Ethiopian Review

Nepsa Textiles Plc, a subsidiary of one of the biggest textile companies in Turkey, is set to open a factory here with an initial investment capital of 25 million birr, it was learnt.

The company has already received a 7.5 hectare plot of land in Sebeta, Oromia zone, from the regional government, according to Mohammed Ibrahim, vice commissioner of the Oromia Investment Commission.

Currently, the company is holding talks with responsible officials from the Oromia region to cement a final deal and launch the construction of the factory in Sebeta, a town 25Km west of Addis Ababa, where a number of real estate development, steel manufacturing, textile and other investment ventures are popping up.

According to its production program, Nepsa Textile Plc will supply fifty percent of its products to the domestic market while it will be exporting the other half to the world market, including Turkey, where its parent company is based.

Being one of the major textile producers in Turkey, Nepsa Textile’s investment here will be beneficial in terms of technology transfer and job creation, according to industry observers.

Nepsa Textile Company was motivated to invest in Ethiopia after a trade delegation comprising officials from the Ministry of Foreign Affairs paid a visit to Turkey a while ago and introduced Ethiopia to the business community there, according to diplomatic sources.

The establishment of Ayka Textile Plc here, itself a subsidiary of one of the giant Turkish textile companies and the biggest textile factory in Ethiopia, has also been attracting prospective Turkish investors here (including Nepsa Textile), whose number is steadily but surely growing over the last few years.

By Hayal Alemayehu | (Reporter)