Tax incentives for the textile industry of Kenya

Kenya has started offering tax incentives to clothing companies, a key part of it’s under performing manufacturing sector, to create jobs and provide affordable new clothes for the domestic shoppers.

The textiles industry is now allowed to sell 20% of their annual production locally without sales taxes and without paying import duties on the materials and equipment used to produce the textiles and garments.

The advent of cheap, second-hand clothes imports from the US and Europe, locally known as mitumba, in the 1980s, put local apparel firms out of business and reduced production of raw materials like cotton.



Copyright 2017   Design: PTJ Graphics