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Clover Industries has officially commissioned its R100m plant expansion in Nelson Mandela Bay.
The company says the expansion to the facility forms part of Project Cielo Blu, announced at Clover's listing on the JSE in December 2010.
Non-executive chairperson, Werner Buchner, says the project aims to relocate certain production facilities closer to the milk source.
He says the roll-out of Project Cielo Blu is expected to be completed by 2013 and is expected to unlock significant supply chain efficiencies including reduced transport costs.
Buchner says the expansion led to the creation of 100 new jobs taking total employment at its Port Elizabeth facility to more than 550 employees.
"We considered a number of locations which had to meet Project Cielo Blu's investment criteria. The Nelson Mandela Bay Municipality's investment promotion initiative offered a compelling proposition, which settled our decision," he said.
Meanwhile, Nelson Mandela Metro portfolio councillor for economic development, Chippa Ngcolomba, says the R100m investment by Clover "will contribute significantly to the economic growth of the Nelson Mandela Bay region and the province."
He said the Metro has identified agro-processing as one of the sectors that will help diversify the local economy that is mainly dependent on the manufacturing sector.
"As part of our economic development strategy and job creation plan that was approved by the Council in 2012, investment promotion has been lifted as one critical pillar that will help this region achieve its economic objectives," he said.
"We are excited that Clover agreed to invest in our region at a crucial time when the country has amongst other things declared war on unemployment,"
