Two companies partner on P64 million factory
Botswana Development Corporation (BDC) and Kromberg and Schubert have recently unveiled the expansion of their factory to the tune of P64 million.
The two entities partnership began in 2017 with the launch of a 4100 square metres factory at the cost of P36 million.
Officiating at the event, Minister of Investment, Trade, and Industry, Peggy Serame said the expansion of the factory enhances Botswana’s opportunity to grow and increase exports to neighboring countries and abroad.
“This contributes to the regional and global automotive value chains,” Serame said, adding that the milestone comes at a time when Botswana is pursuing an agenda to restore the economy and safeguard jobs.
Serame said an expansion of a business during the time of the pandemic proves that there are resilient industries that can withstand the challenges emanating from Covid-19.
“An indication of the need to expand required government and any institution charged with the responsibility to facilitate businesses to make concerted efforts in ensuring that all obstacles are removed for the project to be realized,” she said.
Since its incorporation in Botswana back in 2009, Serame said Kromberg has asserted its position as a significant player in the regional automotive industry value chain.
“It has also been a critical player in the economic development of this country currently employing more than 2,100 citizens across its operations, and has created several other indirect jobs through outsourcing some of their services such as maintenance, transport, cleaning and catering in the cafeteria,” said the Trade Minister.
Also, she said the company exports on average P2 billion worth of goods on yearly basis thereby contributing to foreign exchange.
“Kromberg and Schubert’ continuous expansion and investment in Botswana is testimony to our investor-friendly policies and response to our continued efforts to improve the doing business environment,” she noted.
The minister said it is worth emphasizing that for Botswana to be a global competitor, the local private sector should penetrate the regional and international markets.
“Our vision is for this country to transform from being largely an importing and consuming to being a producer and an exporting country,” she stated, pointing out that this can only be achieved through projects like the one that was launched.