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By STANLEY KIMUGE
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Kenya is banking on the modernization of the Rivatex plants and the adoption of high-yielding seeds to revive the struggling cotton sector.
By the end of the year, the textile business aims to boost production of the current ton of fiber, or 6,000 meters, to more than 12 tons or 40 000 meters of finished products in one day, according to the company
Currently, Rivatex consumes 10 bales of cotton a day, but it is expected that this figure will increase to 70 bales once the modernization is completed .
Kenya wants to take advantage of global markets such as the African Growth and Opportunity Act (Agoa) to change the fortunes of the sector. Under Agoa, products from more than 6,000 product lines, mainly textiles and clothing, which account for 65% of total exports, benefit from duty-free, quota-free access to the US market.
Kenya ranks among the leading apparel suppliers in the United States, having exported $ 340 million (Sh3.4 billion) worth of merchandise to the market last year.
Total exports from Kenya to the United States under the Agoa Plan peaked at 35.2 billion shillings in 2015, before dropping to 32.7 billion shillings last year, according to the United States. Data from the Economic Survey.
Kenya has not yet fully exploited this opportunity to revive the cotton industry. But the government says this is changing with Senior Secretary of Investment and Industry, Betty Maina, noting that the ministry has already rolled out initiatives to bring the sector back to its glory days. She called on farmers to start farming again.
"If you have a parent or relative who was growing cotton but gave up, tell him to grow the crop because we are relaunching this plant. We hope to double and increase production in the coming years, "she said.
Kenya has also established a cash crop of genetically modified cotton, which experts say will change the game. President Uhuru Kenyatta said in January that he was counting on the sector to create 50,000 jobs and generate 20 billion shillings, especially in clothing export earnings, this year as part of his latest report. Treasury Minister Henry Rotich said the government had allocated 1.2 billion shillings in this year's budget to promote the development of culture and encourage farmers to take advantage of an easy market to cultivate the crop.
Kenya produces 30,000 bales of cotton each year against a spinning capacity of about 10,000 metric tons of fiber.To bridge this gap, Kenya imports from Uganda and the United States. Tanzania
PS Maina said the government is committed to creating a ready market for textile products.
"The president promised last year all products for the police, the NYS and the military will be sourced locally and military agencies and others should be exposed to the products," the PS adds.
Rivatex produced millions of tons of tissue prior to its sequestration in 2000 following mbadive mismanagement. In 2007, Moi University bought the company but struggled to produce finished products due to obsolete equipment.
The modernization of the company will cost Sh3,016 billion after the company has obtained a grant from the Indian government for the transfer and purchase of new machinery technology. The loan was granted to the country following the visit of Indian Prime Minister Narendra Modi to Kenya in 2017.
Indian High Commissioner in Kenya, Suchitra Durai, who attended the event, observed that the Modernization of the factory would result in more than 2,000 direct jobs.
"Our partnership with Kenya and the Moi University by Rivatex also involves capacity building by bringing in managers and workers in India who are trained at LMW Ltd, which will ensure the production of quality products. Ms Durai
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