Clover invests $40.5m in distribution

Roodepoort, South Africa: Food and drinks group Clover has been given the green light by its board to spend on its logistics operations, including the expansion of its chilled distribution network.

The board has approved an additional $40.5m (R277m) of capital expenditure.

Projects include the relocation of Clover’s cheese-manufacturing facilities to the coast, increased collection capacity in certain regions and various value-added packaging initiatives.

Clover suffers from a distribution network that is “operating significantly above optimal utilisation”, the group said. As a result, Clover’s chilled distribution network will be expanded.

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