Corporation launches project to enhance competitiveness and job creation
Bole Lemi Industrial Park
ADDIS ABABA, APRIL 11/2016
The Industrial Parks Development Corporation through the Competitiveness and Job Creation (CJC) Project has launched USD 12.5 million IDA sponsored business to business linkage fund to enhance competitiveness and job creation.
The project would enable local investors and business people to create market linkage and enable them to link with firms in the industrial parks by mitigating the binding constraints of local potential manufacturing suppliers (low productivity , quality and high price and long delivery time, etc ) , according to Competitiveness and Job Creation (CJC) Project Coordinator Tesema Geda. Speaking at the CJC project workshop held at Desalgne Hotel, the coordinator said CJC has been working to promote investment, create jobs and improve the global competitiveness of Ethiopian enterprises.
He stated that the Bole-Lemi and Kilinto Industrial Parks would be primarily targeted to implement the project. Under component 3 of the project , “a maximum of USD 400,000 grants will be given for each firm that can supply or work as sub contractors with firm in the IP in two phase on matching grant basis (first 300, 000 USD and second 100, 000 USD, 60 % of the fund to be covered by project and the remaining 40 % will be shared by the beneficiary firms ) ” Tessema said, indicating that eligible private firms/ investors would be encouraged to participate. “There will be also technology, knowledge, experience and skill sharing through this project to local manufacturing firms from the investors in the IP as the result of the linkage to create through the fund.”
The project coordinator pointed out that firms operating in raw material, accessory and sub contracting services related to the leather, textile and garment sectors would be eligible to engage in the project.
The accessory services will include supplying accessory, packaging materials, machineries and other input spare parts and engineering manufacturing firms, he further elaborated. According to Tessema, applicants will go through different stages of screening based on the operating procedures of the Business to Business (B2B) linkage fund.
Gebrehiwot Gebretatiyos, Competitiveness and Job Creation, linkage Specialist with the Corporation on his part said the project would have great contribution to realize the country’s plan of developing industries by technology, knowledge, experience and skill sharing through this project to local manufacturing firms from the investors in the industrial as the result of the linkage to create through the fund.”
The project would not only promote competitiveness and job creation but also improves productiveness and upgrades the quality of commodities in the global market, the specialist indicated. It was learned that upon completion of two years, after the project is expected to create jobs for up to 35,000 citizens.)
Source :-( IPDC and ENA, April 2016)