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CASTLE MALTING NEWS in partnership with www.e-malt.com Korean
30 March, 2018



Brewing news Kenya: East African Breweries to launch its new brewery in Kisumu in July

The Sh15 billion East African Breweries Limited plant in Kisumu will be launched in July, EABL managing director Jane Karuku has said.

On March 29, she said construction was on schedule. The plant’s ground-breaking ceremony was presided over by President Uhuru Kenyatta last year. It is expected to create at least 100,000 direct and indirect jobs, The Star reported.

The plant is the largest project in the Nyanza region and Kenya in decades. The EABL says it will be an engine of economic development and help transform the lakeside city and neighbouring counties.

Uhuru said farmers would benefit and the plant would create 11,000 direct jobs. The brewery targets sorghum farmers in Kisumu, Siaya, Migori, Nyeri, Machakos and Tharaka Nithi counties. President Uhuru said the investment is in line with efforts to rid the market of illicit alcohol. The brewer will produce inexpensive, good quality, non-malted Senator keg beer.

“This year, the Treasury has done its part by introducing an 80 per cent remission for beers made from sorghum, millet and cassava. Quality brews such as Senator Keg will remain affordable for wananchi. The makers and sellers of illicit brews will find life ever harder,” he said.

Kariuki said the ‘iconic’ brand has been a huge success. It is safe and affordable, thus, preferred by consumers, she said. The plant is expected to produce 100 million litres a year.

“Its production in Kisumu makes perfect sense because the climate is right for sorghum. Kisumu residents are delighted,” Karuku said.

The plant will heavily rely on sorghum as its raw material purchased from local farmers. Locals will also get 25 per cent of jobs, Karuku said.

“The Kisumu government and the EABL have formed a joint committee to cater for community interests in the ongoing revival of the Kisumu beer bottling plant,” Karuku said.

The Liaison and Delivery Committee is mandated to handle community engagement, issues management, information dissemination on employment and project updates.

The factory is being built at the location of EABL’s old facility, which closed in 2002 because of improvements in beer-production technology. This led to excess production capacity at the Nairobi plant.

British High Commissioner Nic Hailey toured the Kisumu project on March 27 and praised the EABL for expanding its investment. This will raise investor confidence in the country’s business climate, he said.

Hailey said the ultramodern brewery will provide a socioeconomic lifeline for the Nyanza region and the country by creating more than 100,000 direct and indirect jobs along the entire value chain.

The plant has the potential to provide 15,000 farmers with a sorghum market. The UK envoy said it will boost agriculture and the economy. Kisumu has a business-friendly environment, he said.

Governor Anyang’ Nyong’o assured the firm of the county’s full support. Hailey acknowledged the political goodwill from leaders and residents.

“We have had a fruitful discussion with Governor Nyong’o, MCAs and many other stakeholders. They speak with one voice that the county need investors to come in and create jobs for young people,” he said.

Hailey said the investment would create tens of thousands more jobs across Kenya. He urged investors from the UK and Kenya to take advantage of the opportunities.





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