Kenya is considering building a new modern shipyard in either Kisumu or Mombasa under a public-private partnership (PPP) model to cash in on the growing demand for building and vessel repair in the region.
The State Department for Shipping and Maritime is seeking to recruit a consultant to assess its viability.
A consultant is also expected to choose the ideal location for the shipyard in the two cities.
“The State Department for Shipping and Maritime Affairs intends to develop a state-of-the-art shipyard facility to cater for the increasing demand of shipbuilding and repair services within the country and beyond,” said the department in a tender call.
“The consultant will carry out a feasibility study to determine the technical, economic, financial, environmental and social viability of the project for implementation under the PPP framework.”
Kenya already runs shipyards in the two cities. But the proposed shipyard would be the first to be built under the PPP model, which would see it privately run for a set period.
Under a PPP framework, the government provides support to a project with assets such as land and credit guarantees while private players bring capital and expertise. Kenya has in recent years been striving to grow its nascent shipbuilding industry, leading to the establishment of the Kenya Shipyards Limited in September 2022.