KAM Hosts 1st, Manufacturing SMEs Convention
The Kenya Association of Manufacturers (KAM) in partnership with the Ministry of Cooperatives and Micro, Small and Medium Sized Enterprises (MSMEs) and other stakeholders Thursday hosted its first manufacturing Small and Medium Sized Enterprises (SMEs) Convention themed ‘Resetting Manufacturing to achieve agenda 2030.’
The convention focuses on SMEs ecosystem, manufacturing plans, and opportunities as outlined in the Manufacturing Priority Agenda (MPA) 2023 such as Driving export-led growth, Global competitiveness, Industrializing Agriculture and Development of SMEs.
Speaking during the forum at a Nairobi hotel, Ministry of Cooperatives and Micro, Small and Medium Sized Enterprises Cabinet Secretary (CS) Simon Chelugui observed that whereas Kenya has developed programs and initiatives to support MSMEs over the years, their potential remains fully untapped.
Chelugui added his team would collaborate and work closely with like-minded stakeholders and will continue providing SMES with affordable finances to spur their growth.
“We have approximately 7.5 million MSMEs in Kenya contributing approximately 30 percent of the Gross Domestic Product. (GDP). Eighty-five percent of MSMEs are in the informal economy and with the right policies and regulations as well as an enabling environment they shall be in better positions to grow into large companies,” said Chelugui.
The CS continued that as a government they would continue to prioritize development through initiatives such as the Hustlers Fund which are critical in the realization of the Bottom Up Economic Plan.
At the same time, State Department for Industry Principal Secretary (PS) Juma Mukhwana remarked that the missing link between the Agriculture and Industry sectors has led to shortage of raw materials in the past.
He added that Kenya largely depends on imports of raw materials and intermediate goods and manufacturing SMEs have the potential to remedy this challenge hence it is critical to champion industrialization and in doing so promote access to both local and international markets.
“As a government we will continue to provide stakeholders such as KAM among others with platforms to address these challenges as this allows us to create holistic policies and action towards achieving the anticipated growth rate in manufacturing,” said Mukhwana.
Furthermore, KAM Chairperson Rajan Shah noted that SMEs supply enormous opportunities for socio-economic transformation of our country’s economy by providing competitive space in both regional and international markets thus maximizing local agro based input.
Shah noted that the acceleration and realization of their goal will boost the manufacturing sector and enable it to increase its contribution to Gross Domestic Product to 20 percent from the current 7.2 percent, by 2030.
SOURCE: KNA
Tags: Signstv Simon Chelugui Kam Sme'S
