PETpla.net Insider 09 / 2020

BOTTLING / FILLING PETplanet Insider Vol. 21 No. 09/20 www.petpla.net 42 Ugandan Rwenzori Bottling Company invests in new PET line for bottled water High climbers When the Rwenzori Bottling Company began operations in 1993, bottled water was a relatively new and unknown product to many people in Africa. Things have changed a lot since then: the sale of bottled water has literally skyrocketed throughout Uganda, and even today annual growth rates are still at 10% and more. As a consequence, the bottling company had to invest in expansion. KHS was awarded the contract for the new PET line. At 5,109m above sea level Margh- erita Peak in the Rwenzori Mountains in north-western Uganda is Africa’s third-highest mountain. Despite its location right on the equator the sur- rounding 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. Up to 3,000mm/m 2 of rain falls here every year to form many rivers, some of which are tributaries of the White Nile. Water – a growth product One of Uganda’s 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 centres – and even today annual growth rates are still at 10% and more. This development has been precipitated by the growing aware- ness that this water is safer to drink than tap water and better in quality. 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 bacteriological purity. They are also willing to pay a higher price, which is around 30% more than that of the competition. Accordingly, the expecta- tions regarding the packaging of this premium product bottled in PET are high. Rwenzori even 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 is 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 subsidiary Century Bottling Company just a few hundred metres away. The group is The Innofill PET NV blocked with a stretch blow moulder is the first filler for still water that CCBA has procured in Uganda. When the Rwenzori Bottling Company began operations in 1993, bottled water was a relatively unknown product to many people in Africa.