Prime Minister Hailemariam Desalegn inaugurated the Hawassa industrial park, an eco-friendly park, which has already started to court 15 leading global apparel and textile companies from America, China, India, Sri Lanka and six local companies are ready to start operation in the park.
The park which was built at a cost of 250 million USD is projected to generate 1billion USD annual earnings and create 60, 000 jobs in double shifts. The eco-park makes use of Zero Liquid Discharge (ZLD), an internationally proven capacity to recycle 85 percent of sewerage disposal. Covering an area of 1.3 million square meters, of which 300, 000 meter square is factory shed build up area, the park have additional area allocated for shared facilities. It has also accompanied with all government services including One Stop Shop. Upon fully operational, industries within the park are expected to create 84,000 jobs in double shift.
On the Occasion, Prime Minister Hailemariam Dessalegn said the development of industrial parks comes at the heart of realizing the nations’ aspirations to transform its agriculture led economy and making Ethiopia a leading manufacturing hub in Africa.He added, “The national vision targets at transforming a vibrant manufacturing sector, one that is labor-intensive and able to create millions of job opportunities in the country.” Further, the premier said that the park has a pivotal role in realizing the country’s dream to be pioneer in Africa by 2025 in the manufacturing sector by expanding the industry development. The park will be used as a model for other industrial parks to be built in other parts of the country such as Dire Dawa, Kombolcha, Adama and Mekele.
HIP View
The Hawassa Industrial Park will help bring economic transformation in the country by attracting quality foreign direct investments and shifting small-scale manufactures into a larger scale, the Premier said at the inaugural ceremony. Moreover, it allows to attain the target set in the industrial sector and to build the capacity and the competitiveness of local investors, the Premier added. Presented by H.E. Sisay Gemechu, with the rank of State Minister, CEO OF IPDC, the premier has awarded certificates for those who have contributed a lot in the realization of the Hawassa Eco-Industrial Park. Further, different agreements are signed between Industrial Parks Development Corporation, companies and service providers.
The Chair Person of the Industry Parks Development Corporation Board and Special Advisor of the Prime Minister, Arkebe Oqubay (PhD), on his part said that the park has created many opportunities and can host huge companies. The park also plays a magnificent role in helping the country realize the plan to be the leader in Africa in the industry sector, he added. Hawassa Industrial Park was built on 300 hectares of land. It mainly centered on textile and garment products. Currently, 15 foreign and 5 local manufactures have entered into the park, including largest global apparel companies. According to him, Ethiopia with a young labor force of 45 million people has a huge potential in the manufacturing sector. "As annual manufacturing growth currently is 25 percent, in 10 years time, it's projected to increase its GDP share by four fold and it's share in exports to 50 percent," said Equbay. The park will have a significant advantage in creating jobs for a number of citizens. The Hawassa Industrial Park will create 60,000 jobs and the figure could go up to 84,000 when expansion project of the park is completed in November, he said.
According to Dr Arkebe, Ethiopia at present earns 110 million US dollar per annum from textile sector. However, the Hawassa Industrial Park alone is expected to generate 1 billion US dollar annually. More than 2 million people will benefit from the development and expansion of industrial parks in the coming 10 years, he said, adding works are underway to make Ethiopia the leading manufacturing hub in Africa. He said efforts are being made to raise the contribution of the manufacturing sector in the GDP to 25 percent from 5 percent now.
Ethiopia has earmarked 1.3 billion US dollars for the development of industrial parks and 12 industrial parks will be built across the country. The construction of Dire Dawa, Kombolcha and Mekelle industrial parks has already been commenced and they are expected to be completed in April. Other industrial parks will be constructed in Adama, Jima, Bahir Dar, Debre Birhan, Aisha Dewelle, Arerti and in Addis Ababa at Kilinto, said Arkebe.
Yuan Li, Chairman of China Civil Engineering Construction Corporation (CCECC), which designed and built the industrial park, said that Hawassa Industrial Park (HIP) has already attracted 15 major manufacturing firms from China, Indonesia, U.S. and Ethiopia. "Industrial parks create powerful wing for economic development of a country, our company deem ourselves as a strategic long-term link between China and Ethiopia" said Yuan.
Prime Minister Hailemariam Desalegn inaugurated the Hawassa industrial park, an eco-friendly park, which has already started to court 15 leading global apparel and textile companies from America, China, India, Sri Lanka and six local companies are ready to start operation in the park.
Ethiopia’s effort to attract international leading companies will transform the development of the country, former UK Prime Minister Tony Blair said.
Special adviser to the Prime Minister Dr. Arkebe Oqubay said, in the last 12 years Ethiopia achieved double digit economic growth, i.e. 11 % each year.
