Ruto Declares End to Raw Mineral Exports, Pushes for Local Processing

0

According to the President, the government is engaging investors to establish processing and refining facilities in Kenya.

Photo: Courtesy.

By Robert Mutasi

President William Ruto has announced a major shift in Kenya’s management of its natural resources, declaring that the government will no longer allow raw materials, including minerals, to be exported for processing abroad.

The President said the decision had been adopted as government policy and would require investors to undertake value addition locally as part of efforts to create jobs and increase wealth within the country.

Speaking in South Horr, Samburu County, during a thanksgiving ceremony for Devolution Principal Secretary Michael Lenasalon on Sunday, Ruto said Kenya must stop exporting its natural resources while importing finished products at higher prices.

“We have taken a policy decision that we will no longer export raw materials. We are going to process all minerals available in Kenya,” the President said.

Ruto said the policy would cover a range of minerals, including soda ash, gold and lithium. He argued that Kenya had for years lost significant economic opportunities by allowing raw materials to leave the country before value was added.

According to the President, the government is engaging investors to establish processing and refining facilities in Kenya. He cited plans for a refinery in Lamu and facilities that would process gold and other minerals locally.

“We are working with Dangote so that we can have a refinery in Lamu so that we can have refineries of all our minerals in Kenya,” Ruto said, referring to Nigerian billionaire Aliko Dangote.

The President also defended his decision to close Tata Chemicals’ operations in Magadi, Kajiado County, saying the move was linked to what he described as an exploitative arrangement that denied Kenya a greater share of the value generated from its resources.

Ruto claimed that under the previous arrangement, only a small proportion of the value remained in Kenya while most processing took place abroad.

“People took away our minerals, leaving us with five per cent and process 95 per cent abroad, and then we go and buy the finished product expensively,” he said.

The President said the resource would instead be advertised afresh, allowing multiple companies to compete for opportunities rather than allowing one firm to dominate its exploitation.

“We will advertise afresh. Many companies will bid, four, five or six or 10, so that they can use that mineral to create jobs, add value and create wealth,” he added.

Ruto also defended the government’s decision to securitise the Road Maintenance Levy Fund to finance road construction. He questioned why the fund, which has existed since 1999, had not delivered sufficient road infrastructure in regions such as Samburu.

The President further turned his attention to the 2027 General Election, saying he expected the polls to mark a turning point in Kenya’s political history by ending tribalism, political insults and exclusion.

He said his working arrangement with former Prime Minister Raila Odinga, which resulted in the formation of the broad-based government, was intended to promote national unity and bring an end to politics based on ethnic divisions.

Ruto urged Kenyans to elect leaders based on their plans, policies and vision rather than their ethnic or regional backgrounds.“We don’t have a chance for politics of division and tribalism,” he said.

The President also pointed to Lenasalon’s appointment as an example of what he described as the benefits of political cooperation across ethnic and regional lines.He directed provincial administrators and village elders in Samburu to educate residents on the importance of equality and equitable development, particularly through education.

“A child of a parent here in South Horr and a child in Muthaiga will be equalised if they learn,” Ruto said.The President maintained that his administration would continue implementing development projects across the country, with equity and equality remaining central to its agenda.

The proposed raw-material policy, if fully implemented, could significantly reshape Kenya’s extractive sector by encouraging domestic processing, industrialisation and job creation.

However, its success is likely to depend on the government’s ability to attract investment, establish adequate processing infrastructure and create a regulatory environment that balances local value addition with investor confidence.

About Author

Leave a Reply

Your email address will not be published. Required fields are marked *