Moha Soft drinks closes its Hawassa branch due to lack of hard currency and input.
The ongoing challenges stem from the current shortage in foreign currency in addition to the firm facing a shortage of raw materials. To this end, as sources indicated to Capital, the company has now stopped its production in its Hawassa plant which produces 7 UP, MIRINDA, and PEPSI products.
As the strain has weighed in heavy, the soft drink firm has had to stop its activities in its Hawassa plant as from the last two weeks. The production is said to be halted until October. Couple of months ago, the company also stopped its production of its 7 UP, MIRINDA, and PEPSI as a result of similar issues and restarted its operation after a few weeks. The management of the company also indicated that the problem had been solved partly. However, currently besides the Hawassa plant as sources indicated, the company is also considering to close its factory in Addis Ababa and other regions.
Moha which is popular for producing drinks like 7 UP, MIRINDA, PEPSI, Tossa Minch natural water, and Kool Carbonated Natural Mineral Water, is shutting its doors due to the burdensome challenges.
Atop the burden list, as sources revealed since a few months back, the company has been working for three days per week which is under its capacity due to lack of raw materials.
The severe shortage of foreign exchange has also resulted in delays in importing vital raw materials like glass, crates, and spare parts for production of the beverages. In addition, bottlers now report that they are struggling with foreign currency shortage problems, a lack of raw materials, disruptions due to power outages, and the overpricing of raw materials necessary for production.
Previously, about 20 bottled water producers had stopped their production as a result of shortage and price hike of materials.
MOHA which is a member of MIDROC Ethiopia (Mohammad International Development Research Organization Companies) is engaged in manufacturing and selling of different types of soft drink in Ethiopia. The company was acquired from the Ethiopian Privatization Agency and established on May 15, 1996.
The overall activates of the company are managed and administrated by Sheikh Mohammed Al-Amoudi, owner of the company.
In the market, MOHA Soft Drinks Industry S.C claims it holds a 52% market share in the soft drinks industry in the country. With an expansion and replacement of obsolete machinery, production capacity of the plant has increased substantially. A significant growth over the years of production, sales, and profitability due to reorganization of operations has also been achieved. Moreover, productivity has improved tremendously with major cost saving and has insured a regular supply of high quality products. It has also succeeded in reaching new market areas across the country. Moha has 8 plants over the country including Hawassa and Mekele, but how it will weather this storm of challenges is yet to be seen.
Moha Soft drinks shuts down Hawassa branch
Road to COP 27
United Nations Under-Secretary-General and Executive Secretary of the Economic Commission for Africa (ECA), Vera Songwe, has briefed Permanent Representatives (PRs) of African Member States in New York on some key undertakings of the Commission in support of the financing and sustainable development needs of African countries.
Songwe said the meeting, held on 7 July, was an opportunity to provide an update on all the work the ECA has been doing with the African Union and Egypt’s COP 27 Presidency, regarding climate change at large and specific issues such as a Just Energy Transition and what that means for Africa. She also highlighted that “Africa is in need of more liquidity and Special Drawing Rights (SDRs) will allow Africa to go from $33.6 billion to $67 billion” and that Africa can also generate additional liquidity through carbon pricing.
The ECA Chief and her team of experts updated the PRs on the Kigali Declaration – the outcome of the Eighth African Regional Forum on Sustainable Development – which comprises the priorities, policy options, and recommendations for Africa to accelerate the implementation of Agenda 2030 and Agenda 2063 at multiple levels.
New flagship publication looks at ten years of investments in regional operations
The African Development Bank Group has released a new report providing a snapshot of results of regional operations financed by its concessional lending window, the African Development Fund (ADF), over the last decade.
The report, “Crossing Borders, Connecting Communities, Changing Lives,” reviews and documents the impacts of the regional operations envelope since ADF-13 (the 13th replenishment of the ADF). Contributing more than 80 active regional projects and programs, the ADF’s regional operations envelope provides vital support to Africa’s 37 low-income countries, 16 of which are landlocked. By supplementing these countries’ resources, the envelope makes it possible for the countries to build regional infrastructure that stimulate their development.
The report also highlights how between 2020 and 2022, the ADF expects to finance 51 projects and programs worth $2.7 billion and mobilize another $1.5 billion in co-financing from development partners such as the World Bank, the Green Climate Fund, the OPEC Fund, and the European Investment Bank.
Premature return to pre-pandemic slot rules risks continued passenger disruption
The International Air Transport Association (IATA) expressed concern that a premature return to pre-pandemic slot use rules in the EU this winter risks continuing disruption to passengers.
The European Commission has announced it intends to return to the longstanding 80-20 slot use rule, which requires airlines to operate at least 80% of every planned slot sequence. Global slot rules are an effective system for managing access to and the use of scarce capacity at airports. The system has stood the test of time and while airlines are keen to restart services, the failure of several key airports to accommodate demand, coupled with increasing air traffic control delays, means a premature return to the 80-20 rule could lead to further passenger disruption.
The evidence so far this summer has not been encouraging. Airports had the 2022 summer season schedules and final slot holdings in January and didn’t evaluate how to manage this in time. Airports declaring that full capacity is available and then requiring airlines to make cuts this summer shows the system is not ready for reviving “normal” slot use this winter season (which begins at end of October).
