Is Tanzania ousting Kenya as East Africa's powerhouse?

Mie nafurahia sana jinsi Tanzania yajikakamua katika miradi na hilo lamaanisha Africa masharaki haitakua kama eneo zingine bara hili ambapo nchi moja tu yaongoza katika sekta zote, hata Uhabeshi ambayo huenda ikaingia katika jumuia kwa miaka michache ya fanya mengi kweli.

Ila wengi wenu mwaongea kanakwamba Kenya hakuna kinachoendelea, uchumi umekwama mwambani au hata wapungua. yapo mengi yanayoendelea Kenya na kila mwaka uchumi waongezeka kwa mabilioni mengi kiliko nchi zingine ukanda huu.
 
Dormans breaks ground for global headquarters at Tatu City
Dormans Coffee Group has broken ground on its new global headquarters at Tatu City.

The firm disclosed Wednesday that it has now obtained all necessary approvals to begin building on its 10-acre site.

The company's headquarters construction will cost an estimated Sh650 million and will include processing, packaging, warehousing and trading facilities capable of handling more than 15,000 tonnes of coffee annually.

“When the facility is fully built, close to 200 Dormans employees will work at Tatu Industrial Park,” Dormans Chairman Jeremy Block said Wednesday.

The construction plans are in tandem with the company's strategy to tap into the huge local and international demand for coffee which has fuelled competition in the market sending investors on an expansion drive.

“The decision to consolidate our operations and offices at Tatu Industrial Park demonstrates our commitment to the quality of our coffee and global growth. And the challenges of working in the CBD and central Nairobi have become greater over time as it has become more crowded. Out here we will avoid all that,” Block said during the ground breaking ceremony.
Early this year, Dormans Limited and the Israeli-owned enterprise café-restaurants and bakeries operator Artcaffé announced a long-term joint venture to secure their hold on the middle class.

The deal saw Artcaffé acquire and manage specific Dormans coffee houses which still continue trading as Dormans.
With a growing middle class and more shopping malls under construction in major towns across Kenya, competition in the restaurant industry is heating up.
Dormans started operations in Kenya under the C. Dormans brand in 1950.
It blends and exports local coffee to markets such as the US, Germany, China, Ireland and South Africa.
It is owned by ED&F Man, a London-based firm that trades in agricultural commodities specifically sugar, molasses and coffee.
The company’s customer base includes major users of coffee and prestigious gourmet roasters all around the world.
 
India Launches 1st Indo-Africa ICT Expo In Nairobi

Indian Government in association with ICT Authority of Kenya, India’s Telecom Export Promotion Council (TEPC) and NASSCOM launched the 1st Indo-Africa ICT Expo in KICC, Nairobi.

This event was inaugurated by minister, Najib Balala; Dr Fred Matiangi, cabinet secretary, government of Kenya; and Rakesh Garg, secretary, Telecom, government of India. The event ws attended by senior government officials and business leaders from India, Kenya, Tanzania, Uganda and Rwanda.

The kickoff meeting for this event was done by Dr Fred Matiangi, cabinet secretary, government of Kenya in New Delhi on July 7, 2015, in the presence of Ravi Shankar Prasad, union minister of communications & IT, government of India.

Speaking at the inauguration, Rakesh Garg said, “Due to the large scale and complexity, we have got a lot of experience in policies, networks/technology, skill development and innovative solutions that we will like to share with Africa. We are also impressed that Kenya has been creating innovative solutions using ICT for improving the lives of its people. Together, we see many opportunities for cooperation and our government is keen to find ways to increase the business between India and Africa in ICT sector.”
India Launches 1st Indo-Africa ICT Expo In Nairobi - TeleAnalysis : TeleAnalysis
 
Kenya to remain regional economic powerhouse, says report

Nairobi tops the list as Africa’s most attractive destination for FDI. This is in big part motivated by the fast-growing middle class that is setting the stage for a booming consumer market,”
Kenya's economy tipped for growth
 
US drugs firm Serenus opens office in Nairobi for Africa expansion



Serenus Biotherapeutics, a US company that distributes drugs and medical devices in Africa, has opened its regional office in Nairobi.

The new office will be the base for rolling out its products in eastern and central Africa.

“These new offices will expand our access to critical markets, allow us to better serve patient populations, and support our growth as late-stage drug development and commercial company,” said Serenus chief executive and founder Menghis Bairu.

The company said it was targeting the growing market for drugs that treat lifestyle diseases.

The region, including Kenya, is currently seeing an increase in diseases associated with modern or sedentary lifestyles although this is not matched by expansion in services of managing them.

“While the region suffers from a high incidence of infectious diseases, such as malaria, cholera, meningitis, and tuberculosis, there is an increasing burden of non-communicable diseases including cardiovascular, diabetes, respiratory and neurological diseases, and cancer among others,” said the company in a statement.

The company’s business model is to distribute drugs that are manufactured by big pharmaceutical companies but whose patents have not expired.
The drugs are normally expensive and the alternative for patients is to wait for more affordable generics.

Serenus says it plans to distribute the drugs at competitive prices.

Kenya’s pharmaceutical market is estimated to have raked in Sh33.5 billion as at the end of 2014 and is estimated to be growing at an average annual rate of 14 per cent.

Private equity (PE) firms are also investing in the pharmaceutical sector by buying into distribution companies to take advantage of the expanding business of medical drugs.

Fanisi Capital has invested in Haltons Pharmacy. The PE firm has most recently revealed plans to invest Sh2 billion in a move intended to quadruple the drug retailer’s stores in the next two years.

Catalyst Principal Partners, another PE firm, and Africa Chemist & Beauty Care of Mauritius, bought into Goodlife Pharmacy chain in September last year.

On its part, Serenus also distributes medical equipment mainly from the US, Europe and Japanese markets.

The US-based company joins its compatriot Guided Therapeutic, which has submitted a proposal to the Health Ministry to introduce its cancer screening devices to the local market.
US drugs firm Serenus opens office in Nairobi for Africa expansion
 
A Switzerland-based energy standards organisation has picked Nairobi to host its continental office that will coordinate efforts to combat dumping of counterfeit products as Africa races to ramp up electricity generation.

Based in the city’s Westlands area, the office is the fifth globally for the International Electro-technical Commission (IEC) — NGO that develops safety standards for energy, electronics and electrical appliances.

It becomes the latest among multinationals and global organisations that have chosen Nairobi as their regional headquarters, underlining the rising profile of Nairobi as a capital destination and communications hub.

IEC general-secretary and chief executive Frans Vreeswijk said Monday the Nairobi office would train government officials and industry players alongside coordination of practices in 48 African nations that are members.

“The office will enable us develop closer linkages with the continent to ensure quality power generation and usage through innovation alongside electronics and electrical products,” said Mr Vreeswijk during the launch in Nairobi.

The office launch comes amid growing concerns of health and safety hazard posed by heaps of substandard electronics shipped into the continent.

The IEC safety and quality assessment covers household, office and industrial electronics, electrical appliances, power transmission, smart grid, batteries, semiconductors, fibre optics, industries and ICT.

The Kenya Bureau of Standards, whose officials are working closely with IEC, last week demanded that all goods shipped into Kenya be inspected at the country of origin in efforts to tame flow of substandard goods. Kenya, like other African nations, is racing to expand its installed capacity for electricity in order to support industrial growth and light more homes.

The country in 2013 set a target of generating additional 5,000 megawatts (MW) of electricity by 2017 from a cheaper mix of geothermal, coal, wind and solar sources.

Kenya’s installed capacity currently stands at 2,298MW compared to 1,708MW two years ago and aims to cut reliance on expensive power from diesel-run generators with the renewed focus on renewable energy.

The IEC entry, together with Kebs’ certificate of conformity requirement that requires imports be inspected in the country of origin, will ensure quality imported goods,” said Kebs managing director Charles Ongwae
 
Ecobank picks Nairobi as Eastern,Central,Southern regional Hub.

Ecobank picks Nairobi as eastern, central, southern regional hub

Ecobank Kenya is set to be upgraded to be the regional hub of operations for 18 countries in a move that boosts Nairobi’s ambitions of being an international financial centre.
The pan-African lender is restructuring its regional clustering that effectively combines eastern, southern and central Africa under one cluster headquartered in Nairobi.
The other regional offices for the bank headquartered in Togo will be in Nigeria and Ghana.
“The group is putting a lot of emphasis on Kenya. Previously used to be the hub of East Africa operations but going forward it will be hub for 18 countries,” said Ecobank Kenya managing director Ehouman Kassi.
Some of the countries to report to Kenya include Cameroon, Gabon, Equatorial Guinea, Chad, Central Africa Republic, Congo Brazzaville, the Democratic Republic of Congo, Zambia, Zimbabwe and Mozambique. The cluster will also include Kenyan neighbours Tanzania, Uganda, Burundi, Rwanda and South Sudan.
The region had 275 branches with assets worth Sh410 billion and generating Sh38.6 billion in revenues as at end of 2014.
Lead driver
The East African region, in which Kenya is, was the smallest among the three clusters in revenues but had higher assets, Sh110 billion, than South African operations valued at Sh70 billion. In Kenya, the bank asset base stood at Sh55 billion last September.
“We want the Kenyan business to be as big as Nigeria and Ghana. The group is committed to put resources to ensure that Kenya as a hub is the lead driver in the region,” said Mr Kassi.
Ecobank Kenya has registered mixed results since entry in the country through the acquisition of East Africa Building Society in 2008. It posted profits in the first three years before sinking to a loss position in 2012 and is yet to return to profit. The parent company has injected over Sh10 billion in the business over the last four years.
The government has been positioning Nairobi to have a well-functioning financial system to attract international capital issuers and investors and act as the gateway for capital into the eastern and southern Africa region.
ALSO READ: Nairobi tops Africa in financial services
Kenya is exploiting its strategic location as a gateway into eastern Africa and a fairly developed banking and capital market to place itself as the region’s financial hub.
Nairobi already hosts representative offices of global lenders including HDFC Bank, Nedbank, FirstRand Bank, Bank of China, Central Bank of India and Bank of Kigali.
Kenya has also stepped up its bid to host Africa’s first clearing house for the Chinese yuan, in a move that will cut the costs traders incur when converting local currencies to the dollar then to the Chinese currency.
Last year global financial services firm SWIFT disclosed plans to open a regional hub in Nairobi.
 
Kwani kusema kuwa Kenya imeendelezwa na wazungu tayari ni kupinga kuwa TZ haijawa developed na wazungu?

Kama mpaka leo hii tunatumia miundo mbinu waliyoibuni wao, waliyodesign na ramani zake na bado tunatumia reli zao huo tayari ni udhihirisho tosha.
 
Livale if u try to look at the value chain of having a regional or continental headquarter u will realize none of their prescence worth over $5 mln a piece! A reason Kenya FDI is <600 mln whereas Tanzanias is >$2 bln n about to cross a $5 bln mark this year! Keep playing propaganda at economic matters!

See this

UPDATE 1-Tanzania to start building $3 bln fertiliser plant this year


(Releads, adds detail from Ferrostaal official)

By Fumbuka Ng'wanakilala

May 20 Tanzania plans to start work this year on a $3 billion fertiliser plant, which it said on Friday will be Africa's largest, as part of an effort to increase its agricultural production.

WERBUNG
The factory, which Tanzania is building along with a consortium from Germany, Denmark and Pakistan, will use natural gas to produce fertiliser, the president's office said.

"The plant, which will become Africa's biggest fertiliser producer, will have a capacity of producing 3,800 tonnes per day," it said in a statement.

"The factory is expected to create more than 5,000 jobs and its investment will cost $3 billion." the statement said.

Tanzania currently imports most of its fertiliser for crops including coffee, sugar and maize.

Officials said the state-run Tanzania Petroleum Development Corporation (TPDC) has signed a joint venture agreement with German firm Ferrostaal Industrial Projects, Danish industrial catalysts producer Haldor Topsoe and Pakistan's Fauji Fertilizer Company to develop the plant.

Carsten Schneider, Ferrostaal's leader of the project, confirmed the company will proceed with the project and that the plant will be operational in 2021.

It will be built in southern Tanzania near big offshore gas finds and is expected to be commissioned in 2020. Natural gas can be used for the industrial production of ammonia, a key fertiliser ingredient.

The east African country said in February an additional 2.17 trillion cubic feet (tcf) of possible natural gas deposits has been discovered in an onshore field, raising its total estimated recoverable natural gas reserves to more than 57 tcf.

Fertiliser produced by the plant will be used to boost agriculture output in Tanzania, while surplus capacity will be exported to foreign markets.

Agriculture contributes more than a quarter of Tanzania's gross domestic product (GDP) and employs around 75 percent of the labour force, but growth is stifled by low crop yields. (Additional reporting by Tom Kaeckenhoff in Duesseldorf; Editing by George Obulutsa and David Evans)

UPDATE 1-Tanzania to start building $3 bln fertiliser plant this year
 
Well, Geza, one does not start a regional HQ by splashing all he has there. It is more of gradual the way Unilever did so it is a long term growth plan from where spreading to other areas is planned. And facts posted are not propaganda, they are facts posted.

Most of the 2bn FDI in TZ is geared towards the mining sector which is not bad on itself but has little trickle down effect to the common Mwananchi. I did say most not all.
 
Haya basi, iwapo mna shida ile ile usimkejeli mwenzio kuhusu vile alivyo na shida hilo na lako hujalitatua. Vile uliisema iliashiria Kenya zaidi ya Tanzania imeendelezwa na wazungu kwani haukuitaja Tanzania popote.
 
Uuuuwi, you have given the mother of all replies... hii iekwe kwa award ya "reply of the year
 
Hio tunawapiga checkmate na hizi mbili

Nakuru plant to assemble cheap tractors from Korea
Jul. 15, 2015, 6:00 am
By JOYCE KIMANI

FARMERS will get access to cheap locally assembled tractors and other farm machinery from South Korea starting in October.

The Korean and Kenyan governments signed an agreement in Nakuru town yesterday for South Korea to export the parts and the machines to be assembled in Kenya.

Agency regional director for Africa, Young-Woong Kim, said they will put together 5,000 tractors a year to improve farming.

The machinery will cost $100 million (Sh10.1 billion) a year.

He said the machines will be 20 per cent cheaper than those in the market.

Farmers will be trained on handling the machines to ensure efficient use.

“We want to make the machines more accessible and affordable to the local farmers to boost productivity and food security,” Park Jin-Soek said.

Farmers can buy the machines on credit and will be given an 18-month grace period, then they can pay in seven months instalments, he said.
Nakuru plant to assemble cheap tractors from Korea







German firm in deal to build Kenya assembly plant
A local company has partnered with a German heavy machinery maker in a Sh23 billion (That approx 230 million USD) venture that will see the assembly of road construction and agricultural equipment done in the country.

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Bico, which is registered in Kenya, has partnered with Liebherr to build an assembling plant in Nairobi starting end of the year.

Bico founder Andrew Malunga said the company has set a target to produce at least 30 units a month comprising of earth movers, water drilling machines and farm machinery such as tractors.

The investors have an eye on county governments as their main customers.

“As the counties grapple with the huge mandate of providing residents with good roads and agricultural machinery, there is the challenge of equipment and we expect that this venture will come in handy for the devolved units,” he said, adding that assembling the equipment locally will help reduce their prices.

“Marketing of the farm inputs locally will, for instance, save taxpayers from excessive taxation, and the spare parts for the machines will also be readily available,” he said.

Transform country

He added that they have acquired five acres of land in Nairobi where the assembly plant will be situated, while a showroom will be built in Malindi.

“The infrastructure developments that have been initiated by the government will transform this country and proper equipment for construction are required. We believe that we have come in at the right time to provide these equipment,” said Mr Malunga.

While a loader imported from Germany costs over Sh20 million, the ones that will be assembled in the country will cost about Sh13 million, said managing director Shadrack Mwangolo.

Mr Malunga said the company will set up stations in each county and employ machinery operators to enable the devolved units lease the equipment, creating at least 5,000 jobs across the country.

“Liebherr products have been proved to be reliable and durable and will serve as a key driver to development in the counties,” he said, adding that there were plans of establishing branches in other countries within the region.
German firm in deal to build Kenya assembly plant




Do you think you'll be ousting us as a powerhouse here in EA anytime soon? you'll have to do better and put more effort
 
Toyota east africa- the same guys that will fund Kenya's oil pipeline already started construction for a 1.2 $ billion plant

US$1.2bn new fertilizer production plant to be built in Kenya



Alafu from this one....



Cheap fertiliser beckons as Toyota kicks off Sh123bn Eldoret factory
Eldoret has been chosen as the location of the plant due to the high quantities of fertiliser that the North Rift region consumes, according to the government.

The ground breaking comes at a time when MEA Limited, a Kenyan-owned fertiliser blending firm, plans to put up a plant in Nakuru.

The firm is set to receive a Sh1 billion loan from the International Finance Corporation to fund a Sh3 billion fertiliser plant (the first of two in the pipeline) which it plans to start building in October.

READ: IFC loans fertiliser maker Sh1bn to build new Nakuru factory

MEA blends nitrogen, phosphorus and potassium (NPK) fertiliser from value-added raw materials (urea, potash and phosphate) shipped in from Europe, Saudi Arabia, Russia, Canada and Morocco.

MEA is also in talks with two Chinese firms — China National Chemical Engineering Company and SINOCHEM — to build a nitrogen fertiliser plant immediately the NPK one is commissioned.

The plant, to be located in Mombasa, is set to be operational in 2017 and will serve Kenya and regional markets like Malawi and Zimbabwe.





So at the end of the day, there will be 3 different fertilizer plants in kenya for our limited arable land. habari ndo hio
 
ours is three times urs btw i dispute the figure! The factory in Eldoret costed Ksh 3 bln and not Kshs 123 bln since is the same project!

Two projects have been granted the Vision 2030 flagship status, meaning that their establishment will be fast-tracked.

The projects are the proposed Sh3 billion fertiliser plant in Nakuru and a Nairobi-based sports bicycle maker.

Kenya Vision 2030 Delivery Secretariat Director-General Professor Wainaina Gituro said the projects will get quick approvals from various State agencies.

Professor Gituro said the secretariat’s role is to drive the government’s mission of creating jobs and ensuring more companies are established locally to serve the expanding regional market.

He said the government is seeking to reduce the cost of goods while helping Kenyans produce their own food for consumption and surplus for sale.

“We are happy to be associated with these two companies which will positively impact on the entire value chains in their respective industries for a health nation. Our goal is to promote establishment of companies that improve the quality of life for Kenyans,” he said.

He said ongoing government infrastructure projects such as roads, railway and energy will be complemented by private companies setting up factories that will utilise the government facilities at a fee. This he added will generate more revenue for the government.

He said key investments have total government support.

Fertilpant East Africa’s Executive Director Tim Gitau said the plant, currently under construction and planned for completion by May 2017, is expected to benefit immensely from the standard gauge railway as it will reduce the cost of fertiliser input - which have to be imported in bulk.

He said ongoing construction of roads would help them price their products competitively in East Africa.

“While we shall expand employment opportunities for more Kenyans across the value chain, the price of fertiliser will drop by up to 70 per cent since production of Nitrogen, Phosphorus and Potassium fertiliser will be locally done as opposed to the current situation where the bulk of fertiliser is imported in a processed form,” said Mr Gitau.

Fertiliser plant, bicycle maker get State priority
 
You do know that nakuru and eldoret are two completely different towns more than atleast 140KM apart ? Cheap fertiliser beckons as Toyota kicks off Sh123bn Eldoret factory


read properly, the one in eldoret will be built by Toyota, the one in nakuru will be built by a kenyans company and when it completes its 3billion shilling plant, they will partner with a chinies company to start building another one.....
 
Tzn kushindana na Kenya haipo,huwezi shindana na nchi ambayo uchumi wake ni mkubwa twice yours.TZN tuwekeze kwenye economic infrastrastures immensely hasa roads,umeme,selective railways, kusimamia viwango kwenye elimu.Pia effort ipelekwe kwenye SMEs,small & medium agro processing industries,utalii,na kurahisisha mazingira ya kufanya biashara unlike hali ya sasa ambayo inabinya biashara ndogo ndogo kukuwa huku mzigo wa kodi/VAT ikiua kabisa saving coz cost of living inazidi kuongezeka
 
Bagamoyo ikikamilika itauwa bandari ya mombasa completely
 
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