HARARE, ZIMBABWE – Unable to pay its suppliers due to a severe shortage of foreign currency, National Foods, one of the largest food manufacturers in Zimbabwe, announced on Dec. 3 it would be shutting its doors, according to a report in The Citizen.
In a letter to its customers, National Foods, which is jointly owned by Tiger Brands and Innscor Africa, said it planned to close its flour mills in Harare and Bulawayo by Dec. 5.
National Foods’ business includes fast foods, corn and flour milling, snacks manufacturing, poultry and edible oil units.
Zimbabwe abandoned its own currency is 2009 to use a basket of currencies mostly led by the U.S. dollar. The country is currently plagued by fuel, foreign currency and medical supply shortages.
The country has been experiencing bread shortages for months due to the short supply of wheat.
Tiger Brands, based in South Africa and one of the continent’s biggest flour millers, owns 37% of National Foods.