Home Buisiness ODSG partners German firm to establish float glass factory
Buisiness - Economics - September 24, 2021

ODSG partners German firm to establish float glass factory

The Ondo State Government has signed public-private partnership (PPP) agreement for the establishment of a 600 tonnes per day capacity float glass factory in Igbokoda, Ilaje Council Area of the state.

According to the Ondo State Governor, Oluwarotimi Akeredolu, the Ondo State Government has signed a public-private partnership (PPP) agreement with the ZMP Industrial Limited for the establishment of a 600 tonnes per day capacity float glass factory in Igbokoda, Ilaje Council Area of the state.

Akeredolu made this known in his office on Thursday, while receiving investors from Horn Glass Industries from Germany led by the Chief Executive Officer, Stephan Meindl and the Chairman, ZMP Industries Limited, Rotimi Ogunsanmi. 

The governor who decried importation of glass into the country despite the huge availability of raw materials in the state pointed that when the moribund Oluwa Glass was functional, it was supplying the then Peugeot glasses for windscreen and mirror for the production of the vehicles.

“The importation of glass into this country is unfortunate. Oluwa Glass was the one supplying Peugeot windscreen and glass. But government involvement in Oluwa Glass killed it,” he said.

Akeredolu said there was no better company to establish a glass factory in the state than Horn Glass Industries, having been involved in the establishment of the Oluwa Glass over three decades ago.

He said, “You were involved with Oluwa Glass and you are the one that built it. I do not think there is a better company to start a new state-of-the-art Glass Company than you.”

 “But today, we have equity participation. We are not going to stiffen anyone interested in developing the state. Our participation will be minimal to make it effective,” he said.

Governor Akeredolu charged the investors to be time conscious, adding: “Time is of the essence. We are running against time. Please start now. Undoubtedly, we are waiting. The state will be glad to have a glass factory back after 35 years.”

The Chief Executive Officer of Horn Glass Industries, Stephan Meindl, said his firm is ready to establish the glass factory with modern technology and unwavering commitment.

The Secretary of Ondo State Development and Investment Promotion Agency, Emmanuel Omomowo, who explained the process and terms of the Memorandum of Understanding (MoU) signed, said the Sunshine State is endowed with Silica Sands which has the raw material needed for the glass production.

He said: ”We need to bring in high-net-worth investors to collaborate with the state to develop our silica resource and the value of this investment is over 250 Million Euros and when it is converted to Naira, it is over 162 Billion Naira.

Earlier, the Chairman, ZMP Industries Limited, Rotimi Ogunsanmi said the State Government in this project is having the stake of over 20% while the investor, ZMP Industrial Ltd. has 80% and ZMP Industrial Ltd.

He said, “Our, technical partner, Horn Glass Industries was the one that built Oluwa Glass and now they are coming now to build a new green field glass factory and because it is a joint venture and we have an SPV, Special Purpose Vehicle to drive it.”

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