Jimmy Gathu
New Lister
Devki Group has unveiled Ksh.11 Billion Iron Ore pelletization plant in Taita Taveta. The project, expected to transform the region’s economy, was inaugurated in a groundbreaking ceremony attended by President William Ruto. The Plant is owned by industrial magnate Narendra Raval, and is set to create 3,000 jobs within its initial six months of operation. It will create jobs both directly and indirectly aiming to eventually employ 30,000 people when fully operational.
The plant is expected to support local miners by providing modern equipment to enhance production while ensuring a steady supply of raw materials to the facility. Ore mining can be both simple (manually) or sophisticated (Use of machines and equipment). Taita-Taveta is rich in iron ore as a natural resource. Iron ores have been identified in various parts of the country in Eastern region (Tharaka-Nithi County), and Western region (Busia County).
Figure 1: Simple mining
Kenya has had various challenges in the iron and steel sectors which include unavailability of data on iron ore. The national government, through President William Ruto has promised to attract more investors to the county, pledging support through provision of data and land allocation for similar ventures in the above Counties. President Ruto highlighted his administration’s commitment to fostering a conducive environment for both local and international investors. The government aims to increase the manufacturing sector’s contribution to the GDP to 15% by 2027 and 20% by 2030. As potential investors, and owing to the ever increasing demand for Iron in Kenya for infrastructure development, and readily available ore, this is an area with great potential for investment- both small and large scale.
Figure 2: Sophisticated mining
However, with increasingly growing number of un-kept promises by the president, it is difficult to tell whether land allocation is another lie or a promise that would be realized. It could fast go down as another populist statement with no action at all. Traders have also criticized officials at the Ministry of Mining and Blue Economy and NEMA for taking bribes in order to issue trade licenses. Trade licenses end up with the highest bidders. Besides, the safety of miners and environmental concerns is another mushrooming issue. In September 2024, government had to close down illegal mines and confiscate equipment in Rachuonyo, Homa Bay county, due to negative environmental impacts, lack of mining licenses and risk to workers. Illegal sites usually result due to corrupt dealings in the award of mining licenses, a matter that needs to be addressed promptly and with finality. If we deal with corruption at licensing level, most traders will opt to run legal trading activities.
The plant is expected to support local miners by providing modern equipment to enhance production while ensuring a steady supply of raw materials to the facility. Ore mining can be both simple (manually) or sophisticated (Use of machines and equipment). Taita-Taveta is rich in iron ore as a natural resource. Iron ores have been identified in various parts of the country in Eastern region (Tharaka-Nithi County), and Western region (Busia County).
Figure 1: Simple mining
Kenya has had various challenges in the iron and steel sectors which include unavailability of data on iron ore. The national government, through President William Ruto has promised to attract more investors to the county, pledging support through provision of data and land allocation for similar ventures in the above Counties. President Ruto highlighted his administration’s commitment to fostering a conducive environment for both local and international investors. The government aims to increase the manufacturing sector’s contribution to the GDP to 15% by 2027 and 20% by 2030. As potential investors, and owing to the ever increasing demand for Iron in Kenya for infrastructure development, and readily available ore, this is an area with great potential for investment- both small and large scale.
Figure 2: Sophisticated mining
However, with increasingly growing number of un-kept promises by the president, it is difficult to tell whether land allocation is another lie or a promise that would be realized. It could fast go down as another populist statement with no action at all. Traders have also criticized officials at the Ministry of Mining and Blue Economy and NEMA for taking bribes in order to issue trade licenses. Trade licenses end up with the highest bidders. Besides, the safety of miners and environmental concerns is another mushrooming issue. In September 2024, government had to close down illegal mines and confiscate equipment in Rachuonyo, Homa Bay county, due to negative environmental impacts, lack of mining licenses and risk to workers. Illegal sites usually result due to corrupt dealings in the award of mining licenses, a matter that needs to be addressed promptly and with finality. If we deal with corruption at licensing level, most traders will opt to run legal trading activities.