3. KCIDA
Investment Profile
i
LIST OF FIGURES ii
LIST OF TABLES iv
Statement from CEC-Finance, Economic Planning & ICT v
Statement from the Board Chairman vi
ACKNOWLEDGEMENT vii
EXECUTIVE SUMMARY viiI
CHAPATER 1 1
Introduction 1
CHAPTER TWO: SECTOR PROFILES 5
1. AGRICULTURE. 5
A. Crop production 5
I) Traditional cash crops. 5
Kakamega Tea Factory-Shinyalu 5
II) Non- traditional crops. 6
B. Fish Farming. 7
C. Livestock. 7
D. Apiculture. 8
2. WATER, ENVIROMENT AND NATURAL RESOURCES 10
I. Water 10
II. Natural Resources 10
a) Kakamega Forest 11
3. TOURISM 14
I) Kakamega Forest National Reserve 14
4. CULTURE 23
5. ENERGY 26
6. TRANSPORT 26
7. HOUSING 28
8. TRADE 29
9. HEALTH 30
CHAPTER 3: INVESTMENT PROMOTION AND PROTECTION 31
3.1 About KCIDA Limited 31
3.2 Investment Promotion Laws and Regulations 32
3.3 Kenyaâs Foreign Investment Protection Act (FIPA) (CAP. 518) 32
3.4 Other Laws; 32
3.5 Investment Incentives 33
3.6 Protection 33
3.7 Right to private ownership and establishment 32
3.8 Contact us 34
Contents
4. KCIDA
Investment Profile ii
List of Figures
Figure 1 : Shinyalu Subcounty Map 2
Figure 2 : Tea farming in Shinyalu 5
Figure 3 : Tea Factory 6
Figure 4 : ONE COW INITIATIVE COW PROJECT: Deputy Governor Prof.
Philip Kutima (2nd L) hands over a cow to a farmer at Shibuye market
in Shinyalu 8
Figure 5 : Ongoing construction of Nandamanywa water project 10
Figure 6 : Aerial View of Kakamega Forest 12
Figure 7 : Mukombero roots, tree and processed product 12
Figure 8 : White colobus monkey at Rondo Retreat Kakamega Forest 14
Figure 9 : Isiukhu Waterfall in Kakamega Forest 16
Figure 10 : Different birds species found in Kakamega Forest 27
Figure 11 : The Crying stone in Ilesi 18
Figure 12 : Butterfly rearing-Esecheno (Kukha C). 19
Figure 13 : Canopy walks across the forest 19
Figure 14 : Some of the Snake species found in the Kakamega forest 20
Figure 15 : Chimpanzee sanctuary in Congo 20
Figure 16 : Example of modern Cable cars which can be installed at the
Kakamega forest 21
Figure 17 : Waterfall adventure â Isiukhu 21
Figure 18 : Example of a Five-star Hotel(s) around Ikhongo Murwi
(crying stone) and the Forest 22
Figure 19 : Kambiri Hills 22
Figure 20 : Bull fighting sport at Malinya 24
Figure 21 : Intangible cultural heritage-UNESCO 25
Figure 22 : Ilesi Potters and Ceramics 25
Figure 23 : Kakamega Airstrip - one of the investment enablers in the
County 27
Figure 24 : H.E Dr Wycliffe Oparanya, Governors Sospeter Ojaamong
of Busia and Dr. Wilbur Ottichilo of Vihiga County, Kakamega Deputy
Governor Prof. Philip Museve Kutima, several MPs, MCAs and other
senior government officials attending the ground breaking ceremony
of upgrading of the Kakamega Air Strip. 27
5. KCIDA
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Figure 25 ; The Isukuti dancers in the Subcounty 28
Figure 26 : Khayega Market Source: Kakamega County website. 29
Figure 27: Shamakhubu Hospital under construction 30
7. KCIDA
Investment Profile
v
The County Government of Kakamega priority is
to ensure there is development across all its Sub-
Counties in line with the developed blueprints
such as, The Big 4 Agenda, Kenya Vision 2030
and the County Integrated Development Plans.
The Governor of Kakamega County, H.E Dr.
Wycliffe Oparanya in his term has ensured that
infrastructure has been improved in all Sub-
Counties to enable investment to thrive.
KCIDA Ltd was created through an Act of the
County Assembly of Kakamega in 2018 to coordinate investment in the
County.
Shinyalu Subcounty is the beauty of the Green Jewel. Kakamega forest is
the second largest tropical rain forest in East and Central Africa after congo
forest, and the Crying stone which is the symbol of Kakamega County is
found in Ilesi. The Kakamega Airstrip which is currently being upgraded by
the Kenya Airport Authority (KAA) is also in Shinyalu
Kambiri Hills have been designated as a County Cultural Heritage which
deserves protection by H.E Dr FCPA Wycliffe Ambetsa Oparanya on 21st
September,2021.
Tea is the main cash crop grown and the County Government is in the process
of constructing a Tea Factory in Madala. Several initiatives have been put in
place to improve tea production to increase the raw materials.
The Subcounty Investment Profile outlines many opportunities that
investors, both domestic and foreign could easily tap into and we encourage
the Diaspora community to take advantage of this opportunity and channel
resources to Kakamega.
Dr Beatrice Sabana
CECM-Finance, Planning & ICT
STATEMENT FROM THE
CEC-FINANCE, PLANNING & ICT
8. KCIDA
Investment Profile vi
K
akamega County Investment and Development
Agency Ltd is mandated to promote investment
opportunities and attract investors to Kakamega
County. Each Subcounty has a unique competitive
advantage due to several factors and for this reason,
the Agency has come up with different initiatives to
highlight major investment opportunities in Shinyalu
Subcounty
The role of the board is to ensure that the Agency achieves its mandate and
stakeholder engagement is key. The development of the profile involved a
field assessment where administrators and community representatives were
tasked to come up with investment opportunities in Shinyalu.
KCIDA LTD mandate is get an investor(s) to equip and operationalize the Tea
factory and market Shinyalu as an investment destination and to market the
subcounty as a tourist destination. Industrialization spurs development in
several sectors including, job creation and improvement of livelihoods of the
local community.
I would like to appreciate the board of directors, management of KCIDA
LTD and the stakeholders involved in the preparation and editing of this
profile. We hope that it will act as a guide to the Subcounty in realizing
their full investment potential. The agency will establish a seamless and well-
coordinated facilitation services to investors as all levels and sectors.
Prof. Nelson H Wawire
Board Chairman-KCIDA Ltd
STATEMENT FROM
THE BOARD CHAIRMAN
9. KCIDA
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vii
I
wish to express my sincere gratitude and
appreciation to H.E the Governor, Hon. Dr. FCPA,
Wycliffe Ambetsa Oparanya for the projects
that he has implemented which have transformed
the livelihoods of the residents of Shinyalu. The
infrastructural developments done with the County
Government have created an enabling environment
to foster economic growth and investment. I also
thank H.E the Deputy Governor, Prof. Philip Museve
Kutima, who provided valuable input towards the
production of this profile.
I also acknowledge the CECM - Finance, Economic Planning & ICT, Dr. Beatrice
A. Sabana, County Secretary Ambassador James Ochami, Ag. Chief Officer
Finance, CPA Samson Otieno, and Ag. Chief Officer Economic Planning and
Investment, Mr. Dan K. Borter for their facilitative role and the support in the
preparation of the Subcounty profile.
Special Thanks to the Board Chairman, Prof. Nelson Wawire, and the Board of
Directors of KCIDA Ltd (Ambassador James Ochami, Dr. Wilfred Buyema, Ms
Prisca Otipa, CS Damary Angulu, CS Vivian Mmbaka and Mr. Fanuel Wemali)
for their input in the preparation of the Shinyalu Subcounty Investment
profile.
I wish to appreciate the Subcounty Administrator and his team for their
critical role they gave the team during the data collection period and the
participation of the staff and stakeholders at the Subcounty in enriching the
contents of Shinyalu Subcounty Investment profile.
I sincerely thank the team of Economists and Statisticians and the staff
of KCIDA who were involved in data collection, collation and the overall
preparation of this profile.
IamequallygratefultotheDirectorCommunicationMr.SumbaJuma,Director
Governorâs Press Unit, Mr. Peter Atsiaya, the County Graphics designer, Mr.
Brian Munai and the entire team from the department of communication
and Governors Press Unit for ensuring that the quality of this profile is nicely
done.
Ag. Chief Executive Officer
Ms. Elizabeth Asichi
ACKNOWLEDGEMENT
10. KCIDA
Investment Profile viii
T
he Kakamega County
Investment Agency Limited
(KCIDA) was created by an Act
of the Kakamega County Assembly,
known as, The Kakamega County
Investment and Development
Agency Act, 2018.
Shinyalu Subcounty is one of the
twelve subcounties in Kakamega
County and is located in the central
part of the County. It borders Malava,
Lurambi and Ikolomani Subcounties
and has an approximate population
of 167,637 (KNBS, 2019) with an
approximate area of 445.5 km2
. The Subcounty has fertile soils
that support crop and livestock
production and tea is the major cash
crop grown in the Area.
The Agency has identified
investment opportunities in line with
its mandate stated in section 5 (c) of
the KCIDA Act, 2018. The following
are Investment opportunities in
Shinyalu Subcounty per sector;
InAgriculture,teafarmingisthemain
cash crop grown in the area. The
County Government of Kakamega
has proposed the construction,
equipping and operationalization
of a tea factory in Madala, Shinyalu
and has put several initiatives to
promote tea development and
ensure sustainability of the sector
such as; increased production of tea
per unit area through distribution
of seedlings to farmers, strong
cooperativessocietiesthatchampion
and manage farmersâ needs and
Improvement of Infrastructure in tea
growing areas.
Other opportunities in agriculture
include, construction of warehouses
with driers for grain storage and
assembly and supply of agricultural
machinery and equipment,
indigenous tree nurseries, value
addition for bananas, soya beans,
groundnuts and traditional herbs
cultivation such as mukombero
farming
Investment opportunities in fish
farming include provision of fish cold
storage facility within the Subcounty,
fish aggregation centers, Supply of
fishing equipment, establishment
of a fish hatchery, establishment of
fish farms, cage farming along river
Isiukhu and provision of insurance
facilities for farmers.
Investment opportunities in the
livestock sector include; dairy
farming, animal feed processing
plants, provision of breeding
services such as AI services,
installation of Milk coolers and
pasteurizers, operationalization of
Muvishi Dairy Cooperative cooler, AI
service providers, Biogas installation
and generation, agrovet outlets,
establishment of modern slaughter
house, construction of meat and
EXECUTIVE SUMMARY
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pork processing plant
Shinyalu Subcounty has the
largest coverage of Kakamega
Forest in Kakamega County and
it has encouraged apiculture as
an economic activity. Investment
Opportunities include; Packaging
and sale of processed honey,
Modern beehives manufacturers,
Operationalization of the Shinyalu
Honey Processing plant, Outlets for
Beekeeping equipment and honey
harvesting kits and Bee wax can be
used to make candles and other
byproducts.
The County government through
its program âAmatsi khu mukuruâ
has established Nandamanywa
Water Supply Project. Investment
opportunities include water bottling
anddistributionfromnaturalsprings,
water reticulation bore hole drilling,
tank installation and distribution
and installation of water harvesting
systems.
Shinyalu Subcounty is endowed
with natural resources from the soil
types that encourage tea as a cash
crop, mineral deposits such as gold,
River Isiukhu, waterfalls, springs, and
the Kakamega forest among others.
Mukombero (Whiteâs ginger, Mondia
whitei) is a perennial, woody, rather
vigorous climber with aromatic
roots. It occurs in moist forests,
such as the Kakamega tropical
rainforest. This plant is connected
to the identity of Luhya people in
Kakamega County. Given its proven
benefits, investors are encouraged
to explore cultivation of this species
because; Fresh or dried leaves are
cooked and eaten as vegetables,
Dried and powdered, the leaves and
roots are used as spices for food and
tea, the root barks can be sold raw as
it is eaten raw as a snack or to freshen
the mouth, manufacture of medicine
and herbs as it is believed to have
healing properties: The leaves are
used to treat hypertension, stroke,
anemia, asthma, hangover, mastitis,
and allergies, and are also taken to
improve sleep, enhance urination,
and, infertility in men and ease birth
pains. It is also used as Animal fodder.
In the tourism sector, Shinyalu is
endowed with a unique bio-diversity
being the Subcounty that hosts
Kenyaâs only tropical rainforest. This
beautiful forest is home to a plethora
of species which include: over 380
species of trees, 330 species of birds,
27 species of snakes, 7 primates, over
400 species of butterflies and several
mammals. Tourism activities include;
adventure tourism, bird watching,
Nature walks, camping, film-making,
research, education tourism and
health/herbal tourism. Located in
Ilesi, the crying stone has emerged
to be one of the major attraction
sites to many visitors and locals
holding the historical traditions of
the community.
Other Investment opportunities to
support tourism in the Subcounty;
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Investment Profile x
carhireservices,travelandtourguide
services, cultural villages, wildlife
farms, tourism and hospitality
colleges, tourism resorts and home
stays. To support eco-tourism
opportunities, include butterfly
rearing, animal sanctuary, snake
park, chimpanzee sanctuary, canopy
walks, eco-lodge construction and
5-star hotels.
In culture, bull sport is a unique
cultural heritage tourism sport which
is very famous in Shinyalu where
thousands of spectators gather
to watch and the Isukuti dance
which is a traditional celebratory
performance practised among the
Isukha and Idakho communites.
Since 28th November 2017, the
dance has been inscribed on the List
of Intangible Cultural Heritage in
Need of Urgent Safeguarding.
Investment opportunities in the
energy sector include; establishment
of biogas plants out of crop residues
and livestock waste, manufacturing
andmarketingofcharcoalbriquettes,
assembling and marketing of
solar units and tapping the sun to
generate solar power
Under transport, Kakamega airstrip
is currently being expanded by
Kenya Airports Authority to handle
international flights and cargo
planes.
Opening up of roads in rural areas
in the 10km per ward project of
road maintenance and linking them
to markets and other facilities has
increased convenience of movement
and reduced the cost of travel. The
County government has upgraded
to bitumen standards, 5.7 km of
khayega- Shinyalu road.
Investment opportunities in the
housing sector include; construction
of low and medium cost housing
units, partnerships with financial
institutions and landowners in
providing housing estate, and
construction of commercial units.
Investment opportunities in trade
include; wholesale and retail,
distributors, supermarkets, business
apprenticeship and training, finance
and business credit provision.
Under health, completion of the on-
going construction of Shamakhubu
Hospital will enable the Subcounty
to have one functional level 4 facility.
Opportunities include provision of
Specialized hospital services such
as dental, optical and radiology
facilities /clinics, nursing homes and
establishment of a funeral home/
mortuary
Kakamega County has established
the County Revenue Agency which
has one-stop center for registration
of permits and licenses enhancing
the ease of doing business.
KCIDA Ltd has equally developed
the County Investment Policy. The
Kakamega County Investment
and Development Agency Ltd,
collaborates with the national body
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xi
governing Investments in Kenya,
The Kenya Investment Authority
(KenInvest).
KenInvest is responsible for
promoting and facilitating local and
foreign investments and issuing an
investment certificate, which allows
the holder to start operations as they
seek other licenses and permits.
The County Government of
Kakamega offers several investment
incentives to attract investors in the
County. This includes and not limited
to land for investment, improved
infrastructure to access site, 3-Phase
Power and access to water, among
other incentives as may be approved
by the County Executive Committee
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1.0 Introduction
Shinyalu Subcounty is one of the twelve sub counties in the County and
is located in the central part of the County. It borders Malava, Lurambi and
Ikolomani Subcounty. The subcounty majorly hosts the Isukha sub-tribe of
Kakamega County. The Subcounty has fertile soils that support crop and
livestock production and tea is the major cash crop grown in the Area. The
Subcounty also hosts the Kakamega Forest National reserve as well as the
famous tourist attraction site, the Crying stone (Ikhongo Murwi)
CHAPTER ONE: INTRODUCTION
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Administrative units No. of Wards
No. Ward Population
1 Isukha North 23,496
2 Murhanda 28,285
3 Isukha South 35,807
4 Isukha Central 34,545
5 Isukha East 17,939
6 Isukha West 19,412
No.of Village units 19
No. of Community areas 38
Area(km2) 445.5
Population(2019 census) Male 80,853 167,637
Female 86,784
Intersex -
Population Density (Km2) 402
Number of Households 39,589
Number of Households in
Farming
Total 31,632
Crop Farming Maize 29,188
Sorghum 795
Potatoes 1,929
Beans 24,310
Cassava 7,001
Sweet Potatoes 10,833
Green grams 585
Bananas 20,403
Cabbages 1,154
Tomatoes 1,321
Onions 4,052
Sugarcane 7,627
Table 1 : Shinyalu Subcounty Fact sheet
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CHAPTER TWO: SECTOR PROFILES
1. AGRICULTURE.
Agriculture is a major driver of economic growth in Shinyalu Subcounty
hence need for emphasis on investment. The agricultural sector is structured
along the following lines;
A. Crop production
I) Traditional cash crops.
Tea farming
Tea is the major cash crop since it is grown in small scale and large scale.
Figure 2 : Tea farming in Shinyalu
Considering that the Sub County neighborsVihiga County and Nandi County
which hosts large tea companies such as Mudete Tea factory and Kaimosi
Tea Estate, these factories provide ready market for the tea produced in the
Subcounty.
Kakamega Tea Factory-Shinyalu
The County government of Kakamega is constructing a tea factory in Madala,
Shinyalu Sub County and is seeking investor(s) who will equip, operationalize
and manage the Tea Factory.
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This is a greenfield project, that will be of three lines, each of capacity 50 tons
of green leaf per day.
The factory will have processing machines for both black (CTC) and orthodox
tea. For black tea, the process is cut, tear and curl (CTC) before undergoing
fermentation, while for orthodox tea the leaf is pounded by rollers and does
not undergo fermentation.
The County Government has put several initiatives to promote tea
development and ensure sustainability of the sector such as;
i. Increasedproductionofteaperunitareathroughdistributionofseedlings
to farmers. In the FY 2020/21, 12,000 tea seedlings were distributed to
farmers
ii. Strong cooperatives societies that champion and manage farmersâneeds;
iii. Improvement of Infrastructure in tea growing areas.
Figure 3 : Tea Factory
II) Non- traditional crops.
Maize and beans create the main food crops in the Sub-County. Bananas, soya
beans, beans, groundnuts, kales and horticulture are some of the traditional
crops produced in the Subcounty. Value addition to the crops will decrease
perishability and encourage the development of agro-processing industries
in Shinyalu.
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Investment Profile
Investment opportunities in crop production include
⢠Horticulture
⢠Value addition to bananas
⢠Whiteâs Ginger (Mukombero) cultivation
⢠Large scale production on soya beans, beans and maize
B. Fish Farming.
The Subcounty has 168 fish farmers with 426 fish ponds and 174 fish cages
(KNBS Census 2019)
With the operationalization of the Lurambi Fish Factory, farmers are urged
to increase production of fish by increasing the number of ponds, and
embracing modern technology in fish farming to improve yield.
The County Government has been offering subsidized fish feed to reduce the
cost of production
Investment opportunities in fish farming
To enhance and improve fish farming in Shinyalu Subcounty, emphasis need
to be put on;
a) Provision of fish cold storage facility within the Subcounty
b) Fish aggregation centers
c) Supply of fishing equipment
d) Establishment of a Fish hatchery in the Subcounty (Tilapia and catfish)
e) Establishment of fish farms
f) Cage farming along river Isiukhu.
g) Provision of insurance facilities for farmers
C. Livestock.
The Subcounty has 2,995 households rearing exotic dairy cattle whereas 905
householdâs rear exotic beef cattle. In addition, 14,180 household are rearing
29,978 numbers of indigenous cattle in the Sub- County.
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Figure 4 : ONE COW INITIATIVE COW PROJECT: Deputy Governor Prof. Philip
Kutima (2nd L) hands over a cow to a farmer at Shibuye market in Shinyalu
Investment opportunities include;
1. Dairy farming
2. Animal feed processing plants
3. Provision of breeding services such as AI services
4. Installation of Milk coolers and pasteurizers
5. Operationalization of Muvishi Dairy Cooperative cooler
6. AI service providers
7. Biogas installation and generation
8. Agrovet outlets
9. Establishment of modern slaughter house
10. Construction of meat and pork processing plant
D. Apiculture.
Shinyalu Subcounty has the largest coverage of Kakamega Forest in
Kakamega County and it has encouraged apiculture as an economic activity.
There are 428 beekeepers and 2,131 beehives (KNBS, 2019). Apiculture is a
good alternative for small scale farmers as it generates income and requires
minimal input in terms of land, labor and capital.
Honey from Shinyalu is medicinal as the environment that the bees harvest
22. KCIDA
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Investment Profile
pollen is around the only natural tropical rain forest in Kenya with many
indigenous flowers and trees that are medicinal.
Bees are critical in biodiversity in terms of crop pollination e.g., Avocado
farming depends on bee pollination for better yields.
Investment Opportunities include;
a) Packaging and sale of processed honey
b) Modern beehives manufacturers
c) Operationalization of the Shinyalu Honey Processing plant
d) Outlets for Beekeeping equipment and honey harvesting kits
e) Bee wax can be used to make candles, honey beer, honey wine
Other opportunities in Agriculture in Shinyalu include:
a) Silk worm rearing which will be supplied to Ikolomani silk processing
plant (Silk worm machine).
b) Fruit pulping machine and vegetable driers at Shinyalu market
c) Storage facilities for cereals/grains in Lubao
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2. WATER, ENVIROMENT AND NATURAL RESOURCES
I. Water
The County government through its program âAmatsi khu mukuruâ
has establishedThe NandamanywaWater Supply Project in Shinyalu in
partnership with the World bank which is a key flagship water project
in Kakamega County.
Thewaterprojectwillprovideanenablingenvironmentandencourage
investment in Shinyalu as availability of water is key for businesses to
thrive.
Investment opportunities include
⢠Water bottling and distribution from natural springs
⢠Water reticulation
⢠Bore hole drilling, tank installation and distribution.
⢠Installation of water harvesting systems.
Figure 5 : Ongoing construction of Nandamanywa water project
II. Natural Resources
Shinyalu Subcounty is endowed with natural resources from the soil
types that encourage tea as a cash crop, mineral deposits such as gold,
River Isiukhu, waterfalls, springs, and the Kakamega forest among
others
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a) Kakamega Forest
The forest is recognized as the eastern-most relic of the Guineo-
Congolian lowland rainforest belt, which once stretched from Kenya
across Uganda, East and Central Africa to the West African coast.
Situated in Western Kenya, 35 km from Lake Victoria, Kakamega Forest
is an exclusive sanctuary for an extraordinary variety of endemic flora
and fauna, including insects, reptiles and birds which are not found in
other parts of the country. An estimated 10 - 20% of the animal species
in the forest are unique to this forest. It is also an important watershed
for some of the rivers that flow into Lake Victoria. The forest is very
useful to the people living around it, as a source of timber, fuel wood,
herbal medicines, building materials, food and land for farming.
The first demarcation of the forest boundary was carried out around
1908-10, when the forest was managed under the Local Native Council.
The discovery of gold in the district led to the Kakamega gold rush
of the early 1930s, thus many parts of the forest were opened up to
gold prospectors.With the rapid increase in the need for pit-props, fuel
wood and timber, the first exploitation of the forest for timber took
place.
Theforestcoversabout230km2,andlessthanhalfofthisareacurrently
remains as indigenous forest.There are numerous grassy clearings and
glades. Large mammals are rare in the forest, but the extensive variety
of birds, reptiles and insects make it a specialist eco-tourism attraction
for bird watchers and wildlife photographers. Part of the forest also
contains unique and rich highland ecosystems, but generally the
fauna and flora of the Forest have not been studied comprehensively.
The forest experiences a very wet climate, with over two meters of rain
annually.The rainy seasons are April-to-May and August-to September.
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Figure 6 : Aerial View of Kakamega Forest
b) White Ginger (Mukombero)
Mukombero (or Whiteâs ginger, Mondia whitei, in the family
Apocynaceae) is a perennial, woody, rather vigorous climber with
aromatic roots. It occurs in moist forests, such as the Kakamega tropical
rainforest which is in Shinyalu Subcounty
Figure 7 : Mukombero roots, tree and processed product
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Investment Profile
For many years, communities living adjacent to Kakamega Forest have
been using the root bark of mukombero in different ways, ranging
from chewing the raw roots to mixing root powder with porridge
to increase appetite. This plant is connected to the identity of Luhya
people in Kakamega County. They used to chew the roots for good
luck before performing a difficult task. Mukombero is still consumed
by both young and old people. It is a symbol of peace and a sign of
power.
Because of its wide use in African traditional medicine, Mukombero
has become endangered. Because the root is the most popular part,
harvesting destroys the plant. Efforts are underway in some places to
increase the cultivation of this species in order to relieve pressure from
wild populations and create a sustainable market for it
Mukombero is easily cultivated from seed. The seeds are collected as
the fruit starts to split open. They are sown at the onset of the rainy
season, and harvest takes place between April and September.
Through the Kakamega Natural Forest Catchment Conservation
Organization, KANFCCO, Mukombero farmers in Kakamega County
are in talks to sign a deal to supply 100 metric tonnes of the herbal
root to Germany every year. Together with the Kakamega County
government, department of environment and natural resources, has
been mandated to ensure sufficient Mukombero is being produced
across the region to meet this growing export demand by encouraging
farmers to cultivate the plant.
Investment opportunities of Mukombero (White Ginger)
Given its proven benefits, investors are encouraged to explore
cultivation of this species because;
a. Fresh or dried leaves are cooked and eaten as vegetables.
b. Value addition to make spices - Dried and powdered, the leaves
and roots are used as condiment to add flavour to food and tea.
c. The root barks can be sold raw as it is eaten raw as a snack or
to freshen the mouth. The flavor is initially bitter and spicy but
becomes sweet after chewing.
d. Manufacture of medicine and herbs: It is believed to have healing
properties: The leaves are used to treat hypertension, stroke,
anemia, asthma, hangover, mastitis, and allergies, and are also
27. KCIDA
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taken to improve sleep, enhance urination, and, infertility in men
and ease birth pains.
e. It is also used as Animal fodder
3. TOURISM
Shinyalu is endowed with a unique bio-diversity being the Subcounty
that hosts Kenyaâs only tropical rainforest.
Figure 8 : White colobus monkey at Rondo Retreat Kakamega Forest
I) Kakamega Forest National Reserve
Shinyalu Sub County hosts the only tropical rain forest in Kenya
that stretches across Central Africa. This beautiful forest is home to
a plethora of species which include: over 380 species of trees, 330
species of birds, 27 species of snakes, 7 primates, over 400 species
of butterflies and several mammals. Mammals including bush pigs,
giant forest hedgehogs, colobus monkeys, Debrazzar monkeys and
pottos and some of the birds to be seen include the Blue Headed Bee
Eater, Black Billed Turaco, Turnerâs Eremomela and Grey Parrots. Bird
watching, hiking and rock climbing can be explored.
KakamegaForestReserveissituatedapproximately1.6-22.4kmeastof
Kakamega town. The forest was declared a forest area by Proclamation
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No. 14 of 13th February 1933 which set aside 23,777.3 hectares as
Kakamega Forest, along with Malava Forest block. Currently it covers
an area of about 19,792.4 hectares in size after several excisions over
time and creation of Kakamega National Reserve.
Key features
⢠Small but lovely Isiukhu fall.
⢠The giant tree on Mukangu trails.
⢠The nature trails with labeled trees of interest and pollinator
garden near KEEP office.
⢠The only remnant in Kenya of the once great tropical rainforest
that stretched across central Africa.
⢠Home to several hundreds of species of birds, snakes, monkeys,
bushbucks, duikers, countless tree species and natural glades.
⢠The species include: over 380 species of trees, 330 species of birds,
27 species of snakes, 7 primates, over 400 species of butterflies
and several mammals.
Tourism activities in Rainforest areas
⢠Adventure tourism
⢠Bird watching
⢠Nature walks
⢠Camping
⢠Film-making
⢠Research tourism
⢠Education tourism
⢠Health/herbal tourism
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II) The crying stone (Ikhongo Murwi)
Located in Ilesi, the crying stone has emerged to be one of the major
attraction sites to many visitors and locals holding the historical
traditions of the community
Figure 11 : The Crying stone in Ilesi
The gigantic towering basil has a unique phenomenon where water
streams down from its top. The myth has it that it is the transfixed
image of a jilted woman who keeps mourning about what befell her.
Investment Opportunities that can be explored to boost Eco-
tourism in the County explored include;
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The County Government of Kakamega is negotiating with KFS to have
Chimpanzees from Congo tropical rain Forest to Kakamega to promote
tourism in Kakamega
Figure 14 : Some of the Snake species found in the Kakamega forest
Figure 15 : Chimpanzee sanctuary in Congo
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Figure 16 : Example of modern Cable cars which can be installed at the
Kakamega forest
Figure 17 : Waterfall adventure â Isiukhu
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Figure 18 : Example of a Five-star Hotel(s) around Ikhongo Murwi
(crying stone) and the Forest
Figure 19 : Kambiri Hills
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III) Kambiri Hills
Kambiri Hills in Shinyalu Sub- County has been designated as a County
Cultural Heritage by H.E Dr FCPA Wycliffe Ambetsa Oparanya on 21st
September,2021,asaCountyculturalheritagepropertywhichdeserves
protection. The Hills are an outstanding illustration of convergence
during migration era of diverse communities-Elgon Maasai, Kabras,
Isukha and Nandi; unique flora with varying values and some useful
indigenous endemic plant species; varied species of fauna; natural and
cultural landscape with scenic splendor.
Kambiri hills are esteemed for mythology by host community. One is
a particular rock sacredly eschewed for its sound which is a harbinger
of particular tidings in society. The local community uses the hills for
sacred and ritual purposes. The site is suitable for hill climbing, picnic,
adventure and expansive scenic view of Kakamega forest and Kisere
forest.
Other Investment opportunities to support tourism in the
Subcounty :
⢠Car Hire Services
⢠Travel and Tour services
⢠Cultural Villages.
⢠Wildlife Farms.
⢠Tourism and hospitality colleges
⢠Tourism resorts and home stays
4. CULTURE
Shinyalu Subcounty has communities rich in cultural activities
a) Bull Fighting in Khayega
Bull sport is a unique cultural heritage tourism sport which is very fa-
mous in Shinyalu where thousands of spectators gather to watch. The
sport has rapidly grown in popularity; a league has been established
The County actively supports conservation of this intangible cultural
heritage
Traditionally, the sport honored fallen heroes; accompanied by Isukuti
dance - has since been designated as intangible cultural heritage by
UNESCO
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Figure 20 : Bull fighting sport at Malinya
b) Isukuti Traditional Dances
The Isukuti dance is a traditional celebratory performance practised
among the Isukha and idakho communites of Western Kenya. It takes
the form of a fast-paced, energetic and passionate dance accompanied
by drumming and singing. An integral tool for cultural transmission
and harmonious coexistence between families and communities,
it permeates most occasions and stages in life including childbirths,
initiations, weddings, funerals, commemorations, inaugurations,
religious festivities, sporting events and other public congregations.
The dance derives its name from the drums used in the performance,
played in sets of three â a big, medium and small drum â and normally
accompanied by an antelope horn and assorted metal rattles. A soloist
leads the dance, singing thematic texts in tandem with the rhythm of
the drumbeats and the steps of the dancers, arranged in separate rows
for men and women.
Since 28th November 2017, the dance has been inscribed on the List of
Intangible Cultural Heritage in Need of Urgent Safeguarding.
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Located in Isukha west ward lays the western capital of authentic
pottery in Kenya. Locals have embraced the art of making pots, bowls,
Flower vases and any other wares from clay. Visitors to western Kenya
cannot resist the temptation of sampling the different wares inclusive
various earthenware for home decoration.
5. ENERGY
The most consumed energy by residents in the area include wood
fuel, gas, charcoal and biomass energy. Access to electricity has been a
challenge due poor connectivity occasioned by too high tariff and low
generation capacity.
Investment opportunities in this sector include;
⢠Establishment of biogas plants out of crop residues and livestock
waste.
⢠Manufacturing and marketing of Charcoal Briquettes
⢠Assembling and marketing of solar units
⢠Tapping the sun to generate solar power.
6. TRANSPORT
Kakamega Airstrip is in Shinyalu Subcounty . Kakamega airstrip is
currently being expanded by Kenya Airports Authority to handle
international flights and cargo planes.The Airstrip is an important asset
to the economy of Kakamega County and the region. Its expansion will
boost local businesses and connect the region to the world
The upgrade is to be conducted in two phases which will cost the
government Kshs. 174 million in the first phase, that will include
rehabilitation of the 1.2km runway. In the second phase, the track will
be expanded to 2km.
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Figure 23 : Kakamega Airstrip - one of the investment enablers in the
County
Figure 24 : H.E Dr Wycliffe Oparanya, Governors Sospeter Ojaamong
of Busia and Dr. Wilbur Ottichilo of Vihiga County, Kakamega Deputy
Governor Prof. Philip Museve Kutima, several MPs, MCAs and other
senior government officials attending the ground breaking ceremony
of upgrading of the Kakamega Air Strip.
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Roads and Infrastructure development
Opening up of roads in rural areas in the 10km per ward project of
road maintenance and linking them to markets and other facilities has
increased convenience of movement and reduced the cost of travel.
The County government has upgraded to bitumen standards, 5.7 km
of khayega- Shinyalu road
These initiatives have further eased movement of agricultural produce
and led to the general reduction of cost of motor vehicle maintenance
7.HOUSING
According to the KNBS 2019 Census, 3.9% of households in Shinyalu
Subcounty rent residential houses. Most of these tenants opt to stay
in the neighboring Subcounty, Lurambi since the area has very few
rental units especially for the working population. Standards of living
continue to rise in both urban and rural areas and this is driving the
increased demand new housing and refurbishment of old ones.
Shortage of modern housing units gives an opportunity to for real
estate agents to construct houses for civil servants and the working
population.
Figure 25 ; The Isukuti dancers in the Subcounty
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Investment opportunities in this sector include;
⢠Construction of Low and medium cost housing units
⢠Partnerships with financial institutions and landowners in
providing housing estate
⢠Construction of shopping malls.
⢠Construction materials companies
⢠Partnership with the County government in providing social
infrastructure
8. TRADE
Shinyalu Subcounty hosts some of the major markets in the County
which include Shinyalu and Khayega Markets with installed high flood
lights to increase business hours and boost security.
Figure 26 : Khayega Market Source: Kakamega County website.
Investment opportunities
⢠Whole selling and retailing.
⢠Distributorship of various products.
⢠Construction of shopping Malls
⢠Business apprenticeship and training.
⢠Finance and business credit provision.
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9. HEALTH
Shinyalu Sub County has 19 health facilities comprising of five (5)
health centres and fourteen (14) dispensaries. Completion of the on-
going construction of Shamakhubu Hospital will enable the Subcounty
to have one functional level 4 facility. Health is a priority in all the
development blueprints including Vision 2030, Big 4 Agenda and the
Governorâs Manifesto.
Investment opportunities in this sector include;
⢠Provision of Specialized hospital services and equipment like
X-ray.
⢠Provision of Specialized Non-Pharm equipment/materials.
⢠Establishment of a funeral home/ mortuary.
Figure 26: Shamakhubu Level IV hospital under construction
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3.1 About Kakamega County
Investment and Development
Agency Limited
The Kakamega County Investment
Agency Limited (KCIDA) was
created by an Act of the Kakamega
County Assembly, known as, The
Kakamega County Investment and
Development Agency Act, 2018.
KCIDA Act, 2018 section 5 gives the
Agency the following mandate:
a) hold property and assets on
behalf of the County Government for
the purposes of investment;
b) undertake investments on
behalf of the County Government for
the purposes of generating revenue;
c) identify strategic investment
opportunities for the benefit of the
County;
d) undertake investment
ventures in partnership with other
entities for the benefit of the County;
e) promote economic growth
within the County;
f) advise the County
Government on investment
opportunities; and
g) assist and facilitate investors
to establish investments in the
county
Protection of all investors in
Kenya is governed by the Kenya
Constitution (2010) contracts
and domestic legislation. These
instruments provide substantive
protections and allow private
enterprises to freely establish,
acquire, and dispose of interest in
business and enterprises
The term âMulembe Nationâ is
usually used to refer to Western
Kenya Community who are
friendly and welcoming.
KakamegaCountyhasestablished
the County Revenue Agency
which has one-stop center for
registration of permits and
CHAPTER 3:
INVESTMENT PROMOTION AND
PROTECTION
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licenses enhancing the ease of
doing business.
3.2 Investment Promotion Laws
and Regulations
The major regulations governing
investment in Kenya as a whole
are found in the Investment
Promotion Act (2014). The Act
aims to promote and facilitate
investment by assisting investors,
for instance, in obtaining the
relevant licenses and incentives.
The County Government though
theCountyAssemblyofKakamega
developed the Kakamega County
Investment and development
Agency Act, 2018 to provide for a
legal and institutional framework
for promotion and co-ordination
of investment by the County
government of Kakamega and
for connected purposes. KCIDA
Ltd has equally developed the
County Investment Policy.
TheKakamegaCountyInvestment
and Development Agency Ltd,
collaborates with the national
body governing Investments in
Kenya, The Kenya Investment
Authority (KenInvest).
KenInvest is responsible for
promoting and facilitating local
and foreign investments and
issuing an investment certificate,
which allows the holder to start
operations as they seek other
licenses and permits.
The holder is also entitled to three
work permits for management
and technical staff, as well as three
others for owners, shareholders,
partners and dependents.
Both are for an initial but
renewable two-year period.
3.3 Kenyaâs Foreign Investment
Protection Act (FIPA) (CAP. 518)
Guarantees capital repatriation
and remittance of dividend and
interest to foreign investors. They
are free to convert and repatriate
profits, including un-capitalized
retained profits
3.4 Other Laws;
Important regulatory institutions
for investment in Kenya include
the Central Bank of Kenya
(CBK), Export Processing Zones
Authority (EPZA), which manages
EPZs that provides investors
with tax incentives, facilitates
operating environment and
good physical infrastructures; The
Capital Market Authority (CMA)
among others
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3.5 Investment Incentives
The Kenya Government offers
fiscal incentives to attract both
local and foreign investors.
SEZs and EPZs offer special
geographically based incentives.
The County Government
of Kakamega offers several
investment incentives to attract
investors in the County. This
includes and not limited to
land for investment, improved
infrastructure to access site,
3-Phase Power and access to
water, among other incentives as
may be approved by the County
Executive Committee
3.6 Protection
Kenya has a steadily improving
environment for foreign direct
investment (FDI). Foreign
investors seeking to establish
investment generally receive the
same treatment as local investors
and multinational companies
make up a large percentage of
Kenyaâs Industrial sector.
The County Government
encourages stakeholder
engagement as a way of investor
facilitation to enable businesses
to thrive and improve the ease in
doing business in Kakamega.
3.7 Right to private ownership
and establishment
Private enterprises can freely
establish, acquire and dispose of
interests in business enterprises.
The Kenyan legal system is
flexible on exit options which
are normally determined by
agreement between one investor
and the others.
Other regulations relating to
performance requirements,
expropriation and compensation,
protection of property rights,
insolvency, competition
law, bilateral investment
agreements and remittance
policies can be accessed from
the Kenya Investment Authority
publications available from the
KenInvest website.
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3.8 Contact us
KCIDA has a call/inquiries desk which is open for stakeholder
engagement. For further inquiries and clarifications, our contact
addresses are as follows:
Chief Executive Officer
Kakamega County Investment and Development
Agency Limited
P.0 BOX 662-50100
KAKAMEGA
Email: CEO-investment@kakamega.co.ke
Website: www.kcida.co.ke
Telephone: 0705050506
