KSh 15B EABL Brewery in Kisumu to Create 110,000 Jobs

By Soko Directory Team / June 28, 2017



East African Breweries Posts HY KSh 4.95 Billion in Profit-after-tax EABL

By Amina Faki

East African Breweries Limited (EABL.NR) plans to open a new brewery  plant in Kisumu at a cost of Kshs.15 billion.

The move was well received by the Head of State President Uhuru Kenyatta saying that the move will empower farmers and help many transit to agribusiness.

“Many of us rely on subsistence agriculture to earn a living. But our farming will only remain viable only if we move from subsistence production to agribusiness. If we do this right, we will see a significant multiplier effect: creating employment, raising rural incomes, increasing food security, boosting exports and eventually growing the economy,” said the president.

Through the president’s long list of achievement on job creation opportunities, he mentioned that Kisumu is next in line to receive record breaking new investment that will change the lives of farmers and many young people.



In a statement when he met with Diageo Global chief executive Ivan Menezes, the president said that the investment valued at 15 billion Kenya shillings will result in a modern, state-of-the-art brewery which will see more jobs being created.

According to President Uhuru Kenyatta the new plant has the potential to create 110, 000 jobs. The Head of State says the plant has already been planned, adding that 30,000 farmers in Kisumu, Siaya, Homabay, Migori, TharakaNithi and Makueni have been engaged by EABL to grow sorghum.

“Our projection is that the new plant will increase the number of contracted farmers from 30,000 to 45, 000 and increase utilization of irrigation by our small scale farmers, 110,000 quality jobs will be created,” said the President during the briefing.

He also encouraged farmers to take advantage of the new plant and be part of East Africa Breweries Limited success stories.

Early this year the Treasury introduced 80 percent remission for beers made from sorghum, millet and cassava.

Mr. Menezes said, “This investment in a new brewery for Senator Keg underlines our long-standing commitment to Kenya. This announcement now brings our incremental capital investment to Kshs 30 billion over the last five years and further deepens our relationship with Kenya which has now spanned 95 years.

Once complete, this new brewery will increase the production capacity of the now iconic Senator Keg, which will in turn provide socio-economic benefits, including helping to reduce the consumption of illicit brews.”

The Kisumu facility, on which the new one will stand, started operations in 1984 but was closed in 2002 due to improvements in beer-production technology that helped create excess capacity in beer production at the Nairobi brewery.

The re-opening will help plug fresh demand for Senator, a hugely successful beer product launched in 2004, targeted at the low-end of the market. EABL has developed a robust value chain supporting Senator’s production, and the latest investment will expand the number of contracted farmers from the current 30,000 to 45,000.

The Nyanza region climate is among the most conducive for sorghum and millet production and the proximity to the plant will further benefit the local farmers more. Gross additional farmer earnings are expected to reach over Kshs. 6 billion annually over the next 10 years boosting rural economies.



About Soko Directory Team

Soko Directory is a Financial and Markets digital portal that tracks brands, listed firms on the NSE, SMEs and trend setters in the markets eco-system. Find us on Facebook: facebook.com/SokoDirectory and on Twitter: twitter.com/SokoDirectory

View other posts by Soko Directory Team


More Articles From This Author







Other Related Articles








SOKO DIRECTORY & FINANCIAL GUIDE

ARCHIVES

2018
  • January 2018 (291)
  • February 2018 (220)
  • March 2018 (279)
  • April 2018 (226)
  • May 2018 (240)
  • June 2018 (178)
  • July 2018 (168)
  • 2017
  • January 2017 (183)
  • February 2017 (195)
  • March 2017 (207)
  • April 2017 (104)
  • May 2017 (169)
  • June 2017 (206)
  • July 2017 (190)
  • August 2017 (196)
  • September 2017 (186)
  • October 2017 (236)
  • November 2017 (253)
  • December 2017 (266)
  • 2016
  • January 2016 (167)
  • February 2016 (165)
  • March 2016 (190)
  • April 2016 (143)
  • May 2016 (246)
  • June 2016 (183)
  • July 2016 (271)
  • August 2016 (250)
  • September 2016 (234)
  • October 2016 (191)
  • November 2016 (243)
  • December 2016 (154)
  • 2015
  • January 2015 (1)
  • February 2015 (4)
  • March 2015 (166)
  • April 2015 (109)
  • May 2015 (117)
  • June 2015 (121)
  • July 2015 (150)
  • August 2015 (157)
  • September 2015 (189)
  • October 2015 (171)
  • November 2015 (174)
  • December 2015 (208)
  • 2014
  • March 2014 (2)
  • 2013
  • March 2013 (10)
  • June 2013 (1)
  • 2012
  • March 2012 (7)
  • April 2012 (15)
  • May 2012 (1)
  • July 2012 (1)
  • August 2012 (4)
  • October 2012 (2)
  • November 2012 (2)
  • December 2012 (1)
  • 2011
    2010
    2009
    2008
    2007
    2006
    2005
    2004
    2003
    2002
    2001
    2000
    1999
    1998
    1997
    1996
    1995
    1994
    1993
    1992
    1991
    1990
    1989
    1988
    1987
    1986
    1985
    1984
    1983
    1982
    1981
    1980
    1979
    1978
    1977
    1976
    1975
    1974
    1973
    1972
    1971
    1970
    1969
    1968
    1967
    1966
    1965
    1964
    1963
    1962
    1961
    1960
    1959
    1958
    1957
    1956
    1955
    1954
    1953
    1952
    1951
    1950