Kenya signs lease to operationalize Kenanie Leather Industrial Park after 10-year delay
The move ends a decade-long delay that had stalled full utilization of the Sh5 billion facility
The government has signed a landmark lease agreement paving the way for the long-awaited opening of the Kenanie Leather Industrial Park in Machakos County, marking a major breakthrough in efforts to revitalize Kenya’s leather industry.
The move ends a decade-long delay that had stalled full utilization of the Sh5 billion facility, which is now expected to significantly boost local leather production, cut reliance on imports, and generate thousands of job opportunities.
The lease agreement, signed between the Kenya Leather Development Council (KLDC) and the Export Processing Zones Authority (EPZA), was officially announced by the Ministry of Investments, Trade and Industry on Thursday, August 7, 2025.
Cabinet Secretary Lee Kinyanjui, who led the signing ceremony, said the park will play a transformative role in strengthening the leather value chain, increasing exports, and improving livelihoods, particularly for livestock farmers.
He challenged KLDC to collaborate with slaughterhouses to reduce damage to hides and skins and address supply gaps that have forced local shoe and leather producers to rely heavily on imports.
Equipped with modern infrastructure, the Kenanie Leather Park features state-of-the-art tanning units, leather factories, serviced industrial plots, electricity, clean water, ICT services, and a waste treatment facility.
Officials say the park is now positioned to attract investors and catalyze industrial growth in the sector. The lease was signed by KLDC Board Chair Mohammed Adan, CEO Issack Noor, and EPZA executives Richard Cheruiyot and Richard Omelu, in the presence of Principal Secretaries Juma Mukhwana (Industry) and Abubakar Hassan (Investment).
The facility is a key component of the government’s broader strategy to boost manufacturing, create jobs, and add value to local raw materials.
With operations now set to begin, the park is expected to play a central role in strengthening Kenya’s leather supply chain and enhancing the country’s competitiveness in regional and global markets.
