21 Jan 2021

Kgalagadi Breweries (KBL) has decided to completely suspend its operations from January 25 due to the ban on alcohol sales, which came into effect on January 4.

According to a news release from the brewer, the complete suspension follows an initial phased suspension of certain KBL operations, which were carried out in the weeks following announcement of the ban.

KBL also stated in the release that from January 25, only a minimal number of critical roles would continue to be staffed, while all other operational activity would stop.

The release further states that should the ban extent past the Government Gazette date of January 31, suspensions of their operations would continue.

They stated that the company had also met with suppliers earlier in the week to align with them regarding suspension of KBL payments from February 6, up for review pending the outcome of the current ban.

It further states that the brewer understands the impact that the ban would have on the overall supply chain, including those whose livelihoods depend on the beer industry, appealing for understanding with them.

The release also expresses gratitude to the government for its progressive assistance over the years, noting the difficulty and sensitivity of dealing with necessary restrictions to curb the spread of COVID-19.

It says however that it was regrettable that the latest total ban had resulted in the suspension of KBL operations, which was expected to remain in place for as long as the alcohol ban persisted.The release also states that KBL would continue with efforts to engage government on this critical issue, which has an enormous impact on the industry and its extensive chain. Ends