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(TALKZIMBABWE) Tsvangirai says Nestle over-reacted

Tsvangirai says Nestle over-reacted
Floyd Nkomo
Wed, 23 Dec 2009 21:15:00 +0000

PRIME Minister Morgan Tsvangirai has voiced concern over Nestle's decision to shut down its dairy operations in Zimbabwe, apparently over a dispute on buying milk from a farm run by First Lady, Amai Grace Mugabe.

Nestle in October stopped buying milk from Gushungo Dairy Estates, owned by the First Lady under pressure from the EU which has banned companies from that region from doing business with Zimbabwe.

The Swiss-based food giant, the world's largest, alleged that Zimbabwean government officials and police made an "unannounced visit" to the plant on Saturday, forcing staff to take delivery of a tanker of milk from non-contracted suppliers.

Two Nestle Zimbabwe managers were reportedly also questioned by the police and released without charges the same day, it added.

"Since under such circumstances normal operations and the safety of employees are no longer guaranteed, Nestle decided to temporarily shut down the factory," the company said in a statement.

PM Tsvangirai said that he believed the firm had over-reacted, but that a solution would be found.

"Shutting down a plant... I think it's something that needs to be looked at. This is an over-reaction which is totally unnecessary," the prime minister said.

"I am sure the minister of industry, who is responsible, is talking to the directors (of Nestle), is talking to all the concerned stakeholders and that a solution will be found. So that it operates and even expands," he said.

President Mugabe said nothing about Nestle's decision.

Labels: MORGAN TSVANGIRAI, NESTLE, SANCTIONS

posted by MrK @ 9:24 AM