Kenya is actively seeking partnerships with Chinese manufacturers to expand its local industrial production through the 3rd China (Linyi)-Kenya International Commodity Exhibition.

• Over 100 Kenyan exhibitors and more than 90 Chinese firms are participating in sectors including industrial machinery, construction, renewable energy, agriculture, automotive, and household goods.
• Key figures include Zhang Dong, President of the Kenya Chinese Chamber of Commerce (Shandong), and Enock Mutai, Member Services and Project Officer at the Kenya National Farmers’ Federation (KENAFF).
• The exhibition aims to foster joint ventures, distributorships, and local assembly operations, specifically highlighting the potential for agricultural mechanization to boost farm productivity and incomes.

Kenya's private sector activity stabilized in June, recovering from three months of contraction as rising sales boosted business conditions.

• The Stanbic Bank Kenya Purchasing Managers’ Index (PMI) climbed to 50 in June from 46.6 in May, indicating a return to stable operating conditions.
• The rebound was driven by stronger customer orders leading to increased new orders and sales, despite ongoing challenges of weak consumer spending and high operating costs.
• Firms remain optimistic about future output due to advertising, technology adoption, and expectations of lower fuel costs, according to Standard Bank Economist Christopher Legilisho.

A group of investors, under Kipenzi Sugar Limited, plans to establish a new Sh1.46 billion sugar factory in Siaya County, Kenya.

• The proposed mill will have an initial cane crushing capacity of 1,250 tonnes per day, expandable to 2,500 TCD.
• The factory will source sugarcane from approximately 10,000 hectares of land cultivated by registered outgrower farmers within a 15-kilometre radius.
• In addition to sugar production, the factory aims to generate 3 megawatts of captive power and utilize by-products for diversification.

Kenya's manufacturers are urging the government to implement significant reforms, including reducing electricity costs and tackling corruption, to boost industrial growth and competitiveness.

• The Kenya Association of Manufacturers (KAM) highlighted high electricity prices as a major impediment to local industries.
• KAM Chief Executive Officer Tobias Alando emphasized Kenya's potential to become a manufacturing powerhouse if these bottlenecks are addressed.
• Manufacturers are also calling for improved logistics, special electricity tariffs for industries, and streamlined licensing systems to lower production costs.