Working visit to the Diamniadio Industrial Park and the NSTS of Thiès



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Minister Moustapha DIOP declared:

I would first like to express my deep gratitude to the Director-General of APROSI, Mr. Momath BA, for the warm welcome he has kindly extended to me. with all the delegation that accompanies me

As you know, no nation in the world has developed without industrialization. It is with this conviction and to give much more impetus to our industrial strategy that the Head of State, His Excellency Mr. Macky SALL, for the first time in the institutional history of Senegal, created a specific department dedicated exclusively to industry and small and medium-sized industry which constitutes more than 90% of our industrial fabric.

Therefore, the structural transformation of our economy that we are talking about in the PES is essentially based on the success in the implementation of our industrial strategy, notably through the four flagship projects that are: Integrated Industrial Platforms; integrated and competitive Agropoles; the Regional Mining Hub; and industrial bets.

Industry is therefore at the heart of the PES and as Minister of Industry I intend to give full play to this sector its primary role in the creation of wealth and jobs for people. especially young people and women.

It is within this framework that I initiated a national tour program to visit industries, to meet the industrialists, to inquire about their situation, to know their problems and give them all the necessary support to find the appropriate solutions.

Stage Diamniadio Industrial Park

I would like to be delighted to see one of the flagship projects of the Emerging Senegal Plan, the Integrated Industrial Platform of Diamniadio, translates the futuristic vision of the President of the Republic His Excellency Mr. Macky SALL, of an industrial, sustainable and inclusive development of Senegal

Exactly three months ago, day to day, with the Secretary General and General Manager Momath BA, I went to China as part of the negotiations for the second phase of the Diamniadio Industrial Park, and I was given the opportunity to visit Deyang and Luojiang Industrial Parks. What I saw there reinforced me in President Macky SALL's relevant vision of endowing Senegal with a network of industrial parks.

That's why the challenge for us today is is the commissioning and effective operation of the park, to allow all the companies installed to start their activities; This will generate resources and especially create thousands of jobs.

The first phase of the Diamniadioqui Industrial Park covers an area of ​​13 hectares was carried out by the Chinese company CGCOC GROUP, for an amount of 25 billion CFA francs, fully financed by the Senegalese State

This first phase includes three (03) 7920m² hangars (Type A); one (01) hangar of 3600 m² (Type B); one (01) administrative building of 5,000 m² over five (05) levels. Added to this are the water, electricity and sanitation networks, landscaping and 3 km of paved road.

As of today, the occupation of the park Established as follows:

C & H GARMENTS, a clothing manufacturer with 2,000 direct jobs and 200 indirect jobs, is installing its machines;
SEWA CARD which makes electronic cards and is planning to create 750 direct jobs and 840 indirect jobs, is training the recruited personnel,
CTIS who makes PVC piping and who plans to create 40 direct jobs and 200 indirect jobs, is in the testing phase.
Also, for DELTACUIR, ADS, SARTORISEN and GALION, the routing of the equipment and its installation are in progress

Similarly for the Administrative Building, the companies reservoirs namely GLOBEX FEDEX, BICIS, ADS, NUMHERIT are in train of completing administrative formalities to settle in.

In this administrative building, it is planned to house a pharmacy, a medical service and an insurance company.

The other challenge that stands before us, c is the urgent realization of the second phase of the industrial park of Diamniadio which relates to the development of 40 hectares, which will include hangars, one (01) quoted of housing being able to receive 2500 people, a football field, green spaces and all the services that such an infrastructure requires.

This second phase, amounting to 710 million Yuan, or 60 billion CFA francs, on concessional loan from the People's Republic of China, will be carried out by the Consortium of Chinese companies CGCOC-SRBG, with whom we signed a Memorandum of Understanding (MOU), Monday, April 02, 2018.

The second phase will include 15 type A buildings; 2 optional Type B buildings; one (01) cited dwellings on 4 hectares accommodating 2500 people, the VRD; a sub-station HT / MT, 4 km of road, green spaces, a warehouse, premises for customs, firemen, etc.

If we manage to meet these two challenges, we can easily bring our modest contribution to President Macky SALL's employment policy; because I remember that in the long run it is expected the creation of 25 000 jobs. This means that the Diamniadio Integrated Industrial Platform is a provider of jobs for young people and women.

NSTS stage of Thiès

If I chose to come here to the NSTS from the start of my tour, it is because the situation which your society is going through and which you have just described preoccupies in more than one way the Head of State who attaches great importance to the revival of the national textile industry. That's why he instructed us to do everything in his power to restart the activities at this plant, which employs more than a hundred people but was in full swing to more than 400 jobs; This is not at all negligible for the local or even national job market.

I would like to remind you that in this respect it was President Macky SALL who decided in 2014, as a result of a long halt, to revive the activities of society, authorizing the signing of a tripartite Memorandum of Understanding between the NSTS, the State of Senegal and the National Bank of Economic Development (BNDE).

Today We are faced with this unexpected situation or at all not at all desirable and we must act together to restart this production tool; that's all the meaning that needs to be given to my presence here among you.

Indeed, the factory has been shut down since March 2018, with some 150 employees finding themselves unemployed

The difficulties of the NSTS stem mainly from BNDE not renewing the annual credit line of 400 million CFA francs for non-compliance with the repayment obligations. This has led to a lack of working capital and subsequently to a break in cotton supplies.

Added to this is the difficulty of finding the financing of the investment program of the Recovery Plan, over the 2014-2016 period. , whose initial amount of 2.9 billion was revised upward to 4.1 billion CFA francs. Finally, it was just 1.4 billion CFA francs that was mobilized for the financing of the investment program.

On May 9, 2018, a meeting of the Interministerial Committee for the Restructuring of Firms in Difficulty was held , at the Ministry of Finance, at the BPS Directorate, to review the NSTS debt settlement with BNDE; find a solution to revive the company's activities and ensure adequate financing.

Thus, it was decided:

1) BNDE agrees to acquire part of the NSTS's property assets to cover the debt;

2) The NSTS sells the rest of its non-factory land assets; This will enable it to meet most of its financing needs.

These two solutions will enable the NSTS to improve its financial situation and to be able to apply for bank financing, if necessary.

3) Finalize the entry of FONSIS into the capital of the NSTS; which will allow to follow closely the functioning of the company; next, to study with BNDE the possibility of continuing to finance the working capital for the spinning activity, and finally, in case of profitability of the spinning activity, to revive progressively the weaving.

4) An expert has to review the financial statements of the NSTS and make proposals to settle certain accounts, notably with SOTEXKA. In this regard, I am pleased to announce that the commitment form for the payment of the consultant's fees is already available and will resume service shortly.

At the end of the visit to the NSTS, I asked the Director General, Mr Ibrahima Macodou FALL, to come to my office next Monday, 09 July, at 4 pm, to review all these recommended measures and see together how to move towards implementation and I am sure that with the support already obtained from his Excellency the President of the Republic we will succeed in straightening the NSTS.

Daddi Diop

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