Emirates Logistics Expands Its Operations in Kenya's Tatu City Special Economic Zone
Emirates Logistics Expands Operations in Kenya
Emirates Logistics, a prominent supply chain and logistics provider in the Middle East, Africa, and Asia, has announced its strategic expansion into Kenya. This move comes as the company plans to establish a cutting-edge facility within the Tatu City Special Economic Zone (SEZ), designed to support the growing demand for logistics solutions throughout sub-Saharan Africa. Tatu City is recognized as Africa's leading new city, conveniently located just 30 minutes from the capital, Nairobi.
Strategic Importance of Tatu City
The new facility marks a significant step in Emirates Logistics’ global expansion strategy, which is aimed at reinforcing its logistics capabilities in key growth markets. With this strategic installation in Tatu City, Emirates Logistics will be better positioned to provide tailored logistical solutions to both existing and prospective clients. Steven van der Vliet, Business Director at Emirates Logistics, stated, "We are proud to enhance our presence in Kenya with our expansion at Tatu City, thus solidifying Emirates Logistics’ global footprint in complete logistics capabilities."
This facility, expected to commence construction in the near future, will contribute to Emirates Logistics’ existing operations in over 15 countries, which include states across the UAE, Saudi Arabia, Oman, Bahrain, Egypt, Morocco, Algeria, Ivory Coast, South Africa, Kenya, Tanzania, Pakistan, India, Bangladesh, and Malaysia. Van der Vliet emphasized that being located in an economic powerhouse like Kenya allows them to offer flexible and seamless logistics solutions that can support their customers' growth.
Support from Tatu City Developers
George Kapanadze, Financial Director of Rendeavour—developer and owner of the Tatu City SEZ—expressed enthusiasm about Emirates Logistics’ arrival. "Tatu City warmly welcomes Emirates Logistics to its new premises in Kenya, where it will thrive in a conducive business environment," he remarked. The SEZ is set up to attract foreign direct investments, providing the necessary infrastructure for companies like Emirates Logistics. Kapanadze highlighted that Tatu City combines residential, commercial, educational, and recreational facilities, thereby creating an ideal setting for international enterprises.
Rendeavour is recognized as Africa's largest new city builder, invested more than 5 billion dollars into urban development projects across the continent, focusing on creating safe, reliable, and proven environments for individuals and businesses. Their projects span several nations including Ghana, Nigeria, Kenya, Zambia, and the Democratic Republic of Congo. Tatu City itself is a thriving community, with approximately 25,000 people engaging daily as residents, workers, and students.
Business Incentives in Tatu City
Businesses that set up in the Tatu City SEZ can take advantage of various tax incentives. For the first ten years, companies benefit from a corporate tax rate of just 10%, which increases to 15% for the subsequent decade, a significant reduction from the standard 30%. Additionally, businesses are exempt from VAT on goods and services, along with reductions on import duties and stamp duties.
As Tatu City continues to develop, it has already attracted over 100 businesses, including notable names such as Heineken, Cold Solutions, and several others from diverse sectors. The establishment of the Emirates Logistics facility is expected to not only enhance logistics connectivity within the region but also to foster economic growth through the creation of jobs and increased commercial activities.
Conclusion
Emirates Logistics’ expansion to Tatu City underscores the organization's commitment to enhancing its global logistics network while contributing to the economic landscape of Kenya. The initiative is poised to unlock opportunities for sub-Saharan Africa, marking a new chapter in the company's operational journey and strengthening its legacy as a key player in the logistics industry.