Unfavorable competition and the weak linkages between Micro, Small, and Medium Enterprises (MSMEs) and formal retail outlets continue to block the East African Community member states from reaping benefits of leather.
- •EAC experts noted challenges such as low volumes of locally produced leather products, limited capacity of tanneries, and insufficient technology and manpower.
- •They highlighted the necessity of developing user-friendly tools and self-assessment toolkits to enhance the capacity of MSMEs to meet international requirements.
- •The importance of fostering public-private partnerships to pool financial resources and support for infrastructure development was also stressed.
Across the globe, leather is one of the most traded agro-driven commodities. At an estimated annual market value of Sh22.8 trillion (USD 200 billion), leather’s revenues are higher than those generated from coffee, tea, rice, rubber, cotton, and sugar combined.
The East Africa’s share of this pie is a paltry 0.24 percent or Sh54.6 billion (USD 478 million) with its contribution to the East African Community (EAC) Gross Domestic Product a mere 0.28 percent, according to the regional bloc’s Leather Strategy Implementation Roadmap for 2020-2030.
The two-day workshop dubbed ‘Regional Focal Persons Workshop to Monitor the Implementation of the EAC Fruits & Vegetables; Leather & Leather Products; and Pharmaceutical Sectors Strategies and Action Plans’ comprised of experts from EAC Partner States, the EAC Secretariat, East African Business Council and representatives from GIZ/GFA.
EAC experts say there is a need for investment and adoption of modern processing technologies to address existing challenges. These challenges include the high cost of production and the production of low-quality leather products. They also recommended development of minimum acceptable standards for hides and skins, integration of quality leather requirements into animal husbandry practices, and implementation of subsidized exchange programs to address limited access to experts in the leather processing section.
- •EAC Secretary General Peter Mathuki, emphasised the progress made in implementing sectoral strategies noting that they are in alignment with Council Directives.
- •Juma Mukhwana, the Principal Secretary for Industry in the Ministry of Investments, Trade, and Industry, Kenya, highlighted the EAC Industrialization Strategy (2012-2032) as a pivotal framework guiding regional development efforts, particularly through strategic value chain interventions.
- •The workshop served as a platform for critical discussions and progress reporting, aiming to identify quick wins and streamline collaborative efforts across the region.
In the fruits and vegetables sector, the experts emphasised the importance of harmonizing agricultural and food safety standards within the region. They highlighted the need to support the development and adoption of a code of conduct for farmers and exporters, aiming to strengthen self-monitoring frameworks. Additionally, the experts stressed the significance of prioritising the development and improvement of quality planting seeds and seedlings.
They also advocated for enhanced data collection mechanisms, utilising digital technology. Recommendations included fast-tracking initiatives using digital and remote sensing for streamlined data collection and advocating for the inclusion of nuts in reports.
Thomas Walter, representing GIZ and GFA, reiterated the organizations’ commitment to supporting sectoral development initiatives in addition to the importance of effective policy measures in enhancing regional trade and economic growth.
