Steps investments in Ethiopia with ' city ' Chinese firm shoe | Elissa Jobson

Ethiopian workers at the shoe factory of Huajian near Addis Ababa mark in leather for shoes. Photo: Elissa Jobson-guardian.co.uk

Helen Hai, Deputy Chairman of the Chinese manufacturer of footwear, Huajian group has a bold ambition. Within a decade, you want Ethiopia to be a global hub for the footwear industry, providing the African markets, Europeans and Americans.

"We're not going all the way to reduce our costs by 10 to 20%," you said. "Our goal is in 10 years time to have a new cluster of shoe making here. We want to build a supply chain ... I want everything to be manufactured here. "

Huajian has a factory near Addis Ababa that employs 600 people, opened in January 2012, and undertook to jointly invest $ 2 billion (￡ 1 billion) over the next decade to create a special economic zone production light in Ethiopia, creating employment for about 100,000 Ethiopians. The company, which employs 25,000 workers in China, expects to be able to provide about 30,000 jobs in Addis Ababa by 2022.

Huajian's Partner in this project is the China-Africa Development (CADFund), a private equity, promote Chinese investments on the continent. Born out of the 2006 Forum on China-Africa cooperation, the Fund was launched in June 2007 with $ 1 billion provided by China Development Bank. An additional injection of $ 2 billion was made early last year.

CADFund focuses on funding projects in agriculture, infrastructure, natural resources and industrial park like the one designed by Huajian and has invested in a wide range of initiatives including a power plant in Ghana, a port in Nigeria, cotton farms in Malawi and a car $ 100 m plant in South Africa.

Watching you is well on the way to becoming a reality: it was signed a lease on 300 hectares (741 acres) of land in Lebu, on the outskirts of Addis Ababa, where Huajian plans to build a "city of shoes", which provides accommodation for up to 200,000 workers and factory space for other manufacturers of footwear, handbags and accessories. The complex will offer help and advice to entrepreneurs of business creation. "[Is] a one-stop shop for producers who are similar to us," Hai, which foresees the construction site to start this year, he says.

"One thing in my strategy is very clear: that I do not want to compete with locals," you said. "I want to help them grow because local producers when they grow up, the entire market is growing. If it's just for me here in growth in five years time, I'll leave. "

A pair of shoes Huajian ready to be canned for export. Photo: Elissa Jobson-guardian.co.uk

An area where you feel that the company might make a difference is in the tanning of leather. "The skin of sheep and goat are good but local people do not know how to handle Ecru," you said. "I want to offer my skills to help the locals. I don't want to have my own tannery because I do not want to create problems. I want to be friendly. "

This kind of warm and fuzzy discourse from a Chinese company might surprise some analysts, academics and journalists who often characterize China's involvement in Africa as neo-colonial plundering voracious. You admit that the strategy is not necessarily pursued by private Chinese enterprises operating in the continent.

Zemedeneh Negatu, managing partner at Ernst & Young welcomes Ethiopia & the Huajian plan to create a full supply chain for the footwear industry and applauds his efforts to transfer skills. "That should be the goal. Create cluster around one or two major foreign investors or Ethiopians, across the country, based on the comparative and competitive advantages, "he says. "Huajian could be the anchor point, but all around are Ethiopian society. It should be made clear to investors that they need to help build the local capacity. "

The company cites the well-being of employees as a priority. In China, Huajian has a modest wedding dress 40 km (25 miles) South of the capital, Beijing, which employ 1,700 workers and export more than $ 1 million worth of shoes each month in the United States and United Kingdom. In Dongguan, in the southern province of Guangdong, most staff coming from poor rural areas. The company provides accommodation, hot meals, clothing and laundry services, as well as for children free. A similar package is offered to its Ethiopian workers who also earn 10% above the average wage.

The Huajian near Addis Ababa employs 130 Chinese workers, all supervisory roles. The number of expatriates on the payroll has dropped from 200 when the production started in January 2012, and Huajian plans to reduce it further. "For me, the location is so important. I don't see me handle this factory in five to eight years. I see that local someone standing here talking to you, "you said.

The company has selected 130 graduates from southern Ethiopia to spend a year in China at the training facility. More about 270 will be hired later. "They are going to be future leaders," he says. "They are going to be a new force."

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