The State Department for Cooperatives has allocated Sh20 million for the second phase of modernisation at Luanda Ginnery in Busia county, aiming to boost the cotton industry and stimulate economic development in rural areas.
The funding will support the installation of two additional ginning machines, a cotton drying unit and spare parts, to ensure uninterrupted operations at the facility, which is managed by Luanda Cooperative Society.
Secretary of administration at the ministry, Amos Mariba, underscored that the initiative aligns with the government’s Bottom-Up Economic Transformation Agenda.
“This project is not just about upgrading equipment, it’s about generating employment, uplifting farmers and reviving rural economies.
“We believe cooperatives can be a cornerstone in driving Kenya’s industrial progress,” Mariba said during the handover of the project to the contractor.
The ginnery, situated in Samia subcounty, is the only operational cotton processing facility in Busia, serving growers from the county and neighbouring parts of Siaya.
The new investment follows the successful completion of Phase I, which involved Sh80 million in upgrades to refurbish infrastructure and acquire basic machinery.
Mariba noted that the contractor is expected to complete the installation and commissioning of the new machines within three months, in time for the upcoming cotton harvest.
The additional capacity is projected to significantly enhance the facility’s efficiency and output.
He also mentioned that the ministry is pursuing legal reforms focused on revitalising the cotton and cooperative sectors.
Key legislative proposals are under review in the Senate, aimed at positioning cooperatives as central players in production, processing and marketing.
“These reforms are intended to maximise value from farm to factory. With supportive policies and the right infrastructure, cotton can become a key driver of rural transformation,” he added.
Recognising that cooperatives are a devolved function, Mariba said the proposed laws also seek to better integrate county cooperative officers into national-level strategies to ensure a unified push for sectoral revival.
David Ogea, secretary of the Cooperative, praised the government’s efforts, saying the ginnery had been dormant before support from the national administration helped restore operations.
“We are very grateful for this support. The ginnery had collapsed, but thanks to the government’s intervention, we are back on track,” Ogea said.
He urged local farmers to embrace cotton farming to ensure a steady supply of raw material for the facility’s operations.
“Our biggest hurdle right now is sourcing enough cotton. Most of our current members are older, so we’re encouraging the youth to take up cotton farming. It’s a profitable venture,” he said, adding that the society was paying Sh72 per kilogramme upon delivery.
by FAITH MATETE
