Bil­lion­aire plans Coast ce­ment plant

Business Daily (Kenya) - - FRONT PAGE - James Kar­iuki jkar­iuki@ke.na­tion­media.com

Build­ing ma­te­rial bil­lion­aire Naren­dra Raval plans to in­vest in a 750-mil­lion tonne ce­ment plant on a 20-hectare land in Mari­akani..

Build­ing ma­te­rial bil­lion­aire Naren­dra Raval plans to in­vest in a 750-mil­lion tonne ce­ment plant on a 20-hectare land in Mari­akani, Kil­ifi County. This will be the sec­ond fac­tory in the county af­ter ARM Ce­ment.

Mr Raval, pop­u­larly known as Guru, owns a ce­ment grind­ing plant in Lukenya, Machakos and a clink­er­ing plant at Simba town, Ka­ji­ado. His Devki Group owns steel­mak­ing fac­to­ries in Athi River, Machakos and Ruiru town, Ki­ambu.

The in­vest­ment comes at a time play­ers are talk­ing of ex­cess ca­pac­ity. Bam­buri and Sa­van­nah plan to in­crease ce­ment pro­duc­tion soon.

Karsan Ramji and Sons’ Ndovu brand is ex­pected to hit the mar­ket shortly while Global Choice Ltd also plans to build a Sh5 bil­lion ce­ment plant in Athi River next month once en­vi­ron­ment agency grants them a nod.

“When we launched our op­er­a­tions six years ago, our goal was to re­duce the cost of hous­ing and it is be­ing re­alised as I have man­aged to of­fer qual­ity ce­ment at Sh550 ex-fac­tory com­pared to the then mar­ket price of Sh700 per 50-kilo­gramme bag be­fore our en­try,” he said.

“Con­struc­tion of a new ce­ment plant will fur­ther bring down the prices while re­duc­ing the long dis­tances lor­ries cover to de­liver ce­ment to Kenyans at their doorstep.”

Yes­ter­day, he put the to­tal in­vest­ment at Sh30 bil­lion.

Of­fi­cial fil­ings in­di­cate the fa­cil­ity will pro­vide em­ploy­ment for 900. Ac­cord­ing to the Na­tional En­vi­ron­ment Man­age­ment Au­thor­ity, Mr Naren­dra, 59, bought the land from Green­belt Ware­houses Ltd that had ac­quired a change-of-user li­cence from com­mer­cial to in­dus­trial use.

--FILE

IN­VEST­MENT Devki Group founder and CEO Naren­dra Raval.

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