This archive report was first published on 5 November 2019.
November 5, 2019, marked a significant milestone for the East African beverage industry as Italian company Guala Closures East Africa (GCEA) launched a new plant in Kenya. The plant, established at a cost of over Sh500 million, aims to produce bottle caps for alcohol and beverage manufacturers across the region.
Guala Closures East Africa is a wholly-owned member of the Guala Closures Group of companies (GCG), a global leader in the production of safety caps for spirits, wines, and beverages. According to GCG India and East Africa Director David Stevenson, the plant is pivotal to the company's growth aspirations in Kenya, East Africa, and the continent.
At the launch in Nairobi, Stevenson noted that the company commenced its journey in East Africa when it incorporated Guala Closures East Africa (GCEA) in November 2018. The plant's production has already seen a significant increase, from the initial two million 'nip caps' in February to slightly more than 20 million in October this year.
The firm supplies the caps to over five alcohol and beverage companies in Kenya, Uganda, and Tanzania. On the global front, Guala operates in five continents through 29 production plants, with a sales network covering over 100 countries. The company has a global workforce of over 4,000 employees and sells over 15 billion caps each year, with a turnover of Sh62.5 billion (543 million Euros) in 2018.
Kenya Association of Manufacturers Chief Executive Phyllis Wakiaga welcomed the firm's entry into Kenya, stating that it would grow the sector and create much-needed jobs. GCEA General Manager Sadanand Hanagodimath added that the firm's local production is set to increase to over 30 million caps a month as manufacturing facilities are expanded.