Source: Delta pays US$315m in taxes – herald
Business Reporter
Delta Corporation, Zimbabwe’s largest beer and soft drinks maker, has reported a total tax contribution of US$315,2 million to the national fiscus for the year ended December 31, 2025.
This represents a 24,7 percent increase from US$252,8 million during the same period in 2024, driven by volume recovery, pricing strategies, and improved operational efficiencies, the company said.
The beverage maker’s tax contribution followed a solid performance last year.
Delta reported strong revenue growth of 5 percent to US$807,47 million, with profit after tax increasing by 15 percent to US$116,15 million, driven by solid lager and sorghum beer volumes despite challenges like high inflation in 2024 and the impact of sugar taxes.
The group continues to sustain an annual growth rate (CAGR) in tax remittances of approximately 20 percent over the last four years, cementing its status as a critical revenue generator for the Treasury.
The composition of the tax bill highlights significant growth in consumption-based taxes, the Value Added Tax and excise duty, which collectively account for 58 percent of the total taxes.
VAT and excise duty remain the largest contributors, both exceeding US$90 million in 2025.
These are indirect consumption taxes that provide the Government with immediate, reliable cash flow.
In an economy where informal sector taxation is difficult, Delta acts as a formal “collection agent,” efficiently gathering revenue from millions of consumers and channelling it directly to the Treasury to fund civil servant salaries and government operations.
PAYE shows a marked increase of about 50 percent, while import duty and sugar tax show relatively stable contributions compared to other heads.
In recognition of its 24,7 percent increase in fiscal contribution, the Zimbabwe Revenue Authority (ZIMRA) honoured the beverage giant with three major compliance awards for 2025. Validating Delta’s strategy of combining volume growth with rigorous adherence to fiscal modernisation.
The revenue authority recognised Delta’s critical role in the country’s revenue generation and trade ecosystem, with the best excise duty contributor (beer), National Impact Authorised Economic Operators (AEOs) importer and trade facilitation in Greater Harare (importers) awards.
Beyond the payments, Delta is actively advancing Zimbabwe’s fiscal infrastructure. The group is spearheading the AEO programme, a standard designed to secure and facilitate global trade, enabling faster goods clearance.
Furthermore, Delta has moved to integrate automated file uploads under the Tax and Revenue Management System (TaRMS) platform.
This move supports the Government’s push for full fiscal digitalisation, ensuring transparency and reducing administrative friction for both the regulator and the taxpayer.
“We continue to play a leading role in advancing modern compliance practices…ensuring transparency and national development. These awards are a tribute to the hard work of our team,” Ms Patricia Murambinda, general manager — Corporate Affairs, said.
Management highlighted ongoing engagements with the Government through platforms like Zimbabwe Investment Development Agency (ZIDA), advocating for a level playing field for domestic investors.
Delta is lobbying the Government to extend fiscal incentives currently available to foreign direct investors to established domestic players.
It also wants the authorities to address market distortions where local producers face higher compliance costs compared to imported finished goods.
Ms Murambinda emphasised the need for policy arbitrage to be minimised.
“These engagements focus on ensuring that domestic investors can access incentives and benefits comparable to those available to foreign investors . . . At the same time, the group remains mindful of its responsibility to pay fair and appropriate taxes that support the fiscus,” she said.
Despite a highly competitive landscape marked by the influx of imported beverages, Delta has maintained volume momentum through rigorous cost discipline and route-to-market innovation.
The upgrade of the company’s Belmont Brewery in Bulawayo remains on schedule, with commissioning expected in the third quarter of 2027. The upgrade is critical for mitigating current supply constraints in the lager beer division.
Until commissioning, the group will focus on optimising existing capacity to meet demand.
Meanwhile, Delta’s commitment to local sourcing and agricultural development is evident in its grower programme, which supports 47 commercial farmers and approximately 12 000 communal farmers for the 2025/26 farming cycle.
The programme aims to achieve 60 percent coverage for maize and 100 percent coverage for sorghum, aligning with anticipated volume growth in the coming year.
