County Government of Laikipia

Establishment of a Special Economic Zone in Rumuruti in progress with the County Government of Laikipia setting aside about 2,000 acres for the purpose.

  

This is billed as the game changer in the efforts to develop Rumuruti as an industrial town especially in the manufacturing of Agricultural equipment and food processing.

  

Governor Ndiritu Muriithis leadership has put in place a solid strategy to grow the Countys gross domestic product four-fold from the current Kshs 100 billion to Kshs 400 billion through production and manufacturing.

  

The establishment of the SEZ will enable Laikipia to attract investments, expand and diversify production of goods and services for domestic and export markets, promote value addition in the agriculture sector, promote value addition in the agriculture sector, promote local entrepreneurship through Small and Medium Enterprises (SMEs).

  

It will also promote rural and regional industrialization by exploiting the available mineral resources in Laikipia

  

Trade and Industrialization CAS Lawrence Karanja hailed this project during the recent Rumuruti Investment Forum saying that the idea of the SEZ will make Rumuruti not only a preferred destination to invest, but also to work and live. An SEZ will open up the town to new investments which will help in transforming the town. According to Mr. Karanja, most times people may want to work in a place but not live there and same may apply to those wishing to live in that but are hesitant to invest there.

  

The idea of the SEZ will meet all the three criteria which will ensure people work, live and invest in Rumuruti as it will incorporate establishment of industries, commercial and residential areas.

  

The ministry of industrialization is ready to engage Laikipia Government to ensure that the products reach the desired markets. It will also engage potential investors and make sure they are directed to come and invest in Laikipias SEZ. Mr. Karanja said that the ministry is in the process of negotiating bilateral, regional, and multinational trade agreements in order to secure improved long-term and predictable markets for Kenyan goods.

  

Most of the countries are developed out of SEZ as it plays a major role in encouraging investors to put up huge investment due to incentives being offered. CAS noted.

  

Special Economic Zones Authority CEO, Meshack Kimeu said to the fact that SEZs spurs development in the area they are located in.

  

The work of the authority is to develop infrastructure for industries which attracts investors interested in manufacturing and processing for both local and export market. Kimeu notes that Rumuruti SEZ will be very crucial and important as it will meet the objectives of the authority. They include bringing industries at the County level which will create jobs, harness available resources and add value to the agricultural produce in Laikipia.

  

The SEZ Authority will collaborate with Laikipia to gazette the land as SEZ while working together to attract investors.

  

The authority could also bring resources to develop the land, set up the necessary infrastructure which will make it ready and available for investors to come in.

  

Once the Rumuruti SEZ is developed, we are going to have industries, commercial centres, recreational facilities and residential areas. Mr. Kimeu noted.

  

SEZ Authority will work with the county to investors to add value to the minerals found in this area. This will create wealth and job opportunities among its residents.

  

The SEZs usually have nine sectors of interest for various investors. They include: Free Trade Zones (FTZ), Industrial Parks, Free Ports, Information Communication and Technology Parks (ICT Parks), Science and Technology Parks, Agricultural Zones, Tourist and Recreational Zones, Business Service Parks and Livestock Zones.

  

The SEZ Act 2015 offers both general and specific incentives to the SEZ Developers, operators and Enterprises. These incentives include among others:

• Procedural/Administrative-transparency in licensing processes, quick acquisition of permits (OSS) and continual facilitation through the project stages of operation.
• Fiscal Incentives-reduced operating costs, encourage new investments and reinvestments(machinery & Technology).
• World Class Infrastructure and Customized Facilities.
• Land

  

The SEZ Programme is a purpose-built vehicle for the implementation and realization of the wider economic reform strategy .i.e. vision 2030 and the Big 4 Agenda pillars .i.e. Manufacturing, Affordable housing healthcare.

  

The SEZ programme will transform the County into an industrial hub while stimulating the economy from the slow growth currently occasioned by the Covid-19 pandemic.

  

(Source CGL E-Newsletter Edition 40)