section_path: Economy/Industry and manufacturing
section_name: Industry and manufacturing
paragraph_text: Industry and manufacturing
  
  Although Kenya is a low middle-income country, manufacturing accounts for 14% of the GDP, with industrial activity concentrated around the three largest urban centres of Nairobi, Mombasa, and Kisumu, and is dominated by food-processing industries such as grain milling, beer production, sugarcane crushing, and the fabrication of consumer goods, e.g., vehicles from kits.
  
  Kenya also has a cement production industry. Kenya has an oil refinery that processes imported crude petroleum into petroleum products, mainly for the domestic market. In addition, a substantial and expanding informal sector commonly referred to as jua kali engages in small-scale manufacturing of household goods, auto parts, and farm implements.
  
  Kenya's inclusion among the beneficiaries of the US Government's African Growth and Opportunity Act (AGOA) has given a boost to manufacturing in recent years. Since AGOA took effect in 2000, Kenya's clothing sales to the United States increased from US$44 million to US$270 million (2006). Other initiatives to strengthen manufacturing have been the new government's favourable tax measures, including the removal of duty on capital equipment and other raw materials.
  
  In 2023, Kenya is in the process of constructing five industrial parks that will operate tax-free, with an anticipated completion date set for 2030. Additionally, there are intentions to develop an additional 20 industrial parks in the future.