The Coca-Cola system in South Africa, which includes Coca-Cola (http://www.Coca-ColaCompany.com) and its authorized bottlers – Coca-Cola Beverages South Africa and Coca-Cola Peninsula Beverages – today announced a planned investment of R17.6 billion in South Africa by 2030.
The announcement was made by Luis Felipe Avelar, President of The Coca-Cola Company's Africa operations unit, at the sixth South Africa Investment Conference (SAIC) in Johannesburg.
This investment will support expanded production capacity, strengthen distribution and accelerate innovation across the value chain of the Coca-Cola system – strengthening Coca-Cola's confidence in the South African market and its long-term economic prospects.
With a presence across the country, Coca-Cola has been investing in the people and communities of South Africa for almost a century. Speaking at the conference, Avelar said: “Our R17.6 billion investment reflects our strong belief in South Africa's potential and our commitment to growing together with the communities we serve. We work locally, produce locally, distribute locally and, where possible, source locally, helping to build a stronger, more integrated economy in South Africa.”
The announcement is based on the findings of a comprehensive socio-economic impact study by global consulting firm Steward Redquin. The study highlights the scale of the Coca-Cola system's contribution to South Africa's economy, employment and communities.
The research shows that the Coca-Cola system in South Africa, an extensive network of local suppliers, distributors and retailers, contributed R51.2 billion in value-added economic activity in 2024.
Through its value chain, the Coca-Cola system supported more than 87,000 jobs in sectors such as retail, agriculture, manufacturing, transportation and services. This included 7,822 direct jobs within the system and an estimated 79,300 jobs supported through suppliers, partners and customers. This means that for every direct job created by the system, 10 more jobs were supported in the South African economy.
The study also highlights the strong local integration of the Coca-Cola system, with goods and services worth R25.6 billion to be sourced from South African suppliers in 2024.
This local procurement supports diverse industries such as sugar production, packaging, transportation and marketing, strengthening the Coca-Cola system's role as a partner in South Africa's economic development.
Sunil Gupta, CEO of Coca-Cola Beverages Africa, said, “South Africa remains one of our most strategic markets in Africa – a legacy that dates back to Coca-Cola's first entry on the continent in 1928. These findings confirm the role of the Coca-Cola system as a key driver of shared value and sustainable growth within the South African economy.”
The study measured the direct, indirect and induced economic impacts of the Coca-Cola system in South Africa, combining company operational data with reliable third-party economic sources. The analysis shows how Coca-Cola's local operations are spreading throughout the economy – from farmers growing sugar cane to retailers selling the beverage – creating jobs, generating income and creating opportunities.
Beyond the economic impact, South Africa is one of the beneficiaries of the Coca-Cola System's Africa Water Management Initiative (http://apo-opa.co/4tlYwkN), investing approximately $25 million by 2030 to help address critical water-related challenges in local communities in 20 African countries.
“We are optimistic about the future of South Africa, driving investment in our business and a continued focus on initiatives that support economic inclusion and sustainable local prosperity,” concludes Charl Goncalves, MD of Coca-Cola Peninsula Beverages.
The investment announcement follows the recent news of Coca-Cola HBC's agreement to acquire a majority stake in Coca-Cola Beverages Africa, underscoring the importance of South Africa to the Coca-Cola system and the growth opportunities in the country.
Zoran Bogdanovic, CEO of Coca-Cola HBC, said: “Congratulations to the Coca-Cola System on this investment announcement. Following the completion of the transaction, we look forward to continuing the great work of Coca-Cola Beverages South Africa in the years to come.”