Central SA
Coca-Cola SA plant shutdown reports in Bloem spark economic alarm─── KEKELETSO MOSEBETSI 12:38 Thu, 18 Sep 2025
With the Free State already grappling with high unemployment, reports of another major production plant potentially shutting down in Bloemfontein have sparked serious concern.
The plant in question, operated by Coca-Cola Beverages South Africa (CCBSA), is reportedly affected as part of a broader restructuring process that could impact more than 680 workers nationwide. DA economic development spokesperson in the Free State Legislature, David van Vuuren, warned of the ripple effects such a closure would have on the local economy.
“When large businesses close or alter their operations, the impact is usually felt immediately by the surrounding community. In some cases, the spin-off effects can be as devastating as the closure of the company,” said Van Vuuren.
He explained that the fallout would go far beyond direct job losses. “Local suppliers and service providers lose a major client, transport businesses collapse, informal markets and stalls around the company are forced to close, and there is significantly less money circulating in the local economy due to the loss of income,” he added.
Van Vuuren also noted that the Free State already struggles with high unemployment, ranking third nationally.
“With the Free State having the third-highest unemployment rate in the country, the issue of job security and the creation of further employment in the province is our number one concern. We have seen an alarming trend in other parts of the province and country, where companies are forced to end their operations due to the increased cost of running their businesses,” he said.
Calls for government intervention
He called on the government to urgently intervene. “Government must be doing more to protect businesses of all scales and ensure the protection of our economy,” Van Vuuren stressed.
Meanwhile, reports from SABC News indicate that CCBSA is planning to shut down its Bloemfontein and East London plants. The company has attributed the decision to financial constraints and has reportedly pledged to offer affected workers a “generous separation package”.
Union vows to fight closure
But the Food and Allied Workers Union (Fawu) has vowed to fight back.
Deputy general-secretary of Fawu, Edwin Mabowa, accused CCBSA of undermining proper labour processes by negotiating directly with workers instead of engaging the union.
