BGI-Ethiopia Takes On Massive Expansion, Modernization

For immediate Release
BGI-Ethiopia Takes on Massive Expansion, Modernization
The Company's strategic transformation should bring more business efficiencies, volume
growth, and sustainable profitability to invest in the Ethiopian promising market.
December 19, 2023. Addis Ababa Ethiopia.

BGI-Ethiopia, the leading beverage company in Ethiopia, launches its VISION 2028, which aims to
transform the Company and secure its market leadership. The Company is set to invest heavily
in its operations, production network, and distribution model.
This investment plan involves increasing production capacity and relocating the historic
Addis Ababa plant to its two breweries in Sebeta and Maichew.
“The investment is one of the major projects we are running to make our Company
operationally more competitive and continue to provide the best products to our
consumers,” said Herve Milhade at the press conference given today at Sheraton Addis
Hotel.
BGI-Ethiopia's strategic transformation came following the continued environmental

changes in the Ethiopian market, the entire industry competitiveness, and the willingness
to speed the company's growth and improve its organizational engagement and mindset.
The transformation is believed to bring a full-fledged change to the company's operations

and the way it does business.
“Our vision is to double our production capacity in the coming years and bring our volume
close to 10 million hector liters annually,” said Milhade.
“To reach this new ambition we will invest in our people, our products, our operations, our
consumers, and the community we live in” added the CEO.
One of the major ongoing initiatives is to enhance the production capacity by investing in
expansion projects.
“Due to its location in the middle of Addis, water supply constraints, and logistical
challenges, the plant will be relocated, allowing us to increase the production capacity of
other sites.”
BGI management and Castel Group decided to move the historical factory to the recently
acquired Meta plant in Sebeta City and the Raya beer factory in Maichew town. The head
office will remain in Addis Ababa.
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For immediate Release
“BGI-Ethiopia is also revamping its organizational structure and works to become the
employer of choice,” the CEO told journalists.
BGI-Ethiopia currently has 3,500 permanent employees and 2,000 casual employees across
its seven plants in Ethiopia. BGI-Ethiopia remains the leading platinum taxpayer in its
industry paying over 7.4 billion Birr annually in taxes.
BGI-Ethiopia’s goal is to achieve operational excellence by identifying the essential

capabilities and processes in each function.
“We aim to minimize role overlap and duplication to the minimum tolerable level. We will
optimize staffing levels, and models by reducing redundancy and improving working
methods. We are committed to providing our employees with fulfilling jobs and
compensation,” Milhade said.
Accordingly, the company gave an early retirement opportunity to its long-serving

employees with the age of above 55 years by compensating them with up to 48 months of
salary in addition to the legally set compensations.
Beyond the investment and human capital optimization, BGI-Ethiopia is also embarking on
modernizing its distribution. The project aims at bringing efficient operation to our sales
forces and agent’s network.
“We believe in the potential of Ethiopia,” said Milhade. “As Ethiopia continues to grow and
change, we shall adhere to the demand of the market and change how we operate.”
BGI-Ethiopia will do business in the right and responsible way to bring a shared mutual
benefit to its consumers, employees, sales agents, and all stakeholders.
#ENDS
About BGI-Ethiopia
Castel Group and its subsidiary BGI-Ethiopia have been serving the Ethiopian market with exceptional brands
and products for over 25 years. Our commitment to developing the market has led to job creation, economic
growth, and community impact in our plant's surrounding areas.
We are the largest private taxpayer in the country. We have achieved growth through multiple acquisitions,
including the Meta factory (Sebeta), formerly under Diageo. Our presence in Ethiopia also includes our plants
in Maichew (Raya), Kombolcha, Hawasa, Zebidar, and Zeway Castel Winery.
BGI-Ethiopia produces quality beer products such as St. George Beer, Castel Beer, Meta Beer, Draught (draft)
beer, and Wine brands such as Acacia, and Rift Valley Wines. We have 3,500 permanent employees and are
well known for our community support program for decades.
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For immediate Release

BGI-Ethiopia Takes on Massive Expansion, Modernization

December 19, 2023. Addis Ababa Ethiopia.

BGI-Ethiopia's strategic transformation came following the continued environmental

The transformation is believed to bring a full-fledged change to the company's operations

BGI-Ethiopia’s goal is to achieve operational excellence by identifying the essential

Accordingly, the company gave an early retirement opportunity to its long-serving

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