for the group, having first opened in 1903.<\/p>\n
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It is the origin of the All Gold tomato sauce and jam brand (and products) under H Jones & Co.<\/p>\n
Celebrating \u2013 (from left): Paarl Culinary plant manager Roger Schierhout, Tiger Brands Culinary MD Dumo Mfini, Western Cape Premier Alan Winde, Tiger Brands CEO Tjaart Kruger, and Tiger Brands chief corporate affairs and sustainability officer Werna Oberholzer. Image: Supplied<\/p>\n
Biggest issue<\/p>\n
This upgrade is the first to go live under the group\u2019s structural investment plan introduced by CEO Tjaart Kruger, who joined in November 2023.<\/p>\n
Kruger says the group\u2019s capex averages R1.5 billion a year, with a peak of \u201cabout R2 billion\u201d next year. This will fix a core problem in the business that he diagnosed shortly after taking over as CEO.<\/p>\n
\u201cThe biggest issue we [will] have in five years is that we\u2019ll [have] the best products that we can get, but be too expensive,\u201d he warned the business internally.<\/p>\n
These investments will make its manufacturing facilities more efficient, enabling the business to be more \u201ccompetitive\u201d on the shelf in the categories it plays in, and still generate returns for shareholders.<\/p>\n
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When consumers walk into a store \u201cthey must look at our product and must look at the price\u201d and choose the Tiger product, says Kruger.<\/p>\n
In today\u2019s environment, it would be tough to compete when one\u2019s brands are at a premium of 30% or 40% to other options, including private labels or retailers\u2019 own brands, he explains.<\/p>\n
Under this plan, production is being consolidated with various projects underway at facilities including Boksburg in Gauteng (where it will add another vinegar plant to this culinary site, among other upgrades) and Mobeni in KwaZulu-Natal (snacks and treats).<\/p>\n
More projects<\/p>\n
It is also building a new R1 billion super bakery in Gauteng (set for commissioning in 2027), which will enable it to retire up to six smaller, ageing plants, and a \u2018mega\u2019 distribution centre in Gauteng will follow in 2028.<\/p>\n
Along with the investment for Mrs Ball\u2019s in Paarl, it has also built a dedicated vinegar production plant with capacity of three million litres per year (more than its current requirements in Paarl).<\/p>\n
The group uses vinegar in various key products, including Mrs Ball\u2019s chutney, All Gold tomato sauce and Crosse & Blackwell mayonnaise.<\/p>\n
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Tiger says the \u201cnew plant secures a significant portion of the internal supply for these brands, eliminating complete dependency on external sources and ensuring stable production\u201d.<\/p>\n
Production was severely disrupted several years ago when its supplier was unable to provide the ingredient.<\/p>\n
The third development at the site was the transition of its jam packaging from cans to recyclable PET (polyethylene terephthalate) containers. It is the first producer to make this shift in the jam category, and while it says this format is more convenient, it also offers obvious cost advantages.<\/p>\n
Today, the plant is the manufacturing site for the All Gold and Hugo\u2019s jam ranges, Mrs Ball\u2019s chutney (and sweet chilli sauce), Colman\u2019s mustard and Worcestershire sauce and its range of Crosse & Blackwell Kasi sauces.<\/p>\n
Some of the jam varieties produced at Paarl are intended for export markets, including Europe. (The group\u2019s tomato sauce and mayonnaise plant is based in Boksburg.)<\/p>\n
Tiger Brands share price<\/p>\n
#Tigers #R200m #spend #brings #Balls #home #Western #Cape<\/p>\n","protected":false},"excerpt":{"rendered":"
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