8/13/2010 10:32:00 AM
NEWS BRIEFS
BMA Fasteners Recalls Workers As Owner Weighs Less Debt
Bolt manufacturer BMA Fasteners has recalled almost all workers who were sent on forced leave due to low production, the Chronicle of Zimbabwe reports.
“At the beginning of the year it was only the management that was present at work and everyone was on unpaid leave,” stated managing director Erick Makarimayi.
Makarimayi told the Chronicle that capacity utilization at the factory has risen from an average 3% at the beginning of the year to 35%.
BMA, a division of Steelnet, employs more than 100 workers to manufacture bolts and nuts for the in the mining, agriculture and construction industries. The company exports fasteners to such countries as Namibia, Zambia and South Africa.
BMA also offers complementary services like hit dip galvanising, electro planting heat treatment, wire treatment, wire drawing and general engineering.
Makarimayi said fastener imports to Zimbabwe were hurting domestic producers.
“We are facing severe competition from the goods that are coming from countries such as China, Dubai, South Africa and Indonesia.”
BMA’s increased capacity comes amid parent-company Steelnet’s effort to borrow as much as US$3.4 million. Steelnet had to abandon efforts to procure US$7 million through bank loans after failing to secure an underwriter for the debt.
A Steelnet official told the Chronicle that with adequate funding, capacity could rise to the projected national benchmark of 60%.
BMA Fasteners manufactures a range of bolts and nuts, wire nails, roofing products, rock support systems and specialized forgings. It also offers complementary services like hit dip galvanizing, electro planting heat treatment, wire treatment, wire drawing and general engineering. ©2010 GlobalFastenerNews.com
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