The closure of the Heineken-owned Bralima brewery in the Democratic Republic of Congo due to ongoing conflict has severely impacted local businesses and the economy. Prices for necessities are skyrocketing, banks are closed, and water utilities face shortages. Business owners like Adolphe Amani are struggling to survive, emphasizing the urgent need for peace to revitalize the local economy.
The Democratic Republic of Congo is facing significant economic turmoil due to ongoing conflict, exemplified by the closure of the Heineken-owned Bralima brewery in Bukavu. Local bar owner Adolphe Amani, struggling with dwindling beer supplies for customers, anticipates shutting down his establishment as he cannot afford essential expenses like rent and utilities. He stated, “We cannot hold out any longer. We cannot pay the rent, electricity, water or our taxes.”
Congo’s M23 rebels, allegedly backed by Rwanda, have executed their most substantial offensive in a decade, capturing major cities such as Goma and Bukavu. This advancement has led to widespread international condemnation of Rwanda, which denies these allegations, and thwarted peace initiatives have exacerbated the hardships faced by businesses and residents in affected areas. As a result, prices of food and necessities have skyrocketed, farmers are unable to access their fields, and banks are closed, leading to a cash supply strain. Resident Merci Kalimbiro lamented, “We can no longer access our fields or our bank accounts. The economy is blocked and paralyzed.”
The ramifications of the conflict extend across all business sectors. Following a chaotic withdrawal of government forces, the situation has been marked by looting, including significant damage to Heineken’s facilities. The brewery chain reported attacks on its depots, leading to operational suspensions until peace is restored. A Heineken spokesperson mentioned, “It will take some time to assess the damage. Businesses urgently need to see an end to the conflict and violence and a start to a meaningful peace process.”
Heineken’s operations in Congo are crucial, supplying nearly 14% of the company’s global revenue from its four breweries. Each brewery has been a significant employer in the region, catering to approximately a third of Heineken’s total business in Congo. The implications of Bralima’s closure extend further, affecting state utilities dependent on its operations. REGIDESO, the local water utility, revealed that Bralima’s inactivity jeopardizes its revenue from water purification chemicals, potentially leading to a critical supply shortage and service interruption. Jean de Dieu Kwibuka Babwine, a utility manager, warned that if chemical supplies run out, it would lead to dire consequences. Furthermore, Amani expressed a reluctance to source beer alternatives from neighboring countries stating, “I cannot consume products that come from Rwanda. They are our enemy.”
The closure of the Heineken brewery in the Democratic Republic of Congo highlights the severe economic impact of ongoing conflicts, resulting in business shutdowns, rampant inflation, and critical infrastructure challenges. Local businesses, such as Amani’s bar, suffer immensely, leading to layoffs and potential service disruptions. The hope for economic recovery hinges on the restoration of peace in the region, with residents adamant about supporting local enterprises despite pressing challenges, thus underlining the extent of the conflict’s influence on daily life and infrastructure.
Original Source: www.straitstimes.com
