Steel, housing deals signed

Steel, housing deals signedInvestment conference pays off A number of deals have been signed with international companies in the wake of the Invest in Namibia Conference. STAFF REPORTER



The minister of information and communication technology, Tjekero Tweya, announced the signing of two agreements in the housing and manufacturing sectors before the conclusion of the Invest in Namibia International Conference.

Tweya said a South Korean steel manufacturer was eyeing a possible US$250 million investment in a steel plant at Otavi.

Efforts to address the housing shortfall will get a boost from Polycare, an English property developer which plans to deliver about 10 000 housing units per year.

Said Tweya: “MK International, a South Korean company and Otavi Rebar Manufacturing, a public private partnership between private investors and the Otavi Town Council, have signed a joint venture agreement in order to set up a reinforcing steel manufacturing plant. The plant will be strategically located on the Walvis Bay corridor network at Otavi and will be known as Namibia Steel Manufacturing.”

South Korean steel manufacturer MK International signed an agreement with the Otavi Town Council for the possible construction of the plant

“The initial production capacity of the plant will be 580 000 tons per year and the projected investment is estimated at US$250 million. More than 800 skilled and 700 semi-skilled jobs will be created. The product range will include but not be limited to rebars and steel products in a variety of profiles, allowing Namibia to reduce its dependence on imported construction material,” Tweya said.

Polycare told Namibian Sun: “Our material is six times stronger than conventional concrete and we plan to make our concrete here. We have talked to the president, prime minister and minister of urban and rural development about a construction plant. There are other potential partners that have expressed an interest in partnering with us.”

Tweya announced that the City of Windhoek and Polycare signed a deal on the development of low-cost housing.

Polycare claims that its housing units can be constructed in two days and cost of N$250 000 at most.

It is believed that discussions are ongoing with a view to establishing Poycare’s manufacturing plant.