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Seeka Announces Capacity Expansion For 2022, And Delays Decision On Pukenga Development
Seeka Limited [NZX:SEK] announces that it will build and commission a new kiwifruit MAF RODA packing machine in the KKP packhouse situated at Maketu Corner Te Puke, replacing an existing 25 year old 10 lane machine a new 8 lane machine including camera grading and packing automation.
The Company expects the MAF RODA to deliver significant production efficiencies and a commensurate increase in total trays packed. Minimal modifications will be made to the KKP building other than the construction of additional curing canopy. The project is expected to be commissioned in time for the 2022 harvest.
An additional 650,000 static trays of cool storage will be constructed at the adjacent Transcool site by demolishing a smaller old cool store. The new store includes additional pre-cooling capacity to handle the increased production and will be a high efficiency store with 5 high pallet racking, high air movement and automation.
Seeka Chief Executive, Michael Franks, in announcing the investment outlined that the project is expected to meet increasing and committed fruit volumes and provide the Company with sufficient capacity for the next two years.
The announced investment gives Seeka more time to consider its capacity options going forward including the potential for a new packhouse on the Pukenga Orchard site. The need for this investment is now delayed.
The total investment for the MAF RODA and cool store is forecast to be $20 million.
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