M a r k e t N e w s

US$1.2bn new fertilizer production plant to be built in Kenya

Posted on : Friday , 12th September 2014

The Government of Kenya has signed an agreement with Toyota Tsusho Corporation, which will see the global car maker construct a US$1.2bn fertilizer plant in Eldoret, Kenya.

The project involving construction of the new fertilizer production plant will be implemented in two phases, where the first phase will see construction of a Nitrogen Potassium Calcium (NPK) production plant, while the second phase will see Toyota construct a plant for the production of Diammonium Phosphate (DAP), urea and Calcium Ammonium Nitrogen (CAN) fertilizers – the first production for the latter is expected to be in 2016.

Construction works for the fertilizer production plant project are expected to commence by end of this year. The first production units of NPK fertilizer are to be realized next year. The plant is expected to increase availability of the product in the country, and shield farmers from exploitation resulting from hiked fertilizer prices by suppliers, which in turn causes food prices to hike.

The government will provide the land and infrastructure needed for construction of the plant. Toyota Tsusho Corporation will, in turn, finance the project as a private venture.

The fertilizer production plant is strategically located in Eldoret due to the immense agricultural activities that take place in the area. Due to this, NPK is largely consumed here. It is one of the country’s main food baskets.

The mission of the Toyota Tsusho Group is to continually address the ever-changing needs, develop new business models and continue offering unprecedented added value to contribute to the creation of an enriched society.
 

Source : www.constructionreviewonline.com
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