There could be a special lower rate of electricity for manufacturers if a recommendation by a cabinet taskforce on power is gazetted.
Industry and Trade Cabinet Secretary Peter Munya says the new policy would see cost of electricity reduce by 30 percent in new efforts to attract more investors to the manufacturing sector.
Munya says the government will zero rate tax on farm inputs sourced from the East African region in a bid to promote intra-regional trade.
Speaking during a tour of Elite Dairies in Ruiru, Kiambu county Munya added that the government will zero rate tax on farm inputs from within the East Africa region in a bid to promote east Africa intra trade and agricultural production.
Farmers were urged to embrace value addition to promote manufacturing one of the country’s big four agendas and generate additional income.
Despite the government injecting an additional 900 mega watts to the national grid in the last 5 years the cost of power in the country has remained high with the many manufacturers paying 21 shillings per kilowatt of power forcing some companies to relocate to other countries with cheaper power costs or close shop all
Elite Dairies founder George Ngugi says there is need for more government incentives to lower the cost of food production in the country.