• Contact Us
  • About Us
  • Advertisement
  • Privacy & Policy
Thursday, July 3, 2025
SUBSCRIBE
The Brief | Namibia's Leading Business & Financial News
13 °c
Columbus
19 ° Tue
21 ° Wed
  • Home
  • Companies
    • Finance
    • Agriculture
    • Technology
    • Property
    • Trade
    • Tourism
  • Business & Economy
  • Mining & Energy
  • Opinions
    • Analysis
    • Columnists
  • Africa
  • e-edition
No Result
View All Result
The Brief | Namibia's Leading Business & Financial News
  • Home
  • Companies
    • Finance
    • Agriculture
    • Technology
    • Property
    • Trade
    • Tourism
  • Business & Economy
  • Mining & Energy
  • Opinions
    • Analysis
    • Columnists
  • Africa
  • e-edition
No Result
View All Result
The Brief | Namibia's Leading Business & Financial News
Subscribe
No Result
View All Result
TB image banner 750x140
Home Companies

Desert Lager turns to international partners, amid zero local funding appetite

by editor
February 18, 2022
in Companies
46
A A
57
SHARES
957
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn

You might also like

Namibia records N$121 million trade surplus in May

Govt tenders 1,000mt monk freezer fish

Fish exports hit N$1.3 billion in May

Local brewer ,Desert Lager is set to partner with two international companies to set up production plants in Namibia and Lesotho, The Brief has established.

“We were approached by an international company from Malta that wants to do business with us in southern Africa, on-condition we build a local plant here in Namibia, so that we can produce our brand and their brands and introduce them in the region,” said Desert Lager co-founder, Homateni Kapewangolo.

“There are also strategic partners that want us to build a brewery together in Lesotho. Those discussions are still on-going. We spoke to the Minister of Trade in that country. We are coming in as technical partners with our brand. We are looking at putting up a facility in Maseru.”

“They have an already existing distribution network, which we can use and we come with our technical expertise. This also gives us legs in terms of being an SME, it gives us access to the market. If we have the Namibian leg and the Lesotho leg, then in terms of volumes, you stand a better position when competing for market space. That is the current position, but that is as far as I can share on the Lesotho part. I can’t disclose so much information.”

Desert Lager said the decision to engage the two international partners comes after it has struggled to secure local funding to set up its own production facility.

“There is zero appetite locally for funding for our project. The challenge for us young entrepreneurs wanting to compete in that space is really the lack of resources and interest coming from our local funding institutions.  They are not tailor made for the needs of young entrepreneurs. For example, to put up a small plant will cost us around N$30 million, but to secure that N$30 million is a big problem. This is what most entrepreneurs are going through when it comes to trying to find funding,” he said.

“The timelines for the proposed projects will depend on what we are doing in our private capacity to raise capital. Currently that is our current model, where we are raising funds from other projects such as property. The pace at which this project will grow, will largely depend on what we are doing in other sectors.”

Kapewangolo said there has been a market interest in the brewer’s products since its formation in 2018, and local production of its beer brand will enhance its competitive advantage.

“The market and demand is there for the brand, fortunately for us, because of the industry experience, we need a local facility so that our cost of production can be reasonable, so that we are competitive on the shelf. Using international routes, where we are making it through our international partners in South Africa, it impacts on your profit margins, landing cost of the product, which make it more expensive to compete with a locally produced product,” he said.

On its legal tussle with Namibia Breweries amid allegations the company had copied the Tafel Lite recipe, the Desert Lager co-founder said, “The brand was performing well then, until the issue with NBL came. There was really no issue there because we had done nothing wrong. Until this day, they have not come back to us. We are a small company and are not looking to put our money into legal battles with large corporations, so we decided to focus on the main mission, which was to introduce our brand, which we did. By doing so, we managed to gain market equity.”

Like most companies, he said the business had been hard hit by the negative impact of COVID-19, especially government alcohol regulations.

“Then in March 2020 that’s when the lock down came in and based on our business model in terms of distribution and promotions, the lock down affected us heavily. Remember for us to penetrate the market, we needed to do promotions. Limited human interactions due to the lockdown, we downscaled a bit. With the alcohol ban, we then decided to use that time to look at investors that can put money for us to grow our infrastructure,” he said.

Namibia’s alcohol market is dominated by Namibian Breweries, the brewers of Windhoek Lager and Tafel Lager.

Heineken NV has made an offer to increase its stake in Namibian Breweries Limited (NBL), as the Dutch brewer seeks to consolidate its footprint in Africa.

Heineken NV has offered to buy Ohlthaver & List Group of Companies (O&L)’s 50.01% stake in NBL Investment Holdings (Proprietary) Limited (NBLIH), the controlling shareholder with a 59.4% shareholding in Namibian Breweries Limited (NBL).

Heineken already owns a 49.99% interest in NBLIH and will become the majority shareholder of the brewer on completion of the transaction this year.

author avatar
editor
See Full Bio
Tags: companies
Share23Tweet14Share4
Previous Post

Will Multichoice Namibia increase Dstv prices for 2022?

Next Post

Europe commits R2.6 trillion to Africa, continent wants more

Recommended For You

Namibia records N$121 million trade surplus in May

by reporter
July 3, 2025
0
Trade deficit narrows by 19.8% to N$11.4 billion in first 5 months

Namibia recorded a trade surplus of N$121 million in May 2025, marking a significant shift from the N$1.8 billion deficit seen in April. This is the country’s first...

Read moreDetails

Govt tenders 1,000mt monk freezer fish

by reporter
July 3, 2025
0
Govt tenders 1,000mt monk freezer fish

The Ministries of Finance and Agriculture, Fisheries, Water and Land Reform have invited bids for 1,000 metric tonnes of monk freezer fish, following Cabinet’s approval of the 2025/2026...

Read moreDetails

Fish exports hit N$1.3 billion in May

by reporter
July 3, 2025
0
Fish exports hit N$1.3 billion in May

Namibia’s food trade recorded a surplus in May 2025, primarily driven by strong fish exports, which reached N$1.3 billion and accounted for 76.9% of total food exports, the...

Read moreDetails

BoN orders banks to cut gap between repo and lending rates

by reporter
July 2, 2025
0
BoN orders banks to cut gap between repo and lending rates

The Bank of Namibia (BoN) has directed all commercial banks to narrow the gap between the repo rate and lending rates by 25 basis points in two stages...

Read moreDetails

Foreign investment into Namibia surges to US$11 billion

by reporter
July 2, 2025
0
Namibia attracts  N$115 billion FDI over 4 years

Namibia’s inward foreign direct investment (FDI) stock rose to US$10.995 billion in 2024, up from US$9.2 billion in 2023, according to the United Nations Conference on Trade and...

Read moreDetails
Next Post
Europe commits R2.6 trillion to Africa, continent wants more

Europe commits R2.6 trillion to Africa, continent wants more

Related News

Only 9% of Namibians vaccinated

Only 9% of Namibians vaccinated

September 14, 2021
SARB says more interest rate hikes are coming

SARB says more interest rate hikes are coming

November 1, 2022
Authentic leadership – leading with heart, not ego 

Authentic leadership – leading with heart, not ego 

March 18, 2024

Browse by Category

  • Africa
  • Agriculture
  • Analysis
  • Business & Economy
  • Columnists
  • Companies
  • Finance
  • Finance
  • Fisheries
  • Green Hydrogen
  • Health
  • Investing
  • Latest
  • Market
  • Mining & Energy
  • Namibia
  • namibia
  • News
  • Opinions
  • Property
  • Retail
  • Technology
  • Tourism
  • Trade
The Brief | Namibia's Leading Business & Financial News

The Brief is Namibia's leading daily business, finance and economic news publication.

CATEGORIES

  • Business & Economy
  • Companies
    • Agriculture
    • Finance
    • Fisheries
    • Health
    • Property
    • Retail
    • Technology
    • Tourism
    • Trade
  • Finance
  • Green Hydrogen
  • Investing
  • Latest
  • Market
  • Mining & Energy
  • namibia
  • News
    • Africa
    • Namibia
  • Opinions
    • Analysis
    • Columnists

CONTACT US

Cell: +264814612969

Email: newsdesk@thebrief.com.na

© 2025 The Brief | All Rights Reserved. Namibian Business News, Current Affairs, Analysis and Commentary

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

No Result
View All Result
  • Home
  • Companies
  • Mining & Energy
  • Business & Economy
  • Opinions
    • Analysis
    • Columnists
  • Africa

© 2025 The Brief | All Rights Reserved. Namibian Business News, Current Affairs, Analysis and Commentary

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.