PETpla.net Insider 04 / 2020

BOTTLING / FILLING PETplanet Insider Vol. 21 No. 04/20 www.petpla.net 28 Rwenzori Bottling Company invests in new PET line from KHS Bottled water skyrocketed in Uganda At 5,109 meters above sea level Margherita Peak in the Rwenzori Mountains in northwestern Uganda is Africa’s third-highest mountain. For many mountaineers the massif is considered the more attractive alternative to the relatively overcrowded Kilimanjaro. Despite its location right on the equator the surrounding peaks are glaciated – still. The region, a particularly lush and species-rich habitat for African flora and fauna, was declared a Unesco World Heritage Site in 1994 for its ecological significance. The misty rain forests with their protruding, some- times bizarre crags create a mystical aura. The up to 3,000mm of rain per square meter that fall here every year form many rivers, some of which are tributaries of the White Nile. Growth product water It’s therefore no surprise that – in the company’s own words – one of Uganda’s best and largest mineral water brands was named Rwenzori and depicts the mountain range on its logo. The product is bottled nearly 300 km from Margherita Peak in Namanve in the greater Kampala area of the Ugandan capital. When the Rwenzori Bottling Company began operations in 1993, it faced the chal- lenge that bottled water was still a relatively new and unknown product to many people in Africa. This has changed a lot since then: the sale of bottled water has literally skyrock- eted throughout Uganda, especially in urban centers – and today annual growth rates are still at 10% and more. This development has been precipitated by the growing aware- ness that this water is safe to drink than tap water, better in quality and a brand with a long tradition. This is a claim Rwenzori makes in particular regarding its Pure Natural Mineral Water product: predominately middle- and upper-class consum- ers value this still water highly which they find compelling with its good taste, balanced mineral content and absolute bacteriological purity. They are also willing to pay a higher price, which is around 30% more than that of the competition. Accordingly, the expectations regarding the packaging of this premium product bottled in PET are high. Rwenzori makes its own bottle caps. Exploiting potential In 2014 the Rwenzori Bottling Company was acquired by Coca-Cola Beverages Africa (CCBA) which oper- ates in South and East Africa. Part of the new strategy is to locally integrate well-known mineral water brands into their own group in order to develop them further. Targeted marketing measures can effectively exploit the growth potential – in addition to Uganda this is already happening in Kenya, Ghana and Ethiopia. Rwenzori also has plans for fur- ther growth of its water brand which already has gained an approximately 65% share of the Ugandan market. However, there’s no more space available for a new production line at the main plant where three smaller bottling lines are in operation. Instead, operations are to be expanded on the site belonging to CCBA subsidi- ary Century Bottling Company a few hundred meters away. The group is investing a total of US$ 10 million. The new PET line KHS was awarded the contract for the new PET line. In addition to an Innoket Neo labeller the package includes an InnoPET BloFill stretch blow moulder/filler block with a capac- ity of up to 25,000 bph (500ml). “This is the second water bottling line that CCBA will be receiving from us within a very short space of time,” says Denise Schneider-Walimohamed, managing director of KHS East Africa. “Last year we installed an almost identical line at Voltic in Ghana. Until now many customers in the region have actually associated KHS with higher-capacity machines output- ting up to 80,000 bph. With these two With a market share of 65% Uganda’s Rwenzori water brand is not only a suc- cess story in Africa but worldwide. The high quality of Rwenzori’s mineral water is distinguished by its good taste, balanced mineral content and absolute bacteriological purity.