Rivatex expects to create thousands of jobs after the modernisation. FILE photo | nmg
Summary
- Rivatex has completed putting up infrastructure where new machines are expected to be installed, paving the way for the process.
- Indian firm Lakshmi Machine Works Ltd will install the new machines in a process that Rivatex targets will give it an edge in the market.
- The modernisation of the two departments is expected to create 10,000 new jobs as it targets to produce textile to meet the local and foreign markets.
Eldoret-based Rivatex Company will this month launch a
multibillion-shilling modernisation using a credit line facility
provided by India.
First Secretary and Head of Chancery
at the Indian High Commission R. Chandramouli says Rivatex has
completed putting up infrastructure where new machines are expected to
be installed, paving the way for the process.
Installation of the machines was delayed until some of the works at the factory are completed, Mr Chandramouli said.
“The upgrade of Rivatex is expected to commence in May as everything is now in place,” he said end of last month.
The official said 20 per cent of the funds have been disbursed
to the factory, which has been underperforming because of obsolete
technology and lack of raw materials.
The money is part
of the Sh3.016 billion the company secured as a grant from the Indian
for technology transfer and purchase of new machines.
The loan was extended to the country following the visit by the Indian Prime Minister Narendra Modi to Kenya in 2017.
Indian
firm Lakshmi Machine Works Ltd will install the new machines in a
process that Rivatex targets will give it an edge in the market.
The
modernisation of the two departments is expected to create 10,000 new
jobs as it targets to produce textile to meet the local and foreign
markets.
The company used to produce millions of tonnes
of fabric before it was placed under receivership in year 2000
following massive mismanagement.
The fabric consisted
of 5.5 million metres of dyed cotton, 7.7 million metres of printed
cotton, 1.17 and 0.55 million metres of dyed and printed polyester
viscose respectively.
Kenya produces 30,000 bales annually against spinning capacity of about 10,000 metric tonnes of lint.
To
bridge the gap, Kenya imports substantial amounts of cotton lint and
seed cake for local textile mills and feed manufacture, mainly from
Uganda and Tanzania.
In 1970s and 1980s when cotton
farming was second in the country in terms of employment after public
service, Bura used to produce 30 per cent of the national production.
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