Kenya to invest large sum to revive Rift Valley textile factory
Kenyan President Uhuru Kenyatta, speaking at the launch of Uasin Gishu county infrastructure machines in Eldoret, said that the government is set to invest Kenyan Shillings 600 million (USD 5.8 million) to revive the Rift Valley Textile factory in Eldoret which would help create job opportunities for the youth
Kenyatta further said that developing the country without discrimination was his main priority, despite the latest opinion poll outcome indicating that a majority of Kenyans were dissatisfied with his administration.
Rivatex was incorporated on June 19,1975 and bought by Moi University in 2007. Before going into receivership in 1998 and eventually ceasing operations in the year 2000, the mill used to consume an average of 2,800 tonnes of cotton and 550 tonnes of polyester/viscose resulting in over 15 million metres of fabric per annum.
This signifies the immense potential of the textile plant to break even within a short time.
Before the collapse, it was the leading textile mill in East Africa, with a reputation of producing the best quality fabrics. Despite having been in receivership for over seven years, the gap that Rivatex left remained unclosed.
As of now, most of those clients who sourced their goods from Rivatex are ready to place orders of over USD 3.5 million per annum.
Deputy President William Ruto said that the Jubilee Administration would work closely with stakeholders in the manufacturing sector in order to give a fresh lease of life to the ailing industry.
By expanding the textile plant and purchasing equipment to facilitate manufacturing operations, the government would revive the cotton industry.
The head of state, who is in the North Rift accompanied by his deputy William Ruto, also announced that the government has also set aside Kenyan Shillings 900 million (USD 8.79 million) to improve the New KCC and pay farmers their arrears.