COUNTY GOVERNMENT OF SIAYA

Investment opportunities in Siaya County

Office of the Governor Siaya County. P.O. BOX 7,SIAYA Email : siayacounty2013@gmail.com

FOREWORD The formation of devolved units in Kenya through the Constitution has opened up new frontiers for investors in the counties. Siaya Countys economy has experienced stagnation due to underutilization of resources leading to high poverty rates, poor health indicators and food insecurity. This is despite the county enjoying good climatic conditions, vast natural resources like land and available human capital that are essential in nurturing investment opportunities. The county government is keen on exploiting the available human and natural resources through investing in priority projects spread out in various sectors. By increasing capital injection in the agricultural sector through mechanized farming, food processing and irrigation, the county will produce food enough for consumption and export. Improvement of investments within the tourism sub-sector will provide linkages to transport, food production, retail trade and entertainment industries leading to growth and accelerated development. This will in turn lead to the improvement of the quality of life for all the citizens of the county in line with aspiration of the Kenya Vision 2030. As the Governor, I wish to assure investors that Siaya County is safe, secure and politically stable for sustained economic development. My government will fully serve the county citizens by creating good governance structures and promoting conducive environment for Public Private Partnerships (PPP) as well as viable joint ventures. The county government welcomes investors to Siaya as an ideal destination for investment, trade and tourism. The government will do everything necessary to ensure that investors reap maximum returns from their investments. This booklet identifies investment opportunities within sectors in the county and offers incentives for PPPs, joint ventures and sole entrepreneurship. On behalf of all Siaya County residents, I assure all investors the necessary support.

His Excellency, Hon. Cornel Amoth Rasanga The Governor, Siaya County.

BACKGROUND OF SIAYA COUNTY Siaya County is situated in Kenya, along the shores of Lake Victoria and it borders Busia, Kisumu and Kakamega Counties. It covers an area of 2,350 square kilometers with a population of 842,304 people as per 2009 census. Politically, it is organized into 6 constituencies namely: Ugunja, Ugenya, Alego-Usonga, Gem, Bondo and Rarieda and is easily accessible by air, road, water and rail. Within the county there are a number of urban centres including Siaya, Bondo, Ugunja and Yala towns as well as numerous vibrant market centres. Notable geographical features in the County include: Lake Victoria, the Worlds second largest fresh water lake; Lake Kanyaboli, the second largest ox-bow lake in Africa; River Yala; River Nzoia and numerous wells, dams, swamps and streams. Siaya County has numerous islands such as Ndeda, Mageta, and mountainous ranges like Got Ramogi and Got Abiero. The County enjoys a moderate equatorial climate characterized by bimodal rainfall patterns influenced by local relief systems and the expansive Lake Victoria. The weather is not only conducive for agriculture due various types of soils, ranging from black cotton, sandy loams to laterite including red volcanic soils but also for livestock rearing, fishing, tourism and wildlife conservation activities.

COUNTY FACT SHEET

AREAS OF OPPORTUNITY Siaya provides countless opportunities to invest due to diversification of the economy and private sector development within the county. The following is a description of Siayas fast growing sectors for which there remains clear potential. These include the sectors of; fisheries, which is a major income generating sector in the county; infrastructure, for which the government is keen to underpin the countys economic development; agriculture for which remains a potential investment area; tourism, which the government is seeking to exploit and renew; natural resources extraction based on developments in geological exploration; ICT, to ensure improved connectivity in the county leading to improved service delivery and business opportunities. FISHERIES Statistics of 2010 collated from 69 beaches shows that Siaya County had a total catch of 9,000 tons valued at Kshs 836 million. The fisheries sector has a potential of growing with additional investments and proper management. Due to the proximity to the Kisumu International Airport, the county will seek to export its fish products to international markets. To facilitate this, access roads to beaches have been constructed and the county will seek to improve the support infrastructure of the beaches and landing sites to enable faster produce delivery to the market.

The county government has identified key areas of intervention in that will propel the fisheries sector to the much needed prosperity. The following opportunities are available for investment; Upgrade the current high output landing sites into cooling plants and fish auction centres. Establish cage fish farming sites along the shores of Lake Victoria. Establish modern boat and fish machinery building plants. Fish processing factories. Increasing the number of fish farms in the county. The county government will identify and provide land for development, offer tax incentives and provide a secure environment that will assist potential investors in the fisheries industry.

INFRASTRUCTURE. The county has an elaborate road network system that connects the major towns of Siaya, Bondo, Ugunja, Yala and Ndori. These has led to ease of trade within the county and also opened up the county to other markets. The government is keen to improve the road network infrastructure by building access roads within the county through Private-Public partnerships (PPPs) in to ensure that no area in the county is inaccessible by road. Lake Victoria offers immense potential for water transport between Siaya County and other towns within the East African Community. Infrastructure development in the lake transport has been slow leading to inefficiencies and loss of business. The county government is seeking to construct 2 modern harbors in Usenge and Luanda KOtieno to facilitate human and goods transportation. This will open up Siaya to markets in Tanzania, Uganda and Kisumu and Homabay Counties in Kenya thus leading to increase in trade.

TOURISM Siaya County is blessed with numerous tourist and cultural attractions. Notable geographical features in the County include: Lake Victoria, the Worlds second largest fresh water lake; Lake Kanyaboli, the second largest oxbow lake in Africa, numerous islands such as Ndeda, Mageta, and mountainous ranges like Got Ramogi and Got Abiero. The Kogelo Cultural Centre and Jaramogi Oginga Odinga Mausoleum are among heritage sites that attract tourists to the region. Investments in the hotel industry have been robust in the towns like Bondo and Siaya with excellent facilities that provide accommodation and food.

The county is seeking to increase the current bed occupancy rates by establishing beach tourism. To achieve this, investors will be allocated land along the beaches to develop resorts and tourists attraction sites. Adequate security, affordable human resource and wonderful sceneries await those willing to invest in the tourism sector. Siaya tourism is keen on playing a critical role in the Western Kenya tourism circuit that connects Kisumu, Kakamega, Homabay and Migori Counties.

ICT The County government will use ICT as a pillar to propel economic development and enhance service delivery. To implement this program the county will set up an elaborate IT infrastructure and open up communities through building of e-villages. The county is seeking to increase the network connectivity by 50% within the first 3 years by facilitating increased uptake of fiber-optic in the main towns. The Siaya E-government Initiative (SEI) will be coordinated from the Governors office and to increase efficiency within the government structures. Services earmarked for computerization will include business registration, payment of trade licenses and resource mapping. This central coordination will ensure that proper oversight is provided for the project while eliminating bottlenecks through inter-linking various ministries.

NATURAL RESOURCES: Renewable energy Siaya County experiences excellent weather conditions for exploring and developing renewable energy ventures. From carbon trading, solar and wind energy, the county has vast reserves to increase the energy capacity in the county whilst ensuring environment conservation. Companies interested in venturing in solar energy production and development will benefit from energy zones that will be established within the county. These zones will have adequate road networking with proper security. The county government will provide incentives to construction companies that will incorporate green technology in their buildings. Wind power is increasingly becoming attractive in provision of clean energy. The County will alienate areas around the shores of Lake Victoria purposefully designed to increase possibility of tapping the vast wind power.

Hydroelectric power Yala and Nzoia are the main rivers that crisscross the county and provide water and irrigation opportunities. It is also critical that these resources could be tapped to provide hydroelectric power. The Dominion Farms in Yala swamp have already established investments in the sector and more entrants will increase the contribution of the county to the national grid. Gold, Sand and Stone harvesting The county is endowed with gold deposits, sand and stone sites which have remained under tapped for many years. The government will seek partnership with organizations interested in gold prospecting within the county. It will also provide opportunities for consultants that will identify novel ways of tapping the sand and stone resources without negatively impacting the environment.

AGRICULTURE Siaya County enjoys favorable climatic conditions that are conducive for agriculture. Despite this, food production has largely remained a rain-fed venture resulting in a net deficit in grain supply within the county. The agricultural is mainly small scale with production of food crops using non-mechanized techniques. The government has identified food insecurity as a major concern for the county and will seek various interventions to alleviate it. Use of mechanized techniques in crop production will be encouraged to cultivate cash crops like rice, sugar, floriculture etc.

The government will encourage value addition to crops that are produced within the county. These include developing fruit processing industries, packaging and branding commodities from the county and establishing linkages with research institutions to develop better crops. Irrigation is key in ensuring continued food production is maintained in spite of unfavorable weather patterns. The county will develop strategies aimed at allocating lands and incentives including subsidies for farmers venturing in large scale farming. We will ensure the county is food secure by increasing the acreage under agriculture by 50% within the next 5 years.

SUMMARY OF PRIORITY PROJECTS IN SIAYA COUNTY The following table is a summary of priority projects and their respective proposed budget earmarked for Public Private Partnerships (PPPs), joint ventures and sole entrepreneurship within Siaya County. PORTFOLIO/ SECTOR
AGRICULTURE

PROJECTS FOR THE NEXT 5 YEARS

- Promote cash crop farming (Horticulture, Cotton, Sugar Cane, Rice) - Initiate Irrigation farming projects in idle land

PROPOSED BUDGET (KES)

500 Million 200 Million 300 Million

FISHERIES

- Construct Grain storage facilities in each constituency - Upgrade two (2) landing shades into cooling plants and auction Centres (Usenge beach & Wichlum ) - Establish cage fish farming along the shores of Lake Victoria

200 Million

400 Million 500 million 400 million 300 million 100 Million

INDUSTRIALZATION

Establish 2 Industrial and Manufacturing Zones (Upper and Lower Siaya) Construct one fish processing factory Develop SME parks in each constituency

TOURISM

- Identify and initiate tourism niche products (e.g Tourism beaches, Kogelo, Cultural sites, County parks, nature trails, camping sites) - Construction of 5 (five) tourism beach hotels (Yimbo, Sakwa, Asembo & Uyoma)

1 Billion

INFRASTRUCTURE AND TRADE

Construct three (3) modern markets in Siaya, Bondo and Ugunja towns Construction of three (3) Bus termini in major towns. Construct two ship/ferry harbors (Luanda KOtieno & Usenge)

50 Million 500 Million 300 Million

ICT

Setup of County Data and Recovery Centre Establish and roll-out E-Government Network Construct county e-villages in every ward

200 Million 350 Million 500 Million 2.6 Billion 400 Million 500 Million 200 Million

HEALTH

Construct Teaching and Referral Hospital Set up County Medical suppliers agency

ENERGY

Promote hydro-electric power generation projects along River Yala. Promote green energy power generation (Solar, Wind and Biogas)

We welcome you to invest in SiayaThe County of Promise and Wealth!

U.S. President Barrack H. Obama with Mama Sarah Obama in Kogelo, Siaya County