Chinese Construction Companies Make a Boom in Botswana
A Chinese company involved in construction in Botswana has over the past three years been on the rise amid allegations of under charging in tendering and quality of infrastructure developed.
The Chinese construction community has managed to pocket several multi-million tenders from government departments, parastatals and private sectors creating a competitive construction environment in the country.
Apart from creating competition Chinese participation in the construction industry has caused some feuds with the public questioning the durability of structures built by the Chinese and the quality control measures undertaken by the authorities monitoring the construction industry.
However government principals have shown confidence in the Chinese corporations as witnessed by several infrastructure tenders awarded in the country’s economic development drive which include a university, airport, police station, sewerage infrastructure, dams and several other developments.
Noteable Chinese Tenders.
Some of biggest construction tenders by Chinese companies include works by China Civil and China Jiangxi Corporation such as the International University of Science and Technology (BIUST) and the new Palapye Police Station respectively.
The P429 million(US$65 million) tender for construction of Botswana International University of Science and Technology in Palapye was awarded to China Civil Engineering by the Public Procurement and Asset Disposal Board (PPADB) following a competitive tendering process that pitted China Civil against other international players such as Stocks and Stocks.
Another company Sino Hydro Corporation is renovating Sir Seretse Khama Airport (SSKA) into a world class international airport ahead of the FIFA 2010 soccer world cup, at a project cost of P400 million(US$60 million). The construction is expected to expand services at the airport and lure some international flights that have not flown to Gaborone before.
On the other hand Chinese conglomerates Daheng Holdings Group and Touchroad International plans to build a massive industrial park in Phakalane, the elite suburb in the periphery of Gaborone.
The first phase is budgeted to gobble US$52 million for a textile wing of an industrial park expected to expand into other manufacturing lines like information technology, machinery and communication. The Daheng Group anticipates that 66 companies from all over the world will build factories in the park, creating 8,000 jobs creating a lot of foreign direct investment for Botswana. The project is expected to generate US$280 million in foreign revenue. And the government has made great efforts to assist the project.
The multi-million tender awards to Chinese companies are expected to continue as the government continues to pump out money for infrastructure development to cushion the economy from shock waves of the global downturn.
Trade volume between Africa and China is targeted to reach over US$ 100 billion in the course of 2010through greater co-operation between the two regions.
