Double blow for Eldoret town as firms close shop

Giant factories like Elgeiyo Saw Mills went under, and with it, 1,000 jobs.

Likewise, other small scale sawmills collapsed. “The ban on logging has had a negative impact on the socio-economic welfare of area residents since it has led to declined revenue generation,” said Mr James Koech, a sawmill operator.

Some sawmillers in the region have since turned into commercial farm forestry, which has proved lucrative.

In the dairy sector, it is the same sad story. It has not picked up despite the revival of KCC and the coming up of private milk processing plants.
Most dairy farmers have diversified to other income generating projects while others have abandoned the venture altogether.

The company sank with millions of shillings owed to farmers.

The town is currently surviving on the tertiary institutions and income from maize, wheat and horticulture.

But the council is optimistic. “Eldoret has began recording economic growth due to collaboration between the public and private sectors that has witnessed tremendous investments in property, especially in the town centre,” Town Clerk Stanislas N. Ondimu said.

The council, he added, had realised increased revenue, enabling it to provide quality services. “The speedy approval and transfer of property has boosted investor confidence resulting in rise in development of commercial and residential houses,” he said.

The town links the rest of the country to western Kenya, Uganda and Sudan.

“Investors either buy old buildings, which they renovate, or buy plots and build,” said Mr Kiprono Tum, a real estate agent.