Spreading its influence across the country, the Chinese conglomerate CGCOC Hansom Group has established Hansom Kinfengda Manufacturing PLC, which will manufacture various water and sewerage pipes and tubes. The company said that it will introduce a special type of corrugated pipe that can be used for both residential and industrial wastes and water discharges.
Over the weekend, the manufacturer inaugurated a USD 25 million plant at the Eastern Industry Zone, some 40kms southeast of Addis Ababa. The company has leased some 30,000sqm shed in the East Industry Zone. Hu Yongjun, managing director of Hansom Kinfengda, told The Reporter that the newly set up plant has introduced a unique type of plastic pipe dubbed “High Density Polyethylene (HDPE) double-wall corrugate pipe”, which is handy for pollutant discharges and water discharge underground. According to the managing director, the pipe is a new introduction to Africa.
Yonjun said that compared to the conventional concrete pipe, the lifetime of the corrugated plastic pipe is expected to serve from 40 to 50 years unaltered with the possibility of recycling. The size ranges from 360mm to 1000mm based on the custom specifications of buyers, he said.
Geared towards exporting to the East African market, the company is potentially capable of manufacturing 20,000 tons of all kinds of pipes per year. According to Yonjun, Ethiopia needs some 60,000 tons of pipes produced and supplied annually for various sectors. But the focus of Hansom Kinfengda, at the initial stage is directed towards potential buyers in the engineering and construction group.
Investing its capital on machineries, equipment and the plant, Hansom Kinfengda is now ready to sell the pipes. A meter of corrugated pipe is set to cost buyers some 3,000 birr. Compared with the ordinary concrete pipes, the differences in the selling prices are almost similar, slanting at 200 or less. However, Yonjun said that the hygienic and environmentally friendliness of his products are how they should be valued.