Construction Week reported that Zamil Industrial Investment Company has signed 5 year strategic partnership with a state backed industrial company in Ethopia that will see the Saudi giant’s products marketed throughout the East African state in exchange for project financing.

The listed manufacturing giant who has business lines in steel, mirrors, glass, insulation and air conditioners signed the USD 300million agreement with Metals & Engineering Corporation in Addis Abbaba.

Mr Nawaf M Al Zamil VP of Zamil Steel’s Building Products Group said that the partnership is based upon King Abdullah’s directions to the private sector to support the African nations. The Dammam based company will start supplying its products to METEC managed projects in Ethiopia towards the end of the second quarter. The first will be supply of pre engineered buildings for 6 sugar factories with a total value of USD 18 million.

According to the company, Zamil Industrial can supply all the necessary building material and contracting works to any project as part of its Total Solution capabilities.

Last week Zamil Industrial announced a warning to investors that its net profits for the Q1 of 2011 may slump 35% against the same period of last year as the company overcomes the 3 pronged challenges of strong regional competition rising commodity prices and civil unrest that has affected production of a plant in Egypt. Net profits for 2010 fell 8.3% against 2009.

Zamil Steel was temporarily affected by the slowdown in the region but is confidently sustaining its leading position by securing similar long-term partnerships.

(Sourced from www.constructionweekonline.com)