Kenyan industrial titan Devki Group has officially broken ground on a colossal steel manufacturing plant in Tororo, Uganda, an investment valued at $500 million (approx. KES 65 billion) that promises to ignite economic growth across the region. The project, attended by Presidents William Ruto of Kenya and Yoweri Museveni of Uganda, is set to become one of the largest and most advanced steel mills in East and Central Africa.

This venture is not just about steel; it's about jobs, trade, and self-reliance. The plant is projected to create 15,000 direct employment opportunities in Uganda, spanning mining, transport, and manufacturing. For Kenyans, the ripple effects are significant, with 300 Kenyans expected to be involved in the construction phase and broader opportunities anticipated in cross-border logistics and services once production begins.

Forging a New Economic Reality

The Tororo plant is a strategic game-changer for East Africa, which has long hemorrhaged foreign currency on steel imports. Kenya and Uganda currently spend a staggering $800 million and $500 million a year, respectively, on imported steel. Devki's facility aims to plug this gap by producing one million tonnes of steel annually, leveraging Uganda's vast iron ore deposits.

Devki Group Chairman, Dr. Narendra Raval, emphasized that the goal is to transform the region from a net importer to a producer and exporter of steel. "Importing steel is importing poverty," Raval stated at the groundbreaking ceremony. "We must produce here, create jobs here, and empower the youth."

The project's key details include:

• Total Investment: $500 million (some sources cite up to $550 million).
• Job Creation: 15,000 direct jobs in Uganda, with a pledge to hire 90% of the workforce from the local Tororo community.
• Production Capacity: One million tonnes of steel per year using modern blast furnace technology.
• Construction Timeline: The project is expected to be completed within two years, with the first steel rolling out by the end of 2027.

Strengthening Regional Ties

The presence of both President Ruto and President Museveni at the launch underscored the deep political and economic cooperation underpinning the project. President Ruto hailed the investment as a cornerstone for regional industrialization that will create opportunities far beyond Uganda's borders. "This project will provide jobs for our young people, build new value chains for small and medium enterprises, and create opportunities that extend far beyond Uganda's borders," President Ruto declared.

To support this massive industrial undertaking, Kenya has announced plans to extend its Standard Gauge Railway (SGR) from Naivasha to the Malaba border and onwards into Uganda, a critical infrastructure link that will lower transport costs for raw materials and finished products. This move signals a coordinated effort to build a robust economic corridor, positioning East Africa as a competitive manufacturing hub.

While the project is a landmark achievement, analysts note that its long-term success will depend on stable energy supplies and efficient logistics. However, with strong government backing and a clear vision for regional self-sufficiency, the Devki steel plant in Tororo is poised to be a powerful engine for prosperity, fundamentally changing how East Africa builds its future.