The Abia state authorities says it has absolutely recovered Star Paper Mill, Aba and Owerrinta from the Asset Administration Company of Nigeria (AMCON), marking a serious step in direction of industrial revival within the state.
That is because it has additionally intensified effort to finish the acquisition of Afro Drinks Restricted, Owerrinta.
The Star Paper Mill, a brainchild of Late Nnanna Kalu, was established within the Nineteen Seventies, as an built-in paper -conversion and paper -products manufacturing enterprise to serve home markets.
Governor Alex Otti, talking throughout the handover ceremony, held on the Banquet Corridor, authorities home, Umuahia, mentioned that the restoration of the asset is consistent with his marketing campaign manifesto of bringing to life all moribund Industries, together with Star paper Mills, the Aba Metheological Complicated, Ogwe Golden Rooster, Aba Textile Mill, Worldwide Glass Trade, amongst others.
The Governor, who mentioned that his administration, would revive the moribund Star Paper Mill, promised that the business when absolutely revived, would create between 3000 -5000 jobs along with attracting personal sector participation.
” Earlier than closure, Star Paper Mill employed over 1,000 individuals straight and greater than 5,000 not directly. “Reviving it should create between 3,000 and 5,000 jobs. That, for me, is the final word objective—jobs, jobs, and extra jobs,” Governor Otti mentioned.
He famous that the Star Paper mill had beforehand been offered underneath questionable circumstances, with components of the settlement breached, noting that it took his intervention with the cooperation of AMCON to recuperate the asset along with refunding the fee made by the corporate that purchased the mill.
The Governor additionally disclosed that fee for Afro Drinks, one other industrial facility underneath AMCON, was nonetheless ongoing, however can be accomplished within the coming weeks, including that potential buyers had been already on floor to companion in reviving the corporate.
Governor Otti, defined that his authorities’s function was to de-risk the funding and entice succesful personal sector operators and challenged the Aba and Umuahia Chambers of Commerce to rise as much as the problem.
Learn additionally: AMCON gives approval to Abia for resuscitation of Star Paper Mills
” Authorities’s function is to de-risk the funding and entice succesful personal sector operators. “Our intention is to not run Star Paper Mills. We’re buying to provide it to the personal sector. Management is vital; with out it, even sources fail,” he added.
The state Chief Govt, expressed gratitude to AMCON for its cooperation and guaranteed that the federal government, would guarantee Star Paper Mill turns into worthwhile, produces items, and creates employment.
Mike Akpara, commissioner for Industries and Small and Medium Enterprises (SMEs), described the handover because the return of life to native industries and a serious step in Abia’s industrial resurgence, asserting that the state authorities had absolutely concluded the acquisition of Star Paper Mills Ltd in Aba and Owerrinta with a ₦2.5 billion fee, whereas an preliminary ₦500million deposit has been made for Afro Drinks Restricted.
He added {that a} structured ₦500 million bimonthly reimbursement plan had been put in place to clear the remaining ₦3 billion for Afro Drinks inside the 2026 fiscal yr.
In line with him, the state is already deepening engagements towards reactivating different moribund belongings, together with Worldwide Equitable Industries, KAN Biscuits, and the completion of the Enyimba Resort, as a five-star facility.
Aminu Mukhtar, government director, Belongings Administration (AMCON), whereas commending the state authorities for its dedication to recovering the business, famous that the business, which had fallen into disuse, because of monetary misery, represents greater than an asset, describing it as an icon woven into the historical past of Abia state and Nigeria.
“AMCON doesn’t take over belongings to destroy them, however to protect their worth.”Immediately, we’re proud to switch this preserved industrial large to a authorities dedicated to revitalisation.
“The acquisition of this asset is a milestone for the state’s industrial improvement,”Mukhtar famous.
He recalled utilizing merchandise from the manufacturing unit, together with train books, throughout his youth and expressed satisfaction that the ability would now be revitalised underneath state management,
He mentioned that the manufacturing unit would strengthen the native provide chain, increase family incomes, enhance the state’s gross home product (GDP) and encourage ancillary companies throughout Abia.
