The construction of a US$ 4m mini-cement plant in Athi River, Kenya has stalled due to the political tension experienced in the country. Athi River-based cement-maker Karsan Ramji and Sons is the company behind the project.
Managing director Kishon Varsani confirmed the reports and said that the prevailing political environment had forced the Ndovu brand firm to halt all construction work awaiting conclusion of the presidential election.
“Everything is on hold at the moment due to lack of proper working days and too many holidays,” he said in allusion to the two-day holiday declared by acting Interior secretary Fred Matiang’i last week to facilitate the repeat presidential election.
The same sentiments of the organization are equally expressed by those of the Kenya Private Sector Alliance (Kepsa), which said investments worth US$ 963m had been deferred pending return to normalcy.
“The Nairobi Securities Exchange market capitalization lost approximately US$ 2.3bn with foreign investors shipping out US$ 144m while loss of opportunities for local firms amounted to US$ 2.4bn and investments worth US$ 963m were on hold,” said Kepsa.
Karsan Ramji & Sons is putting up a 700-tonne per day grinding plant in Athi River where it will import clinker while sourcing pozzolana and gypsum raw materials from its quarries in Kajiado and Kilifi.
The company is stepping up its investments in the cement business with the planned construction of a cement plant in Nakuru, the second such project in a short period.
