Japanese investors are eyeing the Dongo Kundu Special Economic Zone (SEZ) in Mombasa, three years before completion of the project that is set to transform the economic fortunes of Mombasa County and the East African region.
Hundreds of residents from Mombasa and adjacent counties will be employed in various firms, among them a vehicle assembler, paint manufacturer, gas producer and a host of food processors, with many more indirectly benefitting from the value chain created.
The industrial and commercial hub project is a part of a master plan for the development of the Mombasa SEZ that was conceived in 2015, and will be executed in phases on a 1,326 hectares piece of land with the first phase expected to be ready by June 2022.
The Dongo Kundu SEZ project is expected to unlock more than 60,000 jobs in Mombasa.
Vehicle manufacturer
A Japanese conglomerate, Toyota Tsusho, which manufactures vehicles and is also big in the gas sector has shown interest.
“We have already had engagements with Toyota Tsusho. The company has shown interest in establishing a gas plant to supply the Kenyan and regional markets,” said Special Economic Zones Authority acting chief executive Meshack Kimeu. As a prelude to relocating to Dongo Kundu SEZ, Kimeu said Toyota will also be commissioning an assembly line at the Miritini based Associated Vehicle Assemblers (AVA) plant this Friday.
“This facility will give them a bigger space, to explore their expansion programme,” he said.
Once on site, the auto maker will introduce additional brands for sale in the regional market.
Kimeu said also lining up was a paint manufacturer, and a host of food processors from Japan, who he did not name but said were keen to tap the agricultural sector by buying cashew nuts and mangoes from farmers for value addition and export to Japan.
“The coast is known for its mangoes. Farmers have nowhere to sell them. We will get investors to buy the local mangoes, process them into juice and concentrates and export them to Japan,” he said.
Kimeu spoke to the Business Hub yesterday, after the official launch of the Japan-Kenya Business Dialogue.
The dialogue was established in August by President Uhuru Kenyatta and Prime Minister Shinzo Abe as a common platform to resolve business issues affecting the two countries’ bilateral trade relations.
The Dongo Kundu SEZ is being financed through a $423.8 million (Sh43.9 billion) loan and a $53.6 million (Sh5.6 billion) grant from Japan.
