NAIROBI, Kenya – A year after President William Ruto’s ambitious launch of the County Aggregation and Industrial Parks (CAIPs), an Auditor General’s report has raised serious concerns about the progress of these multi-billion-shilling projects.
Initially touted as a game-changer for Kenya’s agriculture and manufacturing sectors, the CAIPs are facing significant delays, financial setbacks, and legal hurdles across several counties.
The audit reveals that in at least 13 counties, the projects have either stalled, fallen behind schedule, or been plagued by issues such as land ownership disputes, incomplete construction, and missing documentation.
These challenges threaten the government’s vision of boosting agro-processing, enhancing farmers’ incomes, and creating employment.
For instance, in Trans Nzoia, the Sh499.2 million industrial park project at Namandala has consumed over half of its allocated budget—Sh264.2 million—by June 2024, but it remains incomplete.
Another project in the county, the avocado aggregation center, is 99% finished but missed its deadline by three months.
Other counties like Kakamega and Busia are also grappling with delays.
Kakamega’s project is held up due to unclear land ownership, while Busia’s park is only 30% complete, missing two deadlines earlier this year.
The report also highlights issues in counties such as Siaya, Homa Bay, and Kisii, where logistical, legal, and financial setbacks have stalled progress.
In Siaya, only a fraction of the Sh484 million budget has been spent, while Homa Bay’s contractor cites flooding as a reason for construction stoppages.
Kisii’s project, located in swampy terrain, faces challenges due to lack of access roads and legal disputes over land ownership.
Despite these setbacks, Trade Cabinet Secretary Lee Kinyanjui remains optimistic, acknowledging the delays but emphasizing that the focus has now shifted from construction to attracting investors.
“We are working closely with governors to organize an investors’ conference and onboard investors to help drive these projects forward,” he said.
The CAIPs were meant to integrate farmers, processors, exporters, and government agencies, strengthening Kenya’s agro-processing sector and providing access to local and international markets.
However, with multiple unresolved issues, the initiative’s future remains uncertain.
Former Deputy President Rigathi Gachagua has also weighed in, blaming the stalling of the project on the removal of Moses Kuria from the Trade Ministry.
Kinyanjui, however, defended the government’s approach, asserting that efforts are ongoing to secure investments and complete the parks.
The CAIPs remain a key part of Kenya’s economic transformation agenda, but with mounting challenges, their eventual success is far from guaranteed.
