Trade and Investments Cabinet Secretary Moses Kuria has urged local manufacturers who repackage imported goods for sale as locally produced items costing Kenyans more money to purchase them.
Speaking during the launch of the KAM Changamka Shopping Festival, Kuria said that he will be very aggressive on private sector players who are undertaking this in a bid to evade taxes.
“Some players in the industry are asking to reduce taxes or support the ease of doing business in the country, then they go ahead to abuse our policies by repackaging imported goods to look like locally manufactured goods,” said Kuria.
The CS noted that it is important to support the local manufacturing sector since it contributes to tax revenue growth, job creation, increases exports, and supports various value chains, including Micro Small, and Medium Enterprises (MSMEs).
“Kenyan manufacturers need to increase their focus on enhancing value addition and by doing so, we shall be able to be a more self-reliant nation, source raw materials locally as well as competitively produce goods and services for the local and global market,” said Kuria.
Under his new tenure, Kuria promised to support small businesses by fixing the value chain, bottom up. He promised to set up export hubs in all 47 counties.
“We want everyone to thrive, this means that we should have linkages from the bottom of the pyramid all the way to the top,” said Kuria.
He noted that his ambition is to work with other African countries to boost trade across the continent.
“When I travel outside the country, I want to see Kenyan products on the shelves, currently our shelves are filled with imported goods but in those markets, they have their own,” Kuria said.
Kenya Association of Manufacturers(KAM)Chairman Rajan Shah emphasized the need to continuously enhance and advocate for a competitive manufacturing sector by addressing the gap in the consumption of locally manufactured goods.
“Kenya is endowed with diverse resources including human capital, raw materials, and renewable energy sources, among others, that have the potential to transform the country towards shared prosperity. Consuming our local products, as a nation instills in all of us a sense of ownership and pride in our products which strengthens our economy,” said Shah.
Currently, manufacturing contributes approximately 7.2 percent to the country’s GDP.
Initiatives such as the Changamka Shopping Festival, geared towards increasing the uptake of locally manufactured goods, are set to increase it to 15 per cent.