Alcohol ban shatters Consol Glass R1.5bn new plant investment

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The alcoholic beverages industry accounts for about 85% of sales in the glass packaging industry, which expects to fall by about 15% over the next year

Consol Glass has indefinitely suspended construction of a new R1.5bn glass manufacturing plant in Ekurhuleni, Gauteng as the government’s ban on the sale of alcohol to combat the coronavirus’s spread shatters demand for glass products.

The legal alcoholic beverages industry accounts for about 85% of sales in the glass packaging industry, according to Consol. “It is clearly a tremendous disappointment and a considerable loss to SA industrial capacity. It was a difficult decision to make, but unavoidable given the significant impact of the pandemic and the second ban on alcohol sales in SA,” said Arnold.

It was expected to create 120 direct jobs, and approximately 2,600 additional employment opportunities across the value chain, from waste pickers to truck drivers, machine operators, glass machine operators, fitters, electricians and additional senior managers.

 

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