Sadolin re-launches in Uganda
Crown Paints CEO Rakesh Rao, AkzoNobel MD for sub-Saharan Africa Johann Smidt and commercial executive Deon Nieuwoudt at the re-launch of Sadolin Paints in Kampala last week. Photo by Jonathan Adengo
Kampala- Sadolin Paints has re-launched on the Ugandan market and announced Crown Group, manufacturers of Regal Paints as their new local partners.
Through a toll agreement and partnership, Crown Group will oversee the Sadolin Paints sales and distribution network.
The development comes on the heels of AkzoNobel’s (Sadolin brand owner) commitment to the East African region and the continuation of its decorative brand in Uganda.
Speaking at the re-launch at the Kampala Sheraton Hotel last week, Mr Johann Smidt, the director AkzoNobel decorative paints in sub-Saharan Africa, said: “We are delighted to relaunch Uganda’s number one paint brand and once again assure our customers that the brand they love is here to stay. We will offer global standard quality paint that the Ugandan people can enjoy.”
He added that the re-launch will see an investment of Shs10b into a new manufacturing plant in Namanve, advanced technology and job creation which he said will further stimulate the Ugandan economy.
He explained that the Sadolin plant in the Namanve Industrial Park will be the primary site for manufacturing and distribution of Sadolin.
“We are confident that with our partnership with Regal Paints, a subsidiary of Crown Paints East Africa, our new sales and distribution partner, will service Uganda and the region with excellence.”
State minister for Trade Michael Werikhe Kafabusa said the re-launch will generate between 200 to 250 job opportunities for Ugandans in the manufacturing plant and distribution network.
He said the ministry has put in place policies that will ensure that all Ugandans benefit.
Mr Rakesh Rao, the chief Executive office Crown Paints East Africa, said: “..its an honour to be awarded toll manufacturing, sales and distribution agreement to serve the Ugandan market.”
He said the partnership is a strong statement on the investment by AkzoNobel and continuity of the Sadolin brand in Uganda and the whole region.
“The Sadolin brand has been a household name for many years. We embrace the level of professionalism, quality and global best practices that the brand enforces and are thrilled to enter into this partnership and facilitate the continued supply of Sadolin in Uganda and the region,” Mr Rao said.
Recently, AkzoNobel cancelled its licensee agreement with Sadolin Paints East Africa, now Kansai Plascon, over breach of contract.
According to available statistics, Crown Paints command about 33 per cent market share while Sadolin commands 13 per cent in Kenya.
In Uganda, Sadolin used to command 60 per cent of the market share while Regal Paints commands between 7 and 8 per cent.
Mr Rao said they will maintain strict professionalism and standards in operating the two brands.
He said in markets where Sadolin is the premium brand, they will continue to run it as a premium brand as it is in Uganda and Tanzania.
He said Regal Paints, which has been a fighting brand in the Ugandan market, will also continue operating alongside Sadolin.
According to Mr Smidt, Sadolin was founded by Gunnar Sadolin in 1907and has been owned by AkzoNobel since 1987.
It was never owned by the local licensee - Sadolin Paints East Africa.
The licensee was purely manufacturing, selling and distributing the Sadolin brand on behalf of AkzoNobel.
