The destruction of Walia Crown Cork factory due to the conflict has caused shortage of crown corks among bottlers.
The crown cork located at Kombolcha city, is one of the victim areas of the conflict in the region, and according to Abayneh Abebe, Industry and Investment Office Head of Kombolcha town, the factory which is said to be the largest operating crown cork factory in the country has incurred damages of more than 30 million birr, especially on its printing machineries.
“The principal raw materials required and printing chemicals have to be imported,” said Abayneh, adding that even if the factory has re-started its operation, it will not be able to operate in its full capacity.
From information that Capital has gained, different bottlers are using substandard crown corks as a result of the damage in the factory. Large bottlers including BGI, Ambo water, and other are customers of Walia.
“The company is under proses to import the necessary machineries and to re-standardize its productions” said Abayneh.
The local demand for crown cork is met through both local production and import. At present, the major source of supply to the local market for crown cork is mainly import.
Walia Crown cork factory is one of the 26 companies under the TIRET corporate established with about 268 million birr investment. Established in 1995 as an endowment organization in the Amhara regional state with an initial capital of 20 million birr, TIRET’s companies now include Tikur Abay Transport, Ambasel Trading House, Bahir Dar and Kombolcha Textile Share Companies, Dashen Brewery and Gondar Malt Factory, among others.
The factory has created job opportunities for more than 80 residents in the town has a capacity to produce two billion crown corks per year. The unsatisfied demand for beverage bottle caps is projected to be 4,284 tons and 5,615 tons by the year 2025.
TPLF group plundered large amount of products and inputs and destroyed machinery in factories located in the industrial town. Militants of the terrorist group removed machineries from factories and deprived many industries in the town of production.
According to local officials, 200 local and foreign companies have invested in the industrial town, Kombolcha in several manufacturing and production areas that create jobs for more than 8,000 people.
The town administration is now conducting a survey and investigation to find out the extent of the damage and complete destruction on the factories as part of preparation for restoration works.