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Industrialisation puts counties at centre of manufacturing growth

Kenya’s efforts to expand manufacturing, create jobs and increase the value of locally produced goods are placing county governments at the centre of a renewed industrialisation drive, with Taita Taveta seeking to align its investment priorities with the proposed National Industrialisation Policy 2026.

The policy consultations in Taita Taveta come as the national government seeks to address persistent constraints facing manufacturers, including high production costs, limited access to finance and raw materials, infrastructure gaps and low value addition.

Stanley Koske, Director of Industries (Research, Industrial Data and Partnerships), who led the national government delegation to the county, said the proposed policy would strengthen the competitiveness and sustainability of Kenya’s industrial sector while addressing challenges affecting business operations and industrial development.

“The document, once assented to, will help enhance the competitiveness and sustainability of Kenya’s industrial sector while addressing challenges affecting business operations and industrial development,” Koske said.

In an earlier statement on the policy review, Koske underscored the government’s commitment to creating an enabling environment for industry through supportive policies, infrastructure development and improved access to finance.

The need for such interventions is underscored by the State Department for Industry’s report that manufacturing’s contribution to Kenya’s Gross Domestic Product had stagnated at 7.3 per cent.

According to stakeholders, reversing that trend will require investment in productive capacity, reliable infrastructure and businesses capable of processing local resources into competitive goods.

Taita Taveta County Executive Committee Member for Trade and Industrialisation, Gertrude Shuwe, said the consultation came at an opportune time, as the county’s Investment Policy had been forwarded to the County Assembly.

She said the timing provided an opportunity to align the county’s investment priorities with the national industrialisation agenda, creating a stronger policy foundation for attracting investors and expanding local economic activity.

The county has completed a rice milling plant, while a banana processing plant in Taveta and a County Aggregation and Industrial Park in Voi remain at the conceptualisation and planning stages.

Meanwhile, rehabilitation of the Voi–Mwatate–Taveta railway is approximately 40 per cent complete. Once finished, the railway could strengthen transport connectivity and facilitate the movement of goods, supporting trade and investment.

The proposed National Industrialisation Policy is intended to support the manufacturing pillar of the government’s Bottom-Up Economic Transformation Agenda (BETA), with county governments expected to help identify local resources, investment opportunities and industries suited to their respective economic strengths.

For Taita Taveta, aligning its county investment policy with the national framework offers an opportunity to connect local development priorities with a broader strategy for manufacturing growth.

The consultation also provides a platform for the county to highlight the infrastructure, financing and investment conditions required to unlock its industrial potential.

The next phase will be to translate the policy into productive enterprises, stronger value chains and decent jobs across the country, turning Kenya’s industrialisation ambitions into sustained economic growth.

By Arnold Linga Masila

 

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