Eldoret to host trade hub
A worker at a textile factory in Eldoret. The town is to get a huge industrial park, which is expected to boost business in Eastern and Southern Africa. PHOTO| FILE| NATION MEDIA GROUP
What you need to know:
- Economists estimate that when fully operational, the park’s annual production output will be about $3 billion dollars (Sh309 trillion), which is about 5 per cent of the country’s gross domestic product (GDP).
- Roads, railways and airports, among other public infrastructure in the Northern Corridor, are set to undergo major upgrades to further ease trade between the Noreb region and its business partners in the corridor’s member states of Burundi, the Democratic Republic of Congo, Rwanda, Uganda as well as South Sudan.
A mega business development is in the offing for the greater Eastern and Southern Africa following last week’s launch of a Sh200 billion industrial and manufacturing hub in the North Rift Economic Bloc (Noreb).
Known as the AEZ Pearl River Industrial Park, the economic hub will be built and operated by Chinese firm Guandong New South Group and the African Economic Zones (AEZ), which is part of tycoon David Lagat’s DL group of companies.
AEZ already has interests in real estate, agribusinesses and energy in Kenya and Tanzania while their Chinese partners have shown interest in investing in the hospitality, energy, and construction industries, among others, as well as introducing Chinese medicine to the trading bloc.
The special economic zone will be developed on a 700-acre piece of land in Plateau in Eldoret, and will host a variety of industries, including agro processors, ICT hubs, energy-sector companies, engineering and construction firms and chemical industries.
Business experts say the park’s location in Plateau is strategic, since it will be easily accessible via the Eldoret International Airport.
More than 40 Chinese companies are expected to set up base in the park, which is expected to boost trade in the Comesa region.
AEZ project director Ronald Kirui said the first phase of the park will comprise agro processing, energy, machinery, electronics, ICT, engineering and pharmaceuticals industries.
The second and third phases will comprise a science and technology park and a social centre known as Olympia City, which will host hotels, shopping malls, local and international schools, hospitals and 4,000 residential units, among other social amenities.
“The industrial park is one of a kind in the East African region, where Kenya and the entire East African Community and the Comesa region will enjoy major economic strides,” said Deputy President William Ruto during the launch.
Economists estimate that when fully operational, the park’s annual production output will be about $3 billion dollars (Sh309 trillion), which is about 5 per cent of the country’s gross domestic product (GDP).
Roads, railways and airports, among other public infrastructure in the Northern Corridor, are set to undergo major upgrades to further ease trade between the Noreb region and its business partners in the corridor’s member states of Burundi, the Democratic Republic of Congo, Rwanda, Uganda as well as South Sudan.
Uasin Gishu Governor Jackson Mandago, whose county will host the park, listed a number of infrastructural improvements he said were necessary to enhance the efficiency of the industrial park for both investors and consumers.
He singled out the need to extend the Standard Gauge Railway to the Ugandan border via Uasin-Gishu to ease the transportation of cargo.
“I call on the government to make special accommodation for budgetary allocations to ensure that the transport infrastructure along the Northern Corridor is improved for the business hub’s maximum productivity,” said the governor.
“Of great importance is the road infrastructure linking the Noreb region to the Northern Corridor member countries, the expansion of the Eldoret Airport to accommodate cargo, and the expansion of the SGR to the Malaba border,” he added.
Manufacturers from different industries say the park will promote business and improve the livea of the local people and business community since they will be able to supply raw materials and the required labour.
The launch of the project has also given hope to thousands of jobless youths in the country, who are hoping to cash in on opportunities it will present.
It is estimated that the park will create 40,000 direct jobs and another 150,000 indirectly.
Apart from hosting a number of industries, Eldoret Town also hosts branches of many public and private universities and the Moi Teaching and Referral Hospital, country’s second national such hospital.
It is also home to many retired and active international athletes while many governors, MPs and top civil servants in Rift Valley and western Kenya have homes in the town.
