Business Day

Tiger prepares to reopen factories

- Siseko Njobeni

Tiger Brands, the owner of Enterprise food products such as polony, viennas and Russians, has kept the factories closed in the aftermath of the listeriosi­s outbreak but on Tuesday said preparatio­ns for their reopening were “advanced”.

This follows health minister Aaron Motsoaledi’s announceme­nt on Monday that the listeriosi­s outbreak is officially over. The announceme­nt could see Tiger Brands make moves to restore lost credibilit­y and reopen its production facilities in a bid to claw back market share.

Following the outbreak of the deadly listeriosi­s in March 2017, Tiger Brands recalled ready-toeat chilled processed meats and closed four meat-processing facilities. The recall and related costs amounted to R365m, according to the company.

Tiger Brands also incurred a loss of about R50m for every month of ceased operations. “We have not calculated any impact on brand perception,” the company said on Tuesday.

But following the government’s announceme­nt, the company said plans to reopen the three factories and an abattoir are advanced. It is liaising with the national department of health to ensure alignment and collaborat­ion ahead of reopening the facilities.

“We have been working very closely with the local municipali­ties who are responsibl­e for issuing the relevant operating licences and we hope to make an announceme­nt in due course regarding the resumption of certain production activities,” the company said in a statement.

Tiger Brands said it had worked closely with national and internatio­nal listeria experts to get to the bottom of the listeria detection at its Polokwane facility and had implemente­d suggestion­s for improvemen­ts.

Tiger Brands said it has plans to re-enter the market, without elaboratin­g. “We are mindful that we need to work hard to ensure that we restore trust through our actions,” it said.

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