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Kenyan investors join hands with e-commerce firms to spur manufacturing

Source: Xinhua| 2019-09-06 21:05:38|Editor: xuxin
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NAIROBI, Sept. 6 (Xinhua) -- Kenya Association of Manufacturers (KAM) said Friday it has partnered with e-commerce players in the country to boost the access of small and medium enterprises (SME) to local and international markets through e-commerce.

KAM board member and SME Hub Chair, Ciiru Waithaka said the increased attention on SME growth, both at a national and global scale, points to a reckoning that the future of business hinges on their success.

"The unique and dynamic nature of SMEs in the manufacturing sector calls for an adaptive approach in developing policies and interventions that most importantly centers their needs and proposed solutions in the process," said Waithaka at the inaugural event in Nairobi.

She said the partnership will enable industrialists to develop locally rooted, user-driven e-commerce solutions for manufacturing SMEs to drive their global competitiveness.

"It is through partnerships such as these that we can grow small and medium industries to be substantial players in our country's vision for sustainable economic growth," said Waithaka.

KAM recently launched a Manufacturing SME Hub geared towards uplifting micro, small and medium businesses in value addition towards achieving the 15 percent targeted growth of the sector by 2022.

According to KAM, e-commerce uptake in Kenya still remains low despite its immense benefits and thus the partnership seeks to promote the uptake of e-commerce by SMEs to enable them to gain access to global markets and new international customers.

The e-commerce players include Amari Consulting, Jumia Kenya and DHL Express, Grofin Kenya and Amitruck.

Sam Chappatte, managing director of Jumia Kenya said that good internet connectivity, Kenya's e-commerce uptake still remains low.

"Our mission is to leverage technology to grow markets and build marketplaces that solve everyday problems. E-commerce is a fast-growing, low-cost sales channel. We are excited to partner with KAM to support SME growth," he added.

Amari Consulting Co-founder, Abigail Bundi noted that the e-commerce space has radically changed the way of doing business globally.

Bundi said the e-commerce is estimated to be worth more than 70- 120 billion shillings (700 million-1.2 billion U.S. dollars) in the short term and 4 billion in the long-term, thus presenting lucrative business opportunities.

"E-Commerce will enable SMEs lower costs, stay competitive and at the same time, go global by harnessing the power of the Internet and scale," she added.

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