Lost Password?
  • Increase font size
  • Decrease font size
  • Default font size
Member Area

The Reporter - English Version

Saturday
Jul 04th
Home
Turkish conglomerate to invest USD 70mln in textile factory Print E-mail
Saturday, 13 December 2008
By Hayal Alemayehu

ELSE Groups of Companies, a Turkish-based conglomerate engaged in the textile, electronics and transportation sectors, has sent a business delegation to Ethiopia to choose a suitable plot of land in the Oromia region to set up a USD 70 million textile factory, Alemu Sime, Oromia Investment Commissioner, told The Reporter on Friday.
The group was invited to invest in Ethiopia by Trade and Industry Minister Girma Biru during his visit to Turkey in November last year, according to the commissioner.

Consequently, the Turkish conglomerate had sent a fact-finding mission here for a couple of times before it finally came up with a full-fledged proposal to invest over USD 70 million in a textile factory, the commissioner said.

“The company will be investing in the textile sector in two phases, the first one involving a spinning and weaving factory while the other will be a printing and ready-made cloth manufacturing plant,” the commissioner said.

The conglomerate had asked for eight to twelve hectares of land in the Oromia region while the Oromia Investment Commission has agreed to provide the request accordingly.

The contract agreement between the Oromia region and the Turkish conglomerate is expected to be signed in the coming months following the handover of the plot of land the latter has yet to select.

Turkish investors had long been showing interest to invest in Ethiopia with the pioneer foreign company engaged in the textile sector in Ethiopia, AYKA, being from that country. It had built a sixty million birr spinning factory in 2006 while it has earmarked a 140 million capital for an expansion project. This company was invited by Prime Minister Meles Zenawi to invest in Ethiopia during his visit to Turkey in 2005.

Within this week alone three business delegations, including the ELSE Groups of Companies from Turkey, have visited Ethiopia to explore business opportunities and advance pertinent agreements with the relevant government officials, particularly from the Oromia regional government.  
 
< Prev   Next >