The perimeter wall of the Kisumu Breweries plant that has been shut down. Photo/TOM OTIENO
Kisumu, initially known as Port Florence, was once the hub of industries, churning out a number of products for sale in East Africa.
But this is no longer the case as most of the industries that employed hundreds of locals are rusting away, with most of the equipment rendered obsolete.
The death of railway transport speaks volumes of the sad state of affairs in the region that was once a key stop-over for commuters travelling from the port of Mombasa to neighbouring Uganda.
Ships grounded at the once-busy pier add to the sense of neglect of the region, yet it is a gateway to the east and central African markets.
Kisumu Cotton Mills (Kicomi) was the first factory to go under in the region and the situation has not turned out any better for other manufacturers.
Industries that once produced sugarcane, cotton, rice, fruits and sorghum (including cement, oil and limestone) are dead yet the raw materials are locally available.
Lake Victoria port is idle; the trains no longer roar, once-busy factories have clear skies above them and now serve duty as milk depots and parking lots for lorries.
Several light industries, including textiles, molasses, fish processing plants and agricultural produce processors are operating below capacity.
Three sugar factories, namely Chemelil, Muhoroni and Kibos are also experiencing problems arising from proliferation of cheap, imported sugar, putting their continued existence into doubt.
Kisumu Business Association chairman Aba Eban blamed the collapse of the industries on the mindset of the locals, saying the investment approach used by the industrialists did not allow residents to see the industries as their own and, therefore, could not thrive.
Mr Eban added that running of factories had also been hit hard by political interference.
“There was a lot of politics that affected industrial development; basic amenities like accessible roads were lacking for a long time until recently when many roads were opened up,” he sais.
The Chamber of Commerce said that successive national governments had long neglected Kisumu and its environs.
Chairman Israel Agina said the region suffered without core government services which put off investors. He, however, added that devolution signals a change of fortune.
“We now expect the region to grow; there are many investors making mattresses, matchsticks and plastic recycling, among other enterprises,” said Mr Agina.
Challenge
Kisumu Governor Jack Ranguma said most of the stalled industries will be revived and new ones established.
He pointed out that a key challenge facing industries was obsolete equipment with many factories still using machines installed before Independence.
Mr Ranguma said Kicomi, Miwani and Muhoroni are some of the industries that have been earmarked for revival by the county government and that the county will float bids to interested investors.
The governor also cited inadequate supply of raw materials as another challenge.
“We have markets for various products that can be processed from this end. The question we cannot answer potential investors is how to raise the raw material required to run them,” said Mr Ranguma.
He added that production of cotton, sugarcane, sorghum and fish would be improved to boost their supply.
“Kisumu is the next frontier for East and Central African industrial and economic growth. We have mapped our resources, therefore, identifying our unrivalled potential of being the major supplier to the east African and Comesa markets.”
The governor said the manufacture of passenger and cargo ferries was going to revive the dead shipping sector.
“In addition, we have completed the process of land transfer for the brewing factory and negotiations are ongoing for a cotton mill as well as development of appropriate policies for sustainable industrial growth.
“We have signed an MoU for the production of green energy to boost energy supply to industries. We will, of course, sell the surplus to the national grid,” he said.
But Kisumu industrialisation minister Hanif Rana said small industries had come to the city’s rescue, adding that too much focus on the revitalisation of large industries had slowed growth.
“Although big industries have collapsed, we have a number of medium and small enterprises that are employing a large workforce,” said Mr Rana.
The SMEs that the county seeks to promote include animal feed producers, biscuit makers, confectionaries, metal fabricators and leather tanners, among others.
Mr Rana said there were concerns that these dead industrial sectors have created a large pool of well-trained but idle youths.
The county government has also set aside Sh18 million to revamp stalled economic stimulus projects that were designed to boost industrialisation.
“The county industrial development centres will be turned into business information centres after electricity and water supply is fixed,” said Mr Rana.
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