SPECIAL ECONOMIC ZONE

Global beer firm to set up Sh4bn plant in Naivasha

Danish Brewing E.A Limited will be the first anchor tenant at the proposed Naivasha Industrial Park

In Summary

•There has been increased confidence in the industrial park by both local and international investors with more than 100 firms expressing interest in setting up shop

•Danish Brewing E.A Limited will be the first anchor tenant at the proposed Naivasha Industrial Park 

Earth movers work on roads leading to future industrial park in Mai Mahiu, gazetted as a special economic zone.
INDUSTRIAL PARK: Earth movers work on roads leading to future industrial park in Mai Mahiu, gazetted as a special economic zone.
Image: GEORGE MURAGE

Danish Brewing Company E.A Limited, a subsidiary of Bounty Global Management DWC LLC is set to be the first anchor tenant at the Naivasha Industrial Park.

The beer maker has set aside $45 million (Sh4.59 billion) to set up its operations in the country.

More than 100 local and international investors have so far expressed interest in setting up shop at the planned industrial park.

 

The brewer of Tuborg, Carlsberg, Holsten, and Kronenbourg beers, as well as Somersby Cider plans to set up a plant with a production capacity of  12-15 million cases of beer annually.

The firm will also employ 350 Kenyans and produce beverages using sorghum sourced locally from their recently launched Farmers Outreach Programme, expecting to contract 17,000 farmers.

Trade CS Peter Munya on Tuesday said support given by government has created an enabling environment in turn  attracting a number of local and international private investors.

"As our Government believes in public-private partnership we are working hand-in-hand to realise the goals of the Manufacturing pillar of the Big 4 Agenda," he said.

Among these is the provision of a direct connection to cheaper geothermal power from the Olkaria plant as well as special tax incentives in line with provisions of the Fiscal Incentives Act, 2015.

Foreign investors from India, Europe, United States of America (USA), the Netherlands, China, Sri Lanka and Thailand are said to be interested in setting up base within the economic zone.

The Government, in July, designated 9,000 acres of land in Naivasha, Mombasa and Machakos as Special Economic Zones (SEZs), aimed at boosting the manufacturing pillar under the Big Four Agenda.

 

The Naivasha Industrial Park under the Special Economic Zones Authority (SEZA) will see the development of the 1,000 acre Special Economic Zone (SEZ) of which 800 acres will have warehousing for various manufacturers, logistics parks and support services to provide a world class manufacturing hub in the region.

"The Government continues to support investment opportunities in the Industrial Park and encourages private investors to make their enquiries about tenancy opportunities through SEZA," Munya said.

Under the 2019/20 budget, the government allocated a total of Sh1.1 billion to go towards the development of textile and leather industrial parks, the Naivasha Industrial Park and the Cotton Development subsidy.

Construction works at the Sh6.9 billion industrial park began early last month after President Uhuru Kenyatta opened the Mai-Mahiu SGR Terminus.

Land for the industrial park is situated where the SGR and the Inland Container Depot will meet.