24 May 2010 | Neil Oelofse
Pick n Pay Stores (PnP), South Africa’s second-largest food retailer, unveiled plans to open 120 new outlets over the next two years, including stores in Zambia, Mauritius and Mozambique.
Newly appointed chairman Gareth Ackerman said the group needed to focus on increasing capitalisation through obtaining a bigger share
of the local and regional market.
The group currently has a market value
of R22.6 billion (£2 billion).
The firm said it would try to use local suppliers for the expansion. PnP director Dallas Langman said: “Our aim will always be to buy as much as possible from local suppliers and farmers. In terms of product from South Africa, with the experience of our transporters and our dedicated African buyers we have picked up no critical issues, although we are at an early stage.”
Langman said: “So far our [external] operation is predominately franchised in Mozambique and Mauritius, and is not a problem in terms of management required. Zambia is corporate and at this stage we have only five expatriates on the ground. We do not forecast any more management on the ground being required.”
PnP said Unitrans and Transit would carry out logistical requirements during the expansion.