Shipbuilding key to manufacturing agenda, says Uhuru

President Uhuru Kenyatta has emphasised the importance of shipbuilding to the manufacturing pillar of the country's Big 4 development blueprint.

He said the activity will help unlock the country's immense potential in ocean and Blue Economy.

“The direct, indirect and induced impacts of the Mombasa Shipyard will create many jobs, generate diverse investment opportunities and raise revenue for the country.

“The key sub-sectors of the Blue Economy, which include maritime transport and logistics, fisheries, as well as shipbuilding and repair, represent low hanging fruits that must be exploited,” Uhuru said.

The Head of State spoke on Friday in Mombasa county where he commissioned the 4000-tonne Kenya Shipyards Limited at the Kenya Navy Base in Mtongwe.

At the event, also attended by former Prime Minister Raila Odinga, Uhuru said the new shipyard heralds a new chapter in East Africa's shipbuilding industry, saying that the slipway will generate hundreds of new high-value jobs.

He said the new shipyard, the largest in the region, will be able to serve public and private commercial shipping needs.

This is by designing and building new vessels, as well as undertaking repairs, among other specialised maritime services.

At the same time, Uhuru expressed concern over hurdles that still hinder the potential to leverage the sector for the country’s benefit, including failure to keep abreast with changes in emerging markets.

“This untenable situation, quite apart from rendering us regionally and globally uncompetitive, locks our people out from exploiting and benefiting from this sector.

“This is the case even where we have historical and contemporary competencies which have been left idle to our detriment,” he said.

In this regard, the President directed responsible state agencies to formulate a comprehensive national training programme that will produce 4,000 qualified seafarers.

Further, Uhur called for the establishment of an open ship register, ship repair and building incentives, a bunkering and chandelling package as well as the exploration of fiscal possibilities of zero rating taxation on imported fishing vessels.

To maximise economic benefits of the Mombasa Shipyard, Uhuru urged coastal counties to draw up strategies for strengthening commercial maritime activities such as fishing, tourism and transport.

“By so doing, it will be possible to unlock the enormous business potential that abounds within Kenya’s territorial waters and the coastal strip,” he said.

On its part, he said the national government will continue to collaborate with stakeholders, including foreign governments in the sustainable use of the Kenya's ocean and Blue Economy resources.

“With high quality facilities in Kisumu and Mombasa, I urge Kenyans to fully utilise them (shipyards) to repair, maintain and service their boats, and also to construct new ships and boats locally,” he said.

In his address, Defence Cabinet Secretary Eugene Wamalwa said the commissioning of the Mombasa Shipyard is a major milestone in the work of the Kenya Shipyards Limited, which has a similar facility on Lake Victoria in Kisumu county.

“Once operational, the shipyard will help to unlock business and economic opportunities within the coastal region and the country as a whole,” Wamalwa said.

Chief of Defence Forces Gen Robert Kibochi said one of the most important benefits of the Mombasa Shipyard is skills transfer.

“We have currently trained close to 150 specialised teams in various areas, including specialised welding, which is critical to shipbuilding and we look forward to start (ship) production at this particular facility,” Kibochi said.

Several Coast leaders led by Mombasa Governor Ali Hassan Joho and Mvita MP Abdulswamad Sharrif Nassir attended the commission of the new shipyard.

(edited by Amol Awuor)