pG
18
GROWTH & DEVELOpMENT
THE GREEN FIELD PROjECT
As part of expansion and growth strategy in
the market, Crown paints has established
a KShs. 400 million plant in Kisumu County
in a strategic move to tap into the region’s
robust construction industry. The new plant
with a production capacity of 1.2 million
litres of paint per month has 70 per cent of
its processes automated to ensure quality
products.
Theequipment used, similar to those installed
in advanced industries in South Africa and
India is expected to cut down operations
costs significantly as it seeks to cash in on the
growing real estate market in the Western,
Rift Valley and the neighbouring Tanzania.
When unveiling of the plant, Chief Executive
Officer, Rakesh Rao said the Western region
was experiencing high development growth
particularly in real estatewitha larger number
of investors eyeing towns such as Kisumu,
Eldoret, Kitale and Kakamega which creates
an ideal opportunity for thefirmto strengthen
its presence to exploit the growing market.
Since the country enacted a new constitution
that embraces devolution of resources, many
counties are witnessing growth in the real
estate sector with significant investments
being made in housing and commercial
developments which the paint manufacturer
is eyeing.
Crown paints is the only paint company listed
in the Nairobi Securities Exchange and has
been on massive growth strategy which has
also seen it open over five showrooms in the
country since last year at a cost of over 100
million.
“The western region produces over
40 percent of the company’s sales and
establishing a new plant in Kisumu which is
very central regionally, will not only enhance
efficiency but also improve our sales due to
the rapid growth of the region,” Rao added.
