E-Malt.com News article: Kenya: Keroche Breweries scales down on major operations

Liquor companies are struggling to stay afloat amid the economic crisis caused by the ripple effect of the coronavirus pandemic, the Daily Nation reported on August 4.

Keroche Breweries chief executive officer Tabitha Karanja said her company has been forced to consider cost cutting measures to survive the harsh economic times.

Speaking to the Nation via telephone, she said the firm had scaled down on major operations, only retaining staff offering critical services like maintenance.

"It is a global phenomenon and just like many companies around the world, we have to adapt to measures that will enable us to survive this critical period," said Mrs Karanja.

Prior to the halting of beer selling in bars, the company had increased its online presence and embraced home deliveries, aimed at retaining its customer base.

"Beer taking in African setup is a social event and drinking from home is not as popular," said Mrs Karanja.

She also said that some employees are on unpaid leave while others had their stay home period extended.

The CEO said she was in support of the President’s order to halt the selling of liquor in bars and other social places.

"The move is aimed at helping to curb the spread of the virus and I totally support it," added Mrs Karanja.

She said her company is closely monitoring the situation and adjusting accordingly.

"It is apparent we will be forced to change our business model to cope with the evolving business situation in order to stay afloat," revealed Mrs Karanja.

She said the company was optimistic of bouncing back after the current period of uncertainties.

Keroche Breweries has been eyeing more than 20 per cent of the market share with a production plant that has a capacity of producing 30 different brands.

The company has enjoyed steady growth since its inception 18-years ago, being a paltry 100,000 hectolitre brew house.


05 August, 2020