Peace agreements spur investors to set base in industrial parks

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(Photo: Anteneh Aklilu)

Following the peace agreement between the government and the TPLF group to stop the conflict in the northern part, about 20 local and foreign companies have signed agreements with the Industrial Parks Development Corporation (IPDC) to invest in the industrial parks.
On Thursday December 22, 2022, the corporation signed an agreement with three manufacturing companies with a capital of more than 11 billion birr which are involved in producing pharmaceutical products, oxygen and nitrogen production, and printing. The contractual agreements were penned by Aklilu Tadese, the CEO of IPDC and the investing companies

(Photo: Anteneh Aklilu)

The manufacturing companies, which will be put into production at Jimma and Kilinto Industrial Park and Addis Industrial Village are expected to create job opportunities for more than 600 citizens.
Gumsa Trading Plc which will invest in Kilinto Industrial Park took over 10,000sq plot of land to manufacture medicine packaging materials with an investment of 200 million dollars. The company is said to supply its products to local drug manufacturers, hospitals, importers and distributors as well as institutions engaged in the health sector. When it goes into operation Gumsa Trading Plc will create permanent job opportunities for more than 140 citizens.
Suji Liana Doo Oxygen; Nitrogen Manufacturing Plc is the second company which is engaged in the production of oxygen for the consumption of health institutions and has made an agreement to lease 800 square meters of land in Jimma Industrial Park. The company agreed to invest more than 206 million birr. Additionally the corporation has also signed agreement with Impact Printing and Graphics to rent a 1150 square meter production shed in Addis Industry Village at investments of more than 40 million birr.
Currently, there are about 125 both foreign and local investors working in the parks creating job opportunities for more than 81,000 citizens generating 1 billion dollar in annual revenue in the process. The parks are mostly given to investors in the textile and garment sectors who are known in generating hard currency and jobs.
Speaking at the signing ceremony, AkliluTadese, Chief Executive Officer of the IPDC said that the peaceful resolution of the law enforcement campaign in northern Ethiopia has stimulated increase in the flow of investment in industrial parks.