Kilimanjaro International Leather Industries

Establishment

1. Kilimanjaro International Leather Industries (KLICL) former known as Karanga Leather Industries Company Ltd is a joint venture company established by the Public Service Social Security Fund (PSSSF) and Prisons Corporation Sole on 26 May 2017. Establishment is in line with the implementation of the second five-year development plan (FYDP II) aiming at ensuring that Tanzania becomes industrialized by the year 2025.
2. The Company manufactures is one of its kind in Eastern and Central Africa a cited as a model of modern leather industries which house Tannery, Footwear, Leather goods, slippers and shoe soles manufacturing factories.

3. Core functions-

• To produce high quality comfortable and fashionable footwear for both men and women and children of all age.
• To design, develop and produce trendy soles of different designs of footwear and sneakers for local and external market.
• To produce the most desirable, unique and master piece leather goods such as handbags, wallet, suitcase, leather jackets, belts, weapon cases and leather accessories of the highest standards for internal and external markets.
• To produce high quality finished leather for the internal and external markets.

“All these products and technology is under the pinnacle of Italian craftsmanship that is unsurpassed for its quality and attention to detail”

1. LEGAL STATUS OF THE COMPANY

As stated above, Karanga Leather Industries Co Ltd is a joint venture company established by PSSSF and Prisons Corporation Sole (PCS). The Company was registered on 30th May 2017 and issued with the certificate of incorporation number 135503. The shareholding structure of the Company is PSSSF (86%) and PCS (14%). The following are the key documents of the Company:-

1. Memorandum and Article of Associations (MEMART),
2. Memorandum of Understanding between PPF and PCS,
3. Joint-venture agreement between PPF and PCS,
4. Certificate of Registration of Company,
5. Tax Identification Number,
6. VAT Registration, and,
7.  Industrial License.

2. BOARD OF DIRECTORS

Organization structure
Management
The overall management and the highest decision making organ is the Board of Directors. The Board of Directors of the Company is constituted by members from PSSSF and Tanzania Prisons Services, as per Clause 88 of the MEMART. Currently, the Board is composed of 8 members of whom four are from PSSSF, two from Prisons Corporation Sole (PCS), one independent Director from Ministry of Industry, Trade and Investments and Company’s Managing Director.

The daily operations of the Company are undertaken by Management team headed by the Managing Director.

3. THE HEAD OFFICE OF THE COMPANYThe Company is located in Moshi, Kilimanjaro, at Karanga Prisons Area – Moshi/Arusha Road opposite Moshi Technical College.
4. VISION, MISSION AND CORE VALUES OF THE COMPANY 4.1 VISION:To Be a Model Producer and Supplier of Quality Leather, Shoes, Soles and Leather products.

4.2 MISSION

To Produce and sell quality leather, shoes, sole and leather products at competitive prices through utilization of competent personnel, modern technology and quality raw products.

4.3 CORE VALUES

1. Professionalism 2. Team Work
3. Innovation
4. Customer centric

5. OVERVIEW

Lot 1: comprises of the construction of Footwear Industry, Shoes Sole Processing Industry and Leather Goods Processing Industry.

Lot 2: Comprises the construction of a Modern Tannery.

The following is a summary of implementation status of this project;-
Production of the mentioned products entails construction of the following factories (industrial park):

(i) Shoe Factory- Completed 100%
(ii) Leather goods Factory- Completed
(iii) Sole Manufacturing Factory-Completed (iv)Tannery Factory to be complete by May 2021

Production capacity of each factory:

Sole Soles 3000 pairs of soles for different types manufacturing of shoes per day

Production Capacity:

900,000

Annual Capacity is as follows:
(a)Finished leather and skin increased to match material required for

footwear and leather goods. It is estimated that, Leather required to produce 1.2 million pair of shoes and leather goods are square feet 6.75 million.

2. (b)  Increase in crust leather due to higher demand in foreign market.
3. (c)  Increase production of leather goods to tap the market availablelocally.
4. (d)  Provision of expanding production of shoes from 1,200,000 per yearto 2,448,000.
5. (e)  Increase production of shoe sole to match with production capacity offootwear and demand of quality sole in domestic market.ENG. MASUD M. OMARI The Managing Director