By Lehlohonolo Lehana.
International consumer goods firm Procter and Gamble (P&G) has launched a new manufacturing line at its Pampers facility in Kempton Park that will produce the Pampers Premium Care diaper range.
The investment forms part of P&G’s R130 million investment pledge at the fifth South African Investment Conference which took place earlier this year.
“The commissioning of this innovative manufacturing line not only underscores P&G’s commitment to South Africa’s National Development Plan 2030, but also showcases our efforts at narrowing the gap in inequality through our efforts on job creation, inclusive growth, innovation, technology transfer, value creation and human capital development,” P&G’s president for Asia Pacific and Africa Stanislav Vecera said at the launch on Tuesday.
Vecera did highlight that P&G’s South Africa operations – along with those of its partners – have contributed over 4 000 direct and indirect jobs to the economy over the years.
Procter & Gamble stands behind many brands that are household names in South Africa, such as Vicks, Old Spice, Gillette, Oral B and Pampers, amongst others, and has a strong manufacturing footprint in the country.
The company has been in Africa for over 50 years. It has manufacturing operations in South Africa, Nigeria, Kenya, Egypt and Morocco, and has distributor operations in over 45 countries.
President Cyril Ramaphosa, who attended the launch of the new manufacturing line, said the development proves that South Africa remains the preferred investment destination for big business on the continent.
This despite the blow being dealt to the country’s economy by the continuing power crisis, dysfunctional rail and port system, and decrepit infrastructure.
“Procter & Gamble currently exports from South Africa to Namibia, Swaziland, Mozambique and Botswana. We understand that the company is set to supply the African continent from South Africa through the implementation of the African Continental Free Trade Area.
“The African Continental Free Trade Area will unlock opportunities for the development of export markets, enhance industrial bases and regional value chains.
“We expect the continental free trade area to reduce the cost and improve the ease of doing business in Africa,” he said, adding that government wants to make the movement of products, processes and people seamless as companies increase their footprint on the continent.
Over the years, P&G has been a valuable partner to the government through the South Africa Investment Conference (SAIC), continually announcing new investments.
Ramaphosa said that it has been greatly encouraging to see the company’s response to South Africa’s ambitious investment drive and the investment commitments made by the company at the five South Africa Investment Conferences that we have held since 2018.
Through these and other investments, Procter & Gamble is contributing to the reindustrialisation of South Africa’s economy.
“To drive growth that is sustainable and inclusive, we are working to expand and diversify our manufacturing base, and improve its competitiveness and dynamism,” he said.
The President noted that disruptions to global supply chains caused by COVID-19 lockdowns have highlighted the imperative for companies all over the world to diversify their sources of supply.
“Just as we have seen the benefits of nearshoring and localisation for South African manufacturers, we can appreciate its value to broader global supply stability.
“South Africa is an investment destination with significant untapped potential. We have the ability to attract higher levels of investment and we look forward to working with Procter & Gamble on its future pipeline of investments,” he said.