Bata Shoe Company has invested Sh45 million ($450,000) in a
boots manufacturing plant as it seeks to tap into new market created by
President Uhuru Kenyatta's directive that all military gear should be
bought from local manufacturers.
The plant, only a
month old, has already produced samples of the “Combat Boot”, and
according to Mr Alberto Errico, the company’s president, it has a
capacity of producing between 300,000 and 400,000 pairs per year.
The
factory, which is using locally sourced raw materials, is based at the
Limuru shoe company that has in the past been manufacturing police
boots, among other collections of footwear.
Mr Errico said the investment, which has seen the firm hire more
than 100 specialists, is part of their diversification plan as they
seek to remain relevant in business despite growing competition from
second-hand shoes.
“The investment is in support of
the President’s Big Four Agenda because manufacturing is one of the
agendas. At the same time, we (Bata) are seeking to tap into the new
market which has been created by Head of State’s order that military
boots be procured from local manufacturers,” Mr Errico said, adding that
they are optimistic about the business prospects created.
In
January, the president directed that all boots, leather products and
textiles used by disciplined forces be procured from local manufacturers
with effect from the current financial year, an opportunity which local
manufacturers are eyeing.
This directive, however, is
pegged on the requirement that the local manufacturers must meet high
standards that will ensure provision of high quality goods and services.
But
according to Mr Errico, Bata products are in conformity with the
specifications that have been set by military, adding that it will cost a
fraction of what tax payers have been coughing to ensure the members of
the armed forces have befitting boots.
The new products, not only targets local forces, but also in the region.
According
to Mr Errico, they have already sent samples to South Africa and Uganda
through their sister companies Bata South Africa and Bata Uganda as
they seek to win business from the respective governments.
Mr
Errico, who is in-charge of the company’s branches in eight countries
in Africa, said to ensure that the 124-year-old multinational survives,
they have been pumping an estimated Sh100 million ($1 million) annually
in Africa to improve on innovation and technology.
Bata Kenya, he said, remains the major factory, producing a variety of about 30 million pairs of shoes per year.
No comments :
Post a Comment