National Blankets paints positive future

17 Jul, 2016 - 00:07 0 Views

The Sunday News

 

Dumisani Nsingo, Senior Business Reporter
THE country’s leading blanket manufacturer, National Blankets has identified the canvas raw material for its diversification drive as it forges ahead to reach its long-range financial goals while minimising risk.

The company’s judicial manager, Mr Philip Ndlovu, of PNA Chartered Accountants said its prospects of attaining more business during the winter season were dampened by the prevailing liquidity challenges in the country as well as low disposal income by earners.

“The sales have been slow due to cash, low disposable incomes and the liquidity challenges that is affecting every business,” said Mr Ndlovu.

He said the company would soon introduce canvas products in its production line as part of its diversification strategy. The initiative would ensure that the entity guards against low sales during the off peak season.

“This (canvas products manufacturing) is a long-term project and to date the required raw materials have been identified and an order for the raw materials are on the way. As soon as the samples have been done and the targeted customers are happy with the quality then production will start,” said Mr Ndlovu.

He also said negotiations to partner a South African textile manufacturer were underway stating that: “negotiations are on-going and fruitful results are expected. Exchange of figures are on-going”.

If the partnership comes to fruition, it is expected to come in handy in reducing the turnaround time for arrival of raw material from about 90 days to about two weeks. The positive outlook of the company supports the argument by Government that a lot of groundwork has been covered under the country’s economic blueprint, Zimbabwe Agenda for Sustainable Socio-Economic Transformation (Zim Asset).

At its peak in the late 1980s and early 1990s the company used to employ about 1 000 people but it now has a workforce of just over 100. Asked when he was going to exit as the company’s judicial manager, Mr Ndlovu said: “At the last AGM meeting creditors present asked me to stay in office until the current efforts of the new board to take over have been consumated which I believe will not be long”.

@DNsingo

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