AFRICAN Distillers (Afdis) spent US$35,1 million on local suppliers in the 2026 financial year as the beverages manufacturer intensified efforts to strengthen domestic supply chains and support the local industry.
The company’s latest procurement figures show that local suppliers accounted for 48 percent of total procurement expenditure of US$72,69 million, reflecting its commitment to sourcing raw materials and services from within the country despite continued reliance on imports.
Foreign suppliers accounted for the remaining US$37,56 million, or 52 percent, of the group’s total procurement spend.
The procurement mix highlights the balancing act facing manufacturers operating in Zimbabwe, where companies are increasingly under pressure to deepen local value chains while securing specialised inputs that remain unavailable on the domestic market.
“During the year, locally-purchased raw materials included labels, PET packaging bottles, cartons, shrink, sugar, and CO2, while management continued working with local suppliers of PET bottles, labels, and shrink wrap to improve quality and expand local spend,” Afdis said in its recently-released 2026 annual report.
“Through these actions, procurement contributes to supplier development, local value chain strengthening, and broader economic participation.”
It also added that its local procurement programme was helping create stronger linkages across the economy while improving operational resilience in an increasingly uncertain global environment.
The company continued to work closely with local suppliers to improve quality standards and ensure consistency in the supply of key inputs used in its manufacturing processes.
“Through strategic partnerships with local suppliers, the company continues to enhance supply chain sustainability and promote value creation within Zimbabwe,” Afdis said.
Industry analysts say stronger local procurement networks not only reduce production costs but also stimulate economic activity through job creation and increased demand for locally-produced goods and services.
Meanwhile the group said the government’s crackdown on counterfeit and illicit alcoholic products helped lift sales volume during the year.
“The company acknowledges and values the actions being taken by authorities and regulatory bodies against illicit trade,” Afdis chairman Matlhogonolo Valela said.
Total volumes rose 50 percent during the year, with growth recorded across the company’s product portfolio.
“Performance was balanced across the portfolio, supported by targeted brand investments and enhanced route‐to‐market execution,” he said.
The spirits division posted a 34 percent increase in volumes, supported by a 46 percent rise in brown spirits.
“Demand across the category was sustained through ongoing promotional campaigns and brand activations.
“The business also benefited from improved regulatory enforcement governing the manufacture and distribution of alcoholic beverages, in Zimbabwe,” Valela said.
White spirits volumes, however, fell five percent as consumers shifted their preferences.
Ready-to-drink beverages remained the group’s biggest growth segment, accounting for 57 percent of total volumes after recording 62 percent year-on-year growth.
Valela said the performance was driven by the cider segment, particularly the Hunters brand, which continued to garner consumer demand.
“The spirit cooler brand, introduced in the prior year, gained further traction by offering convenient, ready-mixed cocktail options aligned to evolving lifestyle preferences.
“Sustained consumer activations throughout the year reinforced brand visibility and created compelling consumption occasions, supporting continued category expansion,” he added.
The group invested US$4,4 million in capital expenditure during the year to modernise plant and equipment, improve reliability and increase operating efficiency.
