Dairibord Taps Regional Markets as Exports Jump 13%

Audrey Galawu- Assistant Editor

Dairibord Holdings Limited, Zimbabwe’s leading food and dairy processor, is banking on regional market expansion to drive revenue growth, with exports rising 13% in 2024 to contribute 8% of the company’s total sales—up from 6% the previous year.

Despite macroeconomic pressures and domestic demand constraints, the Group’s export business remained resilient, signalling the success of its strategic pivot toward regional markets such as South Africa, Mozambique, Zambia, Botswana, Namibia, and Malawi.

Group Chief Executive Mercy Ndoro said the company’s deliberate export drive reflects both opportunity and necessity.

“With subdued local demand owing to inflation, taxes, and pricing distortions, the regional markets have become a critical lever for sustaining growth and earning stable foreign currency,” she said.

The company grew foreign currency earnings, with USD-denominated sales making up 83% of total revenue in 2024, compared to 79% in 2023. 

This performance helped cushion the business from local currency volatility and allowed better planning in capital expenditure and procurement.

Dairibord’s product range—spanning long-life milks, powdered beverages, and condiments—has proven competitive in regional markets due to high quality, strong branding, and alignment with regional taste profiles.

A major component of Dairibord’s regional growth has been its toll manufacturing model in South Africa, which allows the company to reduce logistics costs, avoid border bottlenecks, and produce closer to key markets.

“Toll manufacturing in South Africa is enhancing export volume growth and improving responsiveness to regional demand,” Ndoro said. “We are optimistic about scaling this model.”

The company has prioritised fast-moving, shelf-stable products like Pfuko/Udiwo maheu, Supermilk UHT, Rabroy condiments, and Natural Joy juice—particularly suited for export due to their long shelf life and differentiated positioning.

A standout performer was Natural Joy, a juice drink combining organic baobab pulp and dairy, introduced in late 2023. Its regional market reception has been strong, with sales volumes rising over 600% year-on-year.

This success aligns with growing consumer preference in the region for nutritious and indigenous food and beverage options. Other exported products like Cascade and Fun ‘n Fresh also posted modest recoveries following price rollbacks in response to sugar taxes and VAT changes in Zimbabwe.

While export growth has been promising, Dairibord noted that persistent regional trade barriers, foreign currency retention thresholds, and export license requirements continue to pose challenges.

Nonetheless, the company said it is leveraging cross-border partnerships and regional distribution networks to streamline logistics and access new retail channels.

To support export volume growth, Dairibord is also investing in its Harare and Chitungwiza production facilities to boost capacity and ensure consistent quality that meets both local and international standards. The company maintains certifications in ISO 22000 (Food Safety) and ISO 9001 (Quality Management), which aid in securing regional regulatory compliance.

As local macroeconomic constraints persist, Dairibord’s management sees regional growth as central to its resilience strategy.

“In 2025 and beyond, we are focusing on deepening our presence in current export markets and exploring entry into new ones across the SADC region,” said Ndoro. 

“Exports are not just a buffer—they are a path to long-term sustainability.”

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