| Manufacturing sector is an area where investment | | | | infancy, a number of firms in the assembly, testing, |
| opportunities exist. Initially developed under the | | | | repair and maintenance of electronic goods are in |
| import substitution policy, there has now been a shift | | | | operation and are rapidly increasing their scope of |
| to export oriented manufacturing as the thrust of | | | | activities to meet the growing demands of the |
| Kenya's industrial policy. The sector plays an | | | | industry. |
| important role in adding value to agricultural output | | | | Key opportunities for direct investments, |
| and providing forward and backward linkages, hence | | | | joint-ventures and subcontracting exist in assembly |
| accelerating overall growth. | | | | of a wide range of electronic goods in Kenya, |
| The manufacturing sector now comprises of more | | | | especially within the Manufacturing Under Bond |
| than 700 established enterprises and employs directly | | | | scheme and Export Processing Zone Programmes. |
| over, 218,000 persons as at the year 2000. A wide | | | | These include the production of: |
| range of opportunities for direct and joint-venture | | | | - Consumer electronics, such as colour televisions, |
| investments exist in the manufacturing sector, | | | | Video Cassette Recorders (VCRs), printers, floppy |
| including agro-processing, manufacture of garments, | | | | disk drives and Compact Disk Roms (CD-Rs); |
| assembly of automotive components and electronics, | | | | - Telecommunication equipment, such as printed |
| plastics, paper, chemicals, pharmaceuticals, metal and | | | | circuit boards, and transmission equipment; and |
| engineering products for both domestic and export | | | | - Support items such as cables, cords, die casting and |
| markets. | | | | metal plating. |
| Paper Products | | | | With a labour force which is well-equipped to meet |
| Kenya has an integrated pulp paper mill plant | | | | the labour skill requirements for the industry and the |
| producing paper and paper board from renewable | | | | relatively large domestic and export market potential |
| forest products. However, the country imports | | | | of electronics in the region, Kenya offers an |
| coated white lined chipboard and other boards for | | | | enormous potential for the manufacturing and |
| packaging, newsprint, printed paper and other types | | | | assembly of electronic items. |
| of paper. Investment opportunities exist in the | | | | Plastics, Chemicals and Pharmaceuticals |
| production of paper from other raw materials such as | | | | The plastics industry in Kenya is well-developed and |
| bagasse, sisal waste, straw and waste paper. | | | | produces goods made of polyvinyl chloride (PVC), |
| Textiles and Apparels | | | | polythylene, polystyrene, and polypropylene. All |
| Textile, Garment and Apparel manufacturing has a | | | | materials are imported in the form of granules. |
| very high potential in Kenya. The basic raw material | | | | A large number of pharmaceutical formulations are |
| inputs such as dyes and chemicals are imported, as | | | | produced locally in the form of tablets, syrups, |
| are all textile equipment and most spare parts. | | | | capsules, and injectables, but the bulk of |
| Investment opportunities exist under the | | | | pharmaceuticals is imported. There is room for |
| Manufacturing Under Bond scheme and in the Export | | | | additional investment in the pharmaceutical industry. |
| Processing zones for the production of items such as | | | | Many attractive investment opportunities in chemicals, |
| yarn and garments. | | | | pharmaceuticals and fertilizers remain unexploited. |
| Metal and Engineering Works | | | | These include the production of PVC granules from |
| Kenya has a basic metal sector making a variety of | | | | ethyl alcohol; fomaldehyde from methanol; melanine |
| downstream products from local and imported steel | | | | and urea; mixing and granulating of fertilizers; cuprous |
| scrap, steel billets and hot rolled coils. Kenya imports | | | | oxychloride for coffee bean disease; caustic soda |
| steel billets, coils, wire rod and wires, steel plates, | | | | and chlorine based products; carbon black; activated |
| sheets, steel scrap and pig iron. The country | | | | carbon; precipitated calcium carbonate; textile |
| possesses a broad-based metal products sector with | | | | dyestuff; ink for ball-point pens; and gelatine capsules. |
| various independent engineering, foundry and | | | | Mining and Mineral Products |
| metalwork workshops. Opportunities exist in the | | | | Opportunities exist in the production of glass as the |
| development of a nucleus foundry making precision | | | | country is not self-sufficient. A few manufacturing |
| castings that are then processed into precision | | | | units produce ceramic pottery and tiles, however, |
| components. | | | | substantial quantities of ceramic pottery, tiles, |
| Vehicle Parts and Assembly | | | | sanitary-ware, and insulators are imported. |
| The motor vehicle component industry is rapidly | | | | Investment potential exists in prospecting and mining |
| developing to supply the needs of a few motor | | | | of other minerals such as gold, precious stones and |
| vehicle assemblers to meet certain local content | | | | petroleum. |
| requirements. Opportunities exist for manufacture of | | | | Wood and Wood Products |
| components for use by local assemblers for domestic | | | | Making use of renewable resources, investment |
| market and for export to regional markets. | | | | opportunities exist for production of high quality and |
| Electrical Equipment | | | | hand carved furniture for export, high density board |
| Investment potential exists for the production of | | | | from saw dust for the domestic market, high quality |
| motors, circuit breakers, transformers, switch gears, | | | | veneers, wooden toys, sporting goods such as |
| irrigation pumps, capacitors, resistors, insulation tapes, | | | | cricket bats and rackets for export, and other |
| electrical fittings and integrated circuit boards for both | | | | specialty items. Recognizing the importance of |
| the domestic and export markets. | | | | environmental preservation, the Government pursues |
| Electronics | | | | an active re-afforestation programme. |
| Although Kenya's electronic industry is still at its | | | | |