Overview
Kenya’s President, William Ruto, has officially opened a cutting-edge garment factory in Athi River’s Export Processing Zone (EPZ). The facility, Nexgen Packaging Kenya, is expected to generate 20,000 job opportunities in the East African nation, marking a significant milestone in Kenya’s industrialization journey.
About the Factory
Nexgen Packaging Kenya is a state-of-the-art facility specializing in the manufacturing of garment accessories such as hangers, patches, and woven labels. The factory, backed by the US Agency for International Development (USAID), has been established with a strong commitment to sustainability. It boasts eco-friendly features like solar-powered lights and post lights made from bamboo.
Inauguration Ceremony
On the inauguration day, President Ruto lauded the facility as an embodiment of Kenya’s future. He stated, “This partnership embodies the future of Kenya, a future built on solid investments, with skilled labor, efficient technology, quality manufacturing, and strong linkages with global markets.” The launch event was graced by a ‘Made in Kenya’ expo showcasing 14 Kenyan apparel and textile businesses that have directly benefitted from US support.
Job Creation and Impact on Economy
The new factory, which is expected to create 20,000 jobs, will significantly enhance Kenya’s apparel export capabilities, particularly to the United States. This will contribute to the nation’s foreign earnings. The investment is also a major boost to the local textile sector, which is being revitalized under the government’s Big Four Agenda.
The Role of USAID
The US Agency for International Development (USAID) has played a crucial role in setting up the new factory. The agency has provided some grant to Nexgen Packaging Kenya, demonstrating its commitment to supporting Kenya’s industrialization drive.
Factory’s Global Presence
Nexgen Packaging operates in 19 countries around the world. The Athi River factory will complement its existing operations in Ethiopia, Egypt, and West Africa. This highlights the company’s commitment to expanding its global footprint.
Government’s Support for Manufacturing Industry
President Ruto’s administration has shown strong support for the manufacturing industry. The president mentioned that his administration had reached a decision to reduce electricity tariffs by 50% for night production following numerous requests from investors on the high cost of electricity.
Future Plans
Looking ahead, Nexgen Packaging plans to leverage the facility’s state-of-the-art features and its strategic location in the EPZ to boost its manufacturing capabilities. The company is poised to play a pivotal role in transforming Kenya’s apparel manufacturing sector, contributing to the nation’s economic growth.
Conclusion
The inauguration of Nexgen Packaging Kenya is a significant milestone in Kenya’s industrialization journey. The state-of-the-art factory, which is set to create 20,000 jobs, will play a pivotal role in boosting the country’s apparel export capabilities. The facility’s launch marks a significant step towards realizing the government’s Big Four Agenda, which aims to revitalize the manufacturing sector. With strong support from the government and USAID, Nexgen Packaging Kenya is poised to make a significant contribution to Kenya’s economy.
