Powerspeed, the owner of Electrosales Hardware stores, has opened a new timber processing factory in Mutare to meet rising demand from construction.
The plant is located in Mutare’s Nyakamete Industrial Area, Mutare, and started operations in March, the company says.
“The factory, which commenced operations on the 11th of March, occupies a substantial 36,042 sqm site, with a factory footprint of 15,226 sqm,” says Powerspeed.
Electrosales Timber will partner timber producers such as Allied Timbers, Rockpool, Masanga Timbers, Wattle Company and CICADA Timbers.
Eastern Investments has been contracted for waste management, and is distributing wood shavings from the factory to livestock farmers.
“These collaborations ensure a reliable supply of high-quality raw materials and facilitate seamless distribution of finished products,” according to the firm.
On the retail side, Electrosales has recently launched a trusses division under the timber business, while expanding its footprint rapidly.
“In Harare, Electrosales’ new outlets include Westgate and at Cardinal Corner, a new complex on Harare Drive and Enterprise.
“The company has also opened the new builder’s centre in Pomona, which it says “is designed to cater to the bulk supply needs of its construction customers”.
Despite the growth, Powerspeed notes that limited access to long-term capital is holding back its full expansion potential.
“Access to capital to fund our expansion program has been a significant problem. Zimbabwean banks and financial institutions continue to struggle with liquidity and cannot be relied on to provide capital while interest rates remain inordinately high driven by perceived country risk,” Powerspeed says.
NewZwire
