Turkish-based manufacturing conglomerate, Turkish Industry Holdings, committed 48.0 billion shillings towards the construction of five industries situated within the Naivasha Industrial Park, Mai Mahiu, Nakuru County.
The move by the investor comes less than a month after concerns were raised by the National Assembly Trade, Industry, and Cooperatives Committee over stalled construction at the park which requires 4.5 billion shillings to become fully operational and has contributed towards revitalizing investments within the industrial park.
The project which is valued at 90.0 billion shillings, was commissioned by President Uhuru Kenyatta in July 2022 during the official opening of the 1,000-acre Special Economic Zone (SEZ) and consists of six manufacturing industries set across 400 acres within the SEZ.
The industries which will be involved in the production of construction, forestry, furniture, and cleaning products are planned to be constructed in phases. The expansive complex dubbed, ‘Turkish Industry Zone (TIZ)’ is projected to become fully operational within five years.
Moreover, four other investors have been allocated an additional 60 acres namely; i) Jumbo Holding Limited specializing in motor vehicle assembly and agricultural machinery, ii) Jafrom Limited dealing in the construction of cold store materials, iii) Eriksen Limited which is involved in leather and textile production, and, iv) Sino Excellence Limited, a warehousing developer.
“We anticipate these crucial investments will assist in boosting Foreign Direct Investments (FDIs) into the country as well as set precedence for other local and international investors to invest at the park. This we expect will be fuelled by incentives offered in the SEZ including administrative and tax exemptions, and cheaper power tariffs,” said experts from Cytonn.
However, the lack of sufficient infrastructure such as roads, water, and electricity within the industrial park continues to hamper optimum development and investments by hindering investor confidence.
Notably, the park has significant potential to provide employment to around 16,000 young people once it is fully operational. This makes it an important initiative in tackling the current unemployment rate, currently standing at 4.9 percent, as of December 2022.