by betty maina - ceo - kenya association of manufacturers - kam (1)

8/2/2019 By Betty Maina - CEO - Kenya Association of Manufacturers - KAM (1)

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Since 1959 50+ Years of Manufacturing Excellence!

Manufacturing Sector in Kenya

Betty Maina

CEO, KAM13th, 2011


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What is Kenyan industry?

Contributor of 18% of GDP

An employer of 2.3mln pple (in formal

and informal sector.

A supplier of Domestic and Export Market. Major Markets is EAC (COMESA) and EU

Uganda, UK, Tanzania, Netherlands, USA

Mostly Concentrated: Nairobi-Mavoko,Thika, Mombasa, Kisumu, Eldoret, Nakuru


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Export Markets in 2007

Kenya's Merchandise Export Markets in 2007

46%

29%

7%

17%

0%

1%

Total Africa Total Europe Total America

Total Asial Australia & Oceanic Rest of the world


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EAC largest market in Africa

Kenya's Exports to AFrica (2007)

63%

22%

15%

EAC NON EAC COMESA Other African Countries


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Kenyas Merchandise Exports to EU

and COMESA

Kenyan Exports to COMESA and EU (in ksh bns)

0

20

40

60

80

100

2001 2002 2003 2004 2005 2006 2007

Exports to the EU Exports to total COMESA


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Major exports to COMESA 2000-08

HS

Chapter

Chapter Description Share of

exports to

COMESA

27 Mineral fuels and mineral oils 24%

72 Iron and steel 6%

25 Salt, sulphur, earths and stone 5%

39 Plastics and articles thereof 5%

15 Animal and vegetable fats and oils 4%

48 Paper and paperboard and articles 3%

34 Soap, organic surface-active agents, washing preparations,

dental preparations

3%

24 Tobacco and manufactured tobacco 3%

17 Sugar and sugar confectionery 2%


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Leading Industrial Sectors Food & Beverage: Fish and Fish products, edible oils,

coffee, tea, cereal milling (wheat, maize,) food processing,sugar and confectionery, fruit and vegetable processing,

alcoholic beverages, tobacco and juice and water.

Paper & Paper Board: pulp of wood, paper pulp recovered

paper, printed books, newspapers, pictures and printingand allied

Plastics & Rubber: Polythene bags & Sheeting, rigid

plastics items

Metal & Allied: Smelting/ Hot Rolling: Cold Rolling/Galvanizing, foundries, pipe, tubes, wire and wire

products.

KAM 1959-2009: 50Years of Manufacturing


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What bothers industry the most?

Cost of Production in Kenya High andnot decreasing fast enough

Infrastructure, regulations, tax

administration, burden of government etc Affects competitiveness of Kenyan products

Affects investment decisions

illicit trade (counterfeits,substandard, or un-taxed goods


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Cost of living high Drives up wage costs

Reduces consumer effective demand (shift of

consumption to food products Drives inflation (food largest contributor to

inflation movement


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Inadequate government support for localproduce e.g. procurement of local

supplies

Weak linkages with local supplies (e.g.Agriculture

Inadequate/weak negotiation skills in

regional trade agreements

we give in oncritical areas.


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WE would like to ..

Increase employment in Kenya especially

women and youth

Increase consumption of Kenyan Good

domestically and external

Be industrial supplier of choice from Africa

Spread business and industry across the

country - reduce concentrations Building local clusters


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The Kenya Association of

Manufacturers

BASICS

Established 1959

Members 700 Staff 36

Offices in: Nairobi, Kisumu, Mombasa,

Eldoret, Nakuru (+ A. River and Thika) Funding: subscription, fees & projects


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The Kenya Association of

Manufacturers

Activities

Policy Advocacy

Business Services

Networking and Coalitions

In Kenya

In E. Africa and beyond (COMESA and Africa)

(ESA BMO, ACTIF) Globally; on specific issues: Trade and

Climate Change


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Thank you

by betty maina - ceo - kenya association of manufacturers - kam (1)

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