Red Stripe upgrades to cut costs by 10%
In the second round of its modernisation programme, beermaker Red Stripe Jamaica will be replacing storage tanks with fewer but larger units and upgrading its refrigeration systems, says Managing Director Cedric Blair.
The first phase of the programme was completed in August 2014 when the brewery replaced 30 vessels with seven new fermenting and maturation tanks.
"For this year, we will also be replacing the storage and bottling tanks. We are replacing 40 tanks with 10 which are much larger. The old ones used a lot more water, energy and chemicals," said Blair.
"The new tanks use less. They are vertical, not horizontal," he said.
The company will also be modernising its refrigeration system and carbon dioxide recovery system.
The current upgrades are to be completed by August 2015, at a cost of some £8,000 to £10,000, according to Blair, who says some equipment is being sourced in Europe and, in particular, Germany.
"When we started, the intention was to take out 10 per cent of our cost base. We will be able to achieve this when the project is complete," he said.
Red Stripe's financial results at half-year December 2014 indicate three strategic priorities for the company, these being investing in its brands, generating profitable export growth, and driving end-to-end efficiencies.