Portland’s idle land to be converted into cargo hub

The State mulls utilising East Africa Portland Cement Company’s (Eapcc) idle land in Athi River to set up a cargo hub and a green energy firm, then pump proceeds into the troubled company as part of a raft of measures to help it into profitability.

Speaking when he toured the factory on a fact-finding mission before launching a new brand of cement known as Green Triangle, Trade Cabinet Secretary Moses Kuria said Portlands has resources to facilitate its own revamping to profitability.

Low lying fruits

Creating a market for its products through affordable housing projects and commercialising of its prime chunks of land came out as low lying fruits that the government use to give Kenya’s oldest cement maker a lifeline. “Most of us had given up on Portland. However I am delighted to see giant steps it has taken in its turn around programme to survive the tough times,” he said.

The CS said the cement maker can also be a key player in reducing the burden of unemployment as it has capacity to create massive employment to Kenyans.

“We will engage all key partners and stakeholders to support the journey of revamping this company. I want to assure Kenyans Portland will not only remain operational but it will also be profitable as it is a key beacon on our construction industry,” Kuria said.

The Eapcc management said its woes began in 2012  and have been occasioned by low working capital, management wrangles, a bloated workforce and ancient technology.

Refurbishing the firm’s kiln at a tune of Sh600 million and reducing the workforce by 800 employees are key steps the company has made as a turnaround strategy. The workers were laid off in 2018 after the company decried that it was paying a monthly salary of Sh100 million to its workers.

Oliver Kirubai the company Managing Director said modernisation will ensure it tames carbon emission to facilitate a safe environment for all.

Carbon emmission war

“The turn around of this company is a partnership among all key stakeholders. A safe working environment is also key and that is why we are focused on taming carbon emissions from the plant. Having a manageable workforce is also key,” said Kirubai.

He said Portland has embarked to production since last year after the refurbishment of the clinker kiln and has also been able to settle Sh6.8 billion debt it owed KCB Bank.

The loss making company has been in receivership seeing changes in its management time. Currently the management says it only trades 7 per cent shares at the stocks exchange after surviving the auctioneer hammer severally.

Portland Cement which will mark its 90 year of existence next year currently has a workforce of about 1,000 workers and over 12,000 acres of land within Athi River