PARMALAT ZAMBIA ABANDONS MAUFACTURING AMID ECONOMIC MELTDOWN
Zambia’s struggling economy has claimed yet another victim, as dairy giant Parmalat announces the abrupt closure of its manufacturing plant in the country. Effective April 1, 2025, the company will cease local production, opting instead to import products from South Africa and other subsidiaries. This decision comes as a bitter blow to a nation already grappling with rampant unemployment and economic instability.
In a tone-deaf statement, Parmalat, a subsidiary of the Lactalis Group owned by French billionaire Emmanuel Besnier, blamed Zambia’s worsening economic conditions, persistent load-shedding, and a crippling drought for the shutdown. The company conveniently ignored its eight-year financial struggles and poor business decisions that left it bleeding resources, making the closure an inevitability.
The fallout is devastating. Hundreds of employees face job losses, and local dairy farmers who supplied milk to Parmalat are now staring into an uncertain future. While Parmalat has vaguely promised “support during the transition,” the specifics remain elusive, leaving those affected to fend for themselves in a country with limited social safety nets.
Parmalat insists it is not abandoning Zambia, boasting of a “new business model” that involves flooding the market with imported products while withdrawing critical investments in local production. This move blatantly prioritizes profits over livelihoods, gutting Zambia’s dairy industry and leaving consumers at the mercy of imported goods.
The closure is a damning indictment of Zambia’s inability to retain foreign investors amid worsening economic conditions. With inflation spiraling, power cuts crippling industries, and drought devastating agriculture, the country’s economy seems to be on life support. Parmalat’s departure only underscores the dire state of affairs, raising questions about the government’s capacity to address the crisis.
As the dust settles, one thing is clear: this closure is not just about one company’s struggles—it is a glaring symptom of a broken system. The government, businesses, and ordinary Zambians must now confront the harsh reality of an economy in freefall, where survival, not progress, has become the priority.
KUMWESU JAN 1, 2024
Yet we are being told that the economy is doing well. Is he really OK in his head?
Things will get a lot worse. Prices will skyrocket.
Vote wisely in 2026.
His failures are very palpable. Zambia will hug Zimbabwe sooner than later if voters repeat this mistake of a president for 2026-2032 period.
As things stand today, there is no better alternative to HH and UPND. Those who don’t agree with me, let them name their better alternative.
All I hear from the opposition is how HH and UPND have failed. I don’t need anyone to tell me I slept hungry. What I want to hear from the loudmouths is how they will improve my lot. So far, they have absolutely no idea how they will address the challenges the country is facing. Their only concern is to enter State House, presumably so they can loot since thieving seems to be the common thread running through all the political parties.
I shudder to think of what things would be like if the drought and loadshedding had been under PF.