Kenya, UK Partner to Revive Cotton Production in Lamu: "It Will Support 5000 Jobs"
- Kenya and the UK, and the County Government of Lamu partnered to establish a cotton processing plant
- The UK provided seed funding to de-risk a private sector investment project, while the government provided additional financing to further support the investment
- The Lamu county government supported the venture with land acquisition and created an enabling local operating environment
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Lamu, Kenya - More than 5000 Kenyans will be employed in the cotton processing facility in Lamu County.
Source: Twitter
The factory will be built following a partnership between Kenya, the UK and the County Government of Lamu.
How new cotton factory in Lamu support Kenyans
Overseeing the signing of the agreement on Wednesday, April 30, Trade Cabinet Secretary (CS) Lee Kinyanjui said the facility will enhance the cotton market through value creation and offer job opportunities to thousands of Kenyans.
"This factory will boost cotton uptake, earn farmers more income, create jobs, and provide raw material for the textile industry. It will also make Lamu County a hub for investment, supported by the special economic zone, Lamu Port and LAPPSET," said Kinyanjui.
The partnership showed how the UK and Kenya are working together to deliver homegrown economic growth and job creation.
The ginnery, established by Thika Clothing Factory, will be completed by November 2025.
British Deputy High Commissioner to Kenya, Ed Barnett, emphasised the benefits of a long-term partnership between Kenya and the UK, which has resulted in the project's development.
Source: Twitter
"This project is a testament to the power of partnerships—the UK, national government, and county governments have joined forces with the private sector to deliver 5,000 jobs and future economic growth.
"Working together in this manner will reduce reliance on imports and put money in the pockets of farmers. It will strengthen, stabilise and support a sustainable homegrown cotton industry in Kenya. Long live Kenya kanga," said Barnett.
The initiative, under a £43 million (KSh 7.4 billion) Sustainable Urban Economic Development (SUED) programme between Kenya and the UK, will directly support the country's textiles and garments national development priority by reducing reliance on foreign imports.
Cotton production in Kenya
Kenya currently imports up around 90% of cotton per year. The country produces 3,000 bales of cotton per year, whilst the total demand ranges between 140,000 – 260,000.
The facility is estimated to triple cotton production in Lamu from 2,000 bales per year to 6,000 over the next three years.
The proposed plant will not only source cotton from Lamu County but also from Kilifi, Tana River, Kwale, and Taita Taveta counties.
The reduced need for transportation is expected to decrease the carbon footprint of the textile production process by 262 metric tons of carbon dioxide every year, supporting Kenya’s climate ambitions.
This project will also have a positive social impact and place a significant emphasis on providing substantial economic opportunities to women and promoting gender equality, as the employees at the processing plant are expected to be at least 50% women.
UK-Kenya partnership
The SUED Kenya programme aims to add value to Kenyan agricultural produce before export.
The UK provided seed funding to de-risk the investment for all partners involved. The government of Kenya has provided additional funding, with the remaining funds being provided by Thika Cotton Mills. Lamu County sealed the deal by providing land for the ginnery.
SUED has been operational in Lamu for four years, and this is the programme’s fourth value-chain project in the county.
It has secured investors for the cotton ginnery as well as fish processing, coconut processing, and cashew nut processing facilities.
Source: TUKO.co.ke
