The Company has planned to undertake the following projects:
The existing melting and casting plant of the company needs to be upgraded to a proper foundry through addition of a furnace, appropriate molding system, pattern making facilities and by installing proper sand preparation and recycling system, lab, centrifugal casting system, etc. The upgrade will enable the factory to manufacture new products like manhole covers, cast spare parts for the automotive and manufacturing sectors and also other castings which are in high demand by the market.
As per a study made by Nigat, the market size for grey cast iron products alone was estimated to be over 4,900 tons/yr of liquid metal in 2014, and is expected to grow at an annual rate of 18% and 10.5% for Construction and Manufacturing sectors respectively. Substantial demand for alloyed cast iron and cast steel was also noted.
The Ethiopian population being over 90 million and over 80% of the population residing in rural areas the demand for agricultural tools is very high. The new agro-industrial projects like sugar factories being realized in the country are also creating large demand for agricultural tools. In light of this, Nigat would like to introduce manufacture of new products like machetes, cane knives, etc that are highly demanded by the market using appropriate technology and dedicated production lines in collaboration with companies that can avail appropriate product design and manufacturing technology.