Parliament plans to facilitate Rivatex to gain accreditation for the African Growth and Opportunity (Agoa) in an effort to expand the market for its products following the allocation of Sh600 million to modernise its operations to international requirements.
Trade, Industry and Cooperatives committee says Rivatex has completed the modernisation of most of the key departments and acquired equipment after it received funding from the government and development partners.
“Modernisation of the firm is almost complete and it requires support to achieve its target. My team will soon be meeting the Budget and Appropriation Committee and the Ministry of Trade on how to bail the firm to attain financial self-sufficiency,” said James Gakuya, who chairs the Trade, Industry and Cooperatives committee on July 29, when they toured the firm.
He said the accreditation will enable Rivatex to access the US market under the Agoa Act and improve its economic and financial growth.
“Once accreditation is obtained Rivatex will be able to expand its market share considering that the firm is strategically positioned to benefit from emerging opportunities including multimillion shillings Industrial parks,” added Mr Gakuya.
The Eldoret-based textile firm is expected to complete its modernization and acquire specific equipment at an estimated Sh600 million.
The Indian Government earlier granted Sh3.016 billion to the firm to facilitate technology transfer and upgrade the factory to cope with challenges in the global market.
