Varun Beverages Zimbabwe signs exclusive Mondelez distribution deal
The agreement expands Varun Beverages Zimbabwe’s portfolio into confectionery and snack distribution without requiring additional capital expenditure at this stage.
ZIMBABWE – Varun Beverages Zimbabwe has signed an exclusive distribution agreement with Mondelez South Africa to distribute the multinational food company’s chocolate, biscuit, candy and gum products across Zimbabwe from October 1, 2026.
The agreement gives Varun Beverages (Zimbabwe) (Private) Limited exclusive distribution rights for Mondelez products in the Zimbabwean market. The company said no additional capital expenditure is currently envisaged for the new business, as it plans to leverage its existing distribution network.
“We wish to inform you that Varun Beverages (Zimbabwe) (Private) Limited (a subsidiary of our Company) has entered into an Exclusive Distribution Agreement today with Mondelez South Africa Proprietary Limited (‘Mondelez’) effective from October 1, 2026 for the exclusive distribution of chocolate, biscuit, candy and gum products of Mondelez in the territory of the Republic of Zimbabwe,” Varun Beverages said in a regulatory filing.
The company said the agreement represents a new line of business in confectionery, with the expected benefit being the expansion of its portfolio through snacks distribution.
The Mondelez partnership comes as Varun Beverages continues to invest in its African operations. During the first half of 2026, the company recorded net capitalised capital expenditure of Rs9.5 billion.
According to Varun Beverages Director Raj Gandhi, the expenditure included Rs2 billion for brownfield expansion in India, including a value-added dairy beverages line at Supa, Rs1 billion for a snack manufacturing plant in Zimbabwe and Rs4 billion for market infrastructure, including visicoolers, glass bottles, pallets and vehicles.
Varun Beverages Chairman Ravi Jaipuria has said the company sees opportunities for further expansion across Africa.
The Mondelez agreement follows Varun Beverages’ recent product expansion in Kenya. On September 14, the company launched BOLT UP, an energy drink, and XTREME FIZZ, a carbonated soft drink, as it expanded its beverage portfolio in the Kenyan market.
Dairibord transaction under review
Varun Beverages is also facing regulatory scrutiny in Zimbabwe over a separate proposed transaction. The Competition and Tariff Commission is investigating the company’s proposed acquisition of a 48.79% shareholding in Dairibord Holdings Limited.
The commission is assessing whether the proposed transaction could substantially lessen competition or result in the creation of a monopoly situation.
Varun Beverages entered Zimbabwe in 2018 through a greenfield bottling facility in Harare and has invested more than US$100 million in the country.
The Mondelez distribution agreement will therefore add confectionery products to Varun Beverages Zimbabwe’s existing operations, with the company relying on its established distribution infrastructure rather than making additional capital expenditure at this stage.
