Base Titanium has partnered with an organisation that connects multinationals to Small and Medium Enterprises (SMEs) in a deal that will see the miner increase tender opportunities for suppliers in Kwale County.
The Memorandum of Understanding (MoU) with Invest in Africa (IIA) is expected to see the non-profit link the Australian multinational to credible local firms that are central to the miner’s operations.
"The partnership was informed by a study that the company commissioned in 2016 to identify gaps in the local content supply chain after noticing that fewer local businesses were applying for tenders," said Base Titanium’s finance and administration manager Sami Chalwa.
A past study by German development agency GIZ linked the promotion of SMEs to a country's socio-economic development, which Base Titanium says it used to provide a framework to help Kenyan businesses to increase their capacity to compete for contracts.
“Following the recommendations by GIZ, we have put in place systems to ensure local suppliers have access to Base’s tender opportunities as well as conducting numerous workshops to ensure better understanding of expectations," he said.
Base Titanium says it spends Sh2 billion of its expenditure on local suppliers annually with Sh1.4 billion going to Kwale-based firms since 2014.