UAE, Sudanese JV to Manufacture Plastic Poles

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Having inked a joint venture deal, the United Arab Emirates-based Falcon Chemicals Llc under the license of the Sudanese Albazz Industries Plc, is to manufacture construction chemicals and water proofing products in Ethiopia. The company, that managed to finalize the setting up of a USD five million manufacturing plant in Ethiopia, has started to manufacture glass reinforced plastic (GRP) poles and manhole covers.

According to Mohammed Hassen, chief executive officer (CEO) of Albazz Industries, GRP poles and manhole covers will mainly serve electric, telecom and water and sewerage agencies.

Officials of Albazz told reporters that currently the Addis Ababa Water and Sewerage Authority and Hawassa Town Administration had decided to procure some 9,000 manhole covers and 4,500 poles respectively. Another deal is on the way to be inked between the Ministry of Urban Development, Houses and Construction soon, officials of Albazz said.
The GRP poles and manholes are presumed to replace the existing poles and manhole covers made of iron. The new GRP technology will see a 50 percent cost reduction against the existing cast-iron poles in addition 70 percent of the manufacturing inputs are locally available. According to Abdurezaq Legesse, general communication head of Albazz, next to South Africa and Egypt, Ethiopia is third in the continent to have the carbon negative technology. Albazz will have the capacity of producing 200 GRP poles per day.

According to Mitika Goculdas, CEO of Falcon Chemicals, the three-year-long negotiations with Albazz finalized last year cementing a joint venture partnership where the latter affords technical, supervisory and monitoring services. It will also offer technology and guarantees when needed.

When operations dash well in the future, Albazz will consider exporting Ethiopian made construction chemicals and waterproofing products to Sudan, South Sudan and Djibouti. In the near future, Albazz plans to erect a paint factory here. Mebrahetu Meles (Ph.D.), minister of state for industry, said that Albazz is expected to manufacture seven strategic products for the local market. The timing of the manufacturing plant is ideal when the government is venturing to construct some one million houses, Mebrahetu said.

Source : African Business