There is high demand of construction materials that was induced by the ever-booming construction sector. As there were not sufficient metal and steel factories, the nation has been spending foreign currency for the importation metal and steel products.
Realizing the huge market demand for construction materials, government and private investors have been engaging in the sector. As part of it, a factory that could produce 100 tons of metal and steel products has started production in Tigray state, at the outskirt of Mekelle.
The factory which was established by Ethiopian and Indian shareholders would play massive role in fulfilling metal and steel shortage of the nation, says, General Manager of TG Steel Manufacturing, Manish Seth.
‘’TG steel manufacturing company was founded by Ethiopian and Indian investors with 6 million USD. It has aimed to alleviate the constraints of construction tools and it has resumed producing reinforcement bar and steel beams through importing raw-materials from abroad,’’ he states.
Minash reaffirms that the factory has already started supplying steel for retailers in Mekelle and it will expand its market to other parts of the country as well.
The factory was laid on four hectare land which was allocated by the government and it was constructed in accordance with the industrial policy of the nation.
‘‘Currently, it is producing 8 hours per day. But it has a plan to prolong its working time to 20 hours for maximizing production.
Ethiopia has been luring huge Foreign Direct Investment (FDI) flow over the last two decades. Many foreign investors have created job opportunities for thousands of citizens.
Consequently, TG steel factory has created ample job opportunities for people like Hewan Hagos who was recruited as civil engineer.
‘’I’m extremely happy to get job in my hometown and to serve my people. I hope I would acquire an important experience and skill that could be crucial for my future carrier,’’ she explains. As the construction boom has been witnessed in different parts of the country, steel factories would have pivotal role in satisfying the need of the public.
Daniel Asmerom who is a contractor by profession lives in Mekelle. He hails the contribution of metal and steel factories in solving the high demand of construction equipment.
“There was chronic shortage of construction materials in growing cities like Mekelle. People are building houses on 70 sq. meters area which was given by the government to address housing problems. But since there is lack of construction materials, low-income societies are being affected. They couldn’t finish their homes on time. Thus, constructing steel factories would have mammoth contribution in stabilizing the market,’’ he points out.
The Ethiopia Herald
BY TSEGAY HAGOS
