Over 100 workers at Eagle Glass Manufacturing Company in Kapiri Mposhi have been declared redundant after management announced closure of the glass manufacturing factory barely one year of operation.
The company has closed down and terminated contracts for all its employees citing dwindled business activity affected by an influx of cheap glass imports on the Zambian market.
Eagle Glass Managing Director, ZHI ZHAO has confirmed the development saying the company was also experiencing a decrease in sales of its glass products due to the impact of the Coronavirus and the constant break down of its glass production line.
“We cannot cope with the pressure in the market because of cheap glass products imports and the impact of the Coronavirus,” Mr ZHAO said.
Mr ZHAO said the company has already prepared funds to pay gratuities and a month’s salary for all the workers who have been declared redundant.
Mr ZHAO assured that the company will resume operations once the business activity improves on the local market and when repairs are done on its production line.
“We are going to pay all the workers and they will be re-engaged once we resume operations in the near future,” Mr ZHAO said.
Last week, employees at the factory protested over reports the company intended to close down and lay them off without being paid their dues.
Meanwhile, District Commissioner, Smart Mwila has regretted the closure of the company which provided over 100 direct jobs for the locals.
“The opening of Eagle Grass last year was a breath of fresh air in terms of employment and the economic status of the district,” Mr Mwila said.
Mr Mwila has however commended Eagle Glass management for ensuring that redundant workers are paid their dues before laying them off.
Production at the US$15 million glass factory with annual production capacity of up to 50,000 tonnes of flat and laminated glass commenced in 2020.
FULLY EXPECTED OF AN ECONOMY WITH NO FUTURE VISION
THE DIRECTOR IS BEING POLITE SAYING CORONA VIRUS KIKIKI
REALLY A SHAME FOR THE POOR WORKERS BUT HELP IS ON THE WAY COME AUGUST
ZAMBIA WILL BE MADE GREAT AGAIN
“….annual production capacity of up to 50,000 tonnes of flat and laminated glass…”
So they don’t make bottles ???
Where are all the beer and soft drink bottles made
“….annual production capacity of up to 50,000 tonnes of flat and laminated glass…”
So they don’t make bottles ???
Where are all the beer and soft drink bottles made ? That is where money is
Are they saying their $15 million went under and they’re just going to let it go? Something smells ? here.
For clarity the Zambian economy had been going down even before covid. Lets make this abundantly clear
Noooo this is sad!!! Less than a year is too early to call it quits. Where are these former employees going to go???? This is so disheartening.
AFTER READING the whole article I have concluded that the KAPIRI GLASS COMPANY lacked national support on different levels. 1 government policy on importing what is already being manufactured in Zambia, 2. General public- Zambians are still have a very deep inferiority complex towards imported goods. They would rather buy something from abroad/overseas even if the Zambian product is superioty over the choice inferial public, 3. Construction companies which are mostly owned by foreign entities/governments in the absence of compelling laws to buy-Zambia, buy products from their countries of origin in order to build their countries of origin, 4. It could also mean that the KAPIRI glass quality is so inferior and not monitored by the standards body ZABS. My advice to all parties concerned:…
From 7
…not monitored by the standards body ZABS. My advice to all parties concerned: BUY Zambia, STRENGTHEN standards LAWS, STOP importation of all things produced in ZAMBIA. This is in order to promote local industries, retain jobs and make ZAMBIA prosperous.
My advice to IDC (Industrial Development Corporation: It doesn’t take a genious to know that the KAPIRI GLASS COMPANY was supposed to be taken over by you- IDC. In countries where industrial leaders possess brains, especially where Zambia has reached peak points of construction, this company is not even supposed to fold up. It was supposed to have been taken over by IDC, installed with state-of-the-art plant machinery to enable it roll out all sorts of construction industry glass-work such as structural glass, tempered and semi-tempered glass, laminated glass, etc. SIMPLY PUT, glass is of many product types . Eg, Flat glass, toughened glass, coated glass, low emissivity, mirrored glass, tinted glass, obscured glass, laminated glass, etc.
With this wide range of glassware, how could a…
FROM 9
…tinted glass, obscured glass, laminated glass, etc.
With this wide range of glassware, how could a company fail to capture internal and external markets? IDC, TAKE OVER THAT COMPANY IMMEDIATELY.
Breakages. The workers are sloppy. The Chinese employer thought that Zambian workers would work like his people, but they don’t. The former Secretary to the Cabinet Dr Msiska once complained about the low productivity of Zambian workers. This must be the case from head to toe. It must have touched a raw nerve because he was fired.
Kekekekeke PF, ati ifintu ni Lungu.
Companies shutdown even after 1 year, but some are r@ping constitution to get a third term.
wise timing
Your observations are correct….
Lungu and his team are lazy……to them the effort of importing things rather than make them in zambia is appealing , they don’t have to do anything.
Pure unadulterated lazyness
GRZ should have partnered with this Chinese company and impose high duties on all bottles and glass….
Local Chinese Company complaining about cheap (Chinese) imports. That’s quite some paradox. But I believe the real cause is that they did not recapitalise enough on the resuscitation of the plant. New Plant and equipment cannot be constantly breaking down. Refurbished and inefficient 2nd hand stuff was used. The Regional demand for plate / glass is there to the North, East and West of the country. Get new equipment if you ever wish to resume operations.
How does imported glass still remain cheaper than local glass despite depreciation of the kwacha? There ought 2b something else behind this problem? Is it the cost of borrowed money in Zambia?
BLAH BLAH BLAME WHO YOU WANT BUT AT THE END OF THE DAY THE FAULT LIES WITH GOVERNMENT
BUT WAIT IF PFF WIN IN AUGUST THERE WILL BE MORE CLOSURES FOR SURE
i don’t understand this, we are entering into the millennial error where plastic bottles and other related plastic material will be the thing of the past and comes breaking news of a sort. we don’t seem to be moving forward as a nation at all, what’s going on with leadership status??? Is there any serious checks and balance conducted whenever this contract is given to this Chinese? sad you know, it’s always a one-step foot in front and two-steps backwards because of the Incompetence of some of the leadership.
1 Year old production line on its knees? Chinese products by the Chinese for Zambia by the Chinese and with the Chinese. Kikikiki.