One of the paints makers in East Africa is set to invest over 4.5bn/- in Tanzania as he seeks to widen the firm’s footprints in the region.
Addressing journalists here at the weekend, Crown Paints chief executive officer Rakesh Rao said Tanzania is one of the potential areas in the region for sustainable investment.
“We’re very impressed with the Tanzanian government’s initiatives to improve the business climate. That’s why we’re going to invest millions of dollars in thois promising market,” he said.
The paints manufacturing firm is currently busy looking for land in Dar es Salaam to put up a plant, he said.
“Our target is to build a giant plant in Dar es Salaam that will be producing different paint brands to meet the country’s demand and at world-class standards,” Rao revealed.
According to the prospective investor, upon establishment, the Dar es Salaam-based paints manufacturing plant will be able to employ thousands of Tanzanians across the country.
“Some Tanzanians will be employed directly and some indirectly as we’ll have different outlets across the country…so, we believe our role will be great in complementing government efforts to create job opportunities to its people,” he said.
Crown Paints is targeting a 50 percent market share in the country’s premium paints segment.
“We’re fully aware of the level of competition in the paint markets in Tanzania and we’re certain that through sharing product knowledge and educating customers on products uses and benefits, we shall create high demand for our products,” the CEO said, adding:
“Since the Tanzanian market is economy-based, there will be a need to promote premium brands to raise national overall paints standards.”
Rao however cited slow pace of clearance at the boarders, saying it is one the challenges thwarting the increase of intra-trade in the region.
According to him, our target is to be everywhere in East Africa by 2013, through strategic partnerships.
The paints maker has already made inroads into the Ugandan Market, where it is manufacturing under the brand name ‘Regal’ and is looking for new investments with regards to manufacturing facilities.