Maputo, Mozambique, March 17, 2014—IFC,
a member of the World Bank Group, today announced an investment of $13.5
million in MM Integrated Steel Mills Mozambique to support local industrial
development and the regional growth of MMI’s Tanzanian-based parent company
Motisun Group. The project will manufacture high quality galvanized, color
coated roofing sheets and related products used in low-cost housing projects.
The plant is based at Special Economic Zone Nacala Port, Mozambique
MMI Steel will be the first roofing sheet manufacturing plant in Mozambique
with integrated facilities from cold rolling to profiling. The company
will locally manufacture high quality products for the housing sector in
Mozambique, where such materials are mostly imported. MMI Steel’s plant,
which has been approved by Gazeda and Bank of Mozambique, is expected to
create over 250 new jobs.
Subhash Patel, founder and Chairman of Motisun Group, said “Mozambique
is a fast-growing market that will require local building materials to
meet expanding housing needs. Our integrated facilities at Nacala will
enable us to provide customized roofing sheets of various thickness, color
and sizes at much competitive price. IFC is an important partner to help
the Motisun Group grow into a significant regional player.”
Motisun has manufacturing operations in Tanzania, Uganda, and Zambia, and
distributes to 10 more countries in Africa. The Group has plans to expand
into Ghana to serve countries in West Africa.
IFC Country Manager Jumoke Jagun-Dokunmu said, “IFC aims to help investors
that can create jobs and promote the development of industry in Mozambique.
We are committed to helping strong African companies grow outside their
Motisun commenced business in 1990s, starting with induction furnace, rolling
and profiling of corrugated roofing sheets. In 1992, it opened its
first manufacturing facility in Dar es salaam, Tanzania, which now has
a pickling, cold rolling, galvanizing, profiling, color coating and welded
pipe manufacturing lines. The plant also has scrap melting and billet casting
Motisun set up manufacturing facilities in Zambia in 2010 and Uganda in
2012 and today has cumulative rolling capacity of 192,000 tons spread across
the three countries. Three quarters of Motisun’s revenue comes from its
steel operations. The group also has interests in other industries
such as beverages, paints, plastics and hospitalities.
IFC, a member of the World Bank Group, is the largest global development
institution focused exclusively on the private sector. Working with private
enterprises in about 100 countries, we use our capital, expertise, and
influence to help eliminate extreme poverty and boost shared prosperity.
In FY14, we provided more than $22 billion in financing to improve lives
in developing countries and tackle the most urgent challenges of development.
For more information, visit www.ifc.org