This archive report was first published on 20 August 2021.
On August 20, 2021, Kenya Association of Manufacturers (KAM) expressed concern over Parliament's rejection of the Public Procurement and Asset Disposal (Amendment)( No. 3) Bill.
The Bill proposed to amend the law requiring that all foreign tenders source less than 40% of the materials from local firms, and increase the amount for tenders where Kenyans are given exclusive preference from KSh 500 Million to KSh 20 Billion.
According to KAM, the rejection of the Bill sends a clear message to local manufacturers that the country is not keen on nurturing their businesses.
“By rejecting the Bill, Parliament sends a clear message to local manufacturers, creators and innovators that the country is not keen on nurturing their businesses,” said KAM in a statement.
Phyllis Wakiaga, Chief Executive Officer, KAM, added that the move erodes the competitiveness of Made in Kenya products and gives an unfair advantage to foreign products.
” Policies such as these move contrary to the goals of being a self-sufficient and pushes us further into being a trading nation”, said Phyllis Wakiaga.
President Uhuru Kenyatta had previously directed that 40% of all public procurement be reserved for locally produced goods and services through the Buy Kenya Build Kenya(BKBK) Policy in 2015.
Already, 334 manufactured products have been gazetted by the Cabinet Secretary for Industrialization, Trade and Enterprise Development.
Ms Wakiaga urged parliament to review its decision on the Bill to protect local industries and jobs.
