19 Jul Bag manufacturer opens plant in Cape town
Start-up enterprise, PP Excel (Pty) LTD has officially launched a manufacturing plant in Cape Town. The plant manufactures quality woven polypropylene cement and raffia bags…
Start-up enterprise, PP Excel (Pty) LTD has officially launched a manufacturing plant in Cape Town.
The plant manufactures quality woven polypropylene cement and raffia bags.
The company which started operating late last year received significant funding support from the IDC-which it used in the acquisition of plant machinery. IDC provided further support assisting the start-up to establish a Worker’s Trust enabling employees of the company-majority of whom are black acquire direct shareholding in PP Excel. PP Excel which has close to 100 permanent employees currently supplies its products to three local clients. The company currently manufactures approximately 5 million bags a month. Of particular significance though is that the company has broken into the export market and its products are now exported to two countries in the sub-Sahara Africa region.
Speaking at the event to mark the official opening of the plant, IDC Divisional Executive for Chemicals and Textiles, Shakeel Meer lauded the company for creating job opportunities in the country. “This is the launch of a partnership between IDC and PP Excel. There are a number things which flow from this. Both the IDC and the shareholders have demonstrated their faith and put their money at risk to make this work. Both expect to make a financial return something we ought to be doing in our effort to create employment opportunities” said Meer.
Evident in its decision to allocate a 10% equity to black employees, PP Excel Managing Director Pieter Nel said his company was committed to transforming the South African economy.
“It is one of our objectives, to provide our workforce with the most rewarding career experience that we can offer and real empowerment by affording each one of them an opportunity to be a shareholder in the company. We are of the view that will go a long way towards generating a meaningful benefit to/for themselves and their families, going forward,” said Nel.
Hilton Lazarus, Acting Head for the IDC’s Chemicals Products and Pharmaceuticals business unit praised PP EXCELL for choosing to partner with IDC in this venture.
“This transaction is a prime example of the nature of projects we are keen to support. Not only has it attracted foreign direct investment into South Africa, but it also embraced the element of transformation by employees having equity in the business,’ said Lazarus.