Mombasa-based glass container and tableware manufacturer Milly Glass Works has warned that it may close Kenyan operations following proliferation of cheap imports as well as high production costs.
The glass bottle manufacturer says the EAC and COMESA trade agreements have opened doors for cheap products from member states, adding that situation will worsen if Kenyan signs another pending trade deal with South Africa.
The company has been in operating for the last 40 years and had planned a Ksh600 million expansion before July, 2019. The decision is now being reviewed and if the commissioned study reveals the business will not survive, expansion will be halted. Kenya is likely to lose to Ethiopia where the company is setting up a Ksh48 million plant.
Sameer Africa, Cadbury and Eveready East Africa are some of manufacturers that have closed down operations in Kenya in recent years.
The manufacturer could be following suit if sentiments by the firm’s senior officers are anything to go by.
