Forex shortages choke Delta


Delta Corporation Limited says it has not been able to source enough foreign currency to import critical raw materials, a position, which has affected the manufacture of soft drinks.

The company said it has already exhausted credit limits with most of its foreign suppliers and has started giving priority to bottled drinks to ease the shortage because soft drinks and Maheu factories were currently running at less than 50 percent capacity.

Delta’s Corporate Affairs Executive Patricia Murambinda said the company was currently negotiating with its bankers and the Reserve Bank of Zimbabwe (RBZ) on rationing the available foreign currency in order to get concentrates from Swaziland to make soft drinks which are currently not being manufactured.“As reported in our previous updates, Delta relies on a number of critical imported raw materials. We have not been able to get enough foreign currency for these imports. We have exhausted our credit limits with most of our foreign suppliers.

“Our bankers and the RBZ are doing the best they can to ration the available currency, noting that there could be other pressing national needs.

We continue to engage with them with the hope that we find a lasting solution to the forex challenges the country is facing,” Murambinda said.

Government on Tuesday removed restrictions on the importation of basic commodities to plug the prevailing shortages that have spawnedhoarding.

“Our own products and critical raw materials as Delta are not part of the listed products on the SI 64 and now SI 122 instrument and hence the relaxation of the instrument by Government will not directly affect us. It is our view that the policy change might compel some traders to moderate their pricing,” Murambinda said.


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