Devki launches Sh50 Billion steel plant in Kwale

One of the largest raw steel production facilities in East and Central Africa, the Devki Steel Mills Ltd. opened a Sh50 billion facility in Samburu-Chengoni Ward, Samburu Sub County of Kwale.

The steel mill facility has the most up-to-date equipment to produce virgin steel in the nation and is expected to employ thousands of local youths in the steel manufacturing industry.

It will be the second-best facility on the African continent for producing virgin steel from iron ore, behind South Africa. Superior wire rods and steel billets are produced using this process, which does not involve mixing. The modern integrated steel plant is anticipated to transform the lives of millions of Kenyans by reviving the country’s iron and steel sector and launching infrastructure, manufacturing, and affordable housing development projects.

At a formal ceremony attended by a retinue of Cabinet Secretaries, region Governor Fatuma Achani, and a slew of local leaders, including Kinango MP Gonzi Rai, President Dr. William Ruto officially opened the Devki Integrated Steel Plant. At the recently opened Devki Steel Mills, the President signalled the departure of a goods train carrying a shipment of locally produced wire rod coils.

The factory is connected to the metre-gauge railway, which lowers transportation costs to other areas of Kenya and the region, and has the capacity to produce 500,000 tonnes of steel annually, according to Narendra Raval, chairman of the Devki Group.

Raval claims that over time, the project is anticipated to provide local youth from Kwale and the surrounding counties of Mombasa, Kilifi, and Taita .

700 young people from Kwale, including senior employees like engineers, are already employed by Devki Steel, according to Peter Paul, MD.

The new steel project, according to the MD, ‘aligns with our vision to give Kenyans the best quality products that raise local standards and compete against imported products.’

A tin plate line, two direct reduced iron (DRI) plants, continuous casting and hot strip capacity, cold rolled coil capacity, and other capabilities will all be available at the new steel plant.

The largest steel company, according to Investment and Industry Cabinet Secretary Moses Kuria, gives the nation’s economy a boost, and the new plant in Kwale is the first step in that direction.

He claims that by lowering the price of building materials, the steel mill factory, which is billed as the second largest in Africa after one in South Africa, will stimulate the construction industry.

The Trade CS took advantage of the opportunity to encourage both domestic and foreign investors to invest in the nation in order to support business growth.

He added that the nation is open for business and stated that the government “is committed to assure investors of a good investment climate.”

Additionally, the larger East African Community (EAC) and COMESA markets have benefited steel companies.

The Democratic Republic of the Congo, Rwanda, Tanzania, and Uganda all purchase steel produced by Kenyan businesses.

Investors have been reassured by Achani that a favourable environment for investments has been created by the county government.

In order to make sure the new project benefits the locals, the governor stated that they will collaborate closely with Devki Steel Mills management as a devolved unit.