President William Ruto has launched the construction of a KSh70 billion cement manufacturing plant in Ngaaie, Kitui County, pledging to dismantle corruption networks and eliminate bureaucratic barriers that have delayed major investments in the region for nearly 15 years.
The factory, being developed by Devki Group under industrialist Narendra Raval, is expected to strengthen Kenya’s domestic cement and clinker production capacity, create jobs and boost economic activity in the lower eastern region.
Speaking during the groundbreaking ceremony, Ruto said the project marked a major milestone in the country’s industrialisation agenda, turning the region’s limestone deposits into an economic asset.
“For generations, the people of Ngaaie have recognised the immense mineral wealth beneath their feet, envisioning the industrial development and job creation that their local limestone deposits could unlock,” the President said.
He described the investment as a significant addition to Kenya’s manufacturing sector, commending Devki Group for committing capital to large-scale industrial production.
The project comes as the government seeks to increase domestic manufacturing, reduce reliance on imported industrial inputs and retain more economic value within the country.
Corruption in delayed investment
Ruto said the Ngaaie cement project had been delayed for nearly 15 years by bureaucracy, extortion and individuals demanding bribes, kickbacks and unauthorised stakes in commercial ventures.
He claimed several companies, including Bamburi Cement, NRM, East African Portland Cement and Dangote, had previously attempted to establish operations in the area but failed to bring their projects to fruition.
The President cited Dangote’s reported concerns over persistent extortion as an example of the challenges facing investors in Kenya.
He said Raval had remained committed to the project despite the obstacles, enabling the investment to proceed.
“We are fortunate to have a resilient local investor in Devki Group’s Guru Narendra Raval, who stood firm against these extortionists to make this project a reality,” Ruto said.
The President pledged that the government would protect both local and foreign investors against illegal demands and interference.
He said the administration was targeting networks that exploit investors and undermine legitimate commercial partnerships, arguing that predictable regulations and transparent business processes were essential to attracting long-term capital.
Local clinker production
Ruto said the plant would support domestic clinker production, a key raw material used in cement manufacturing, helping reduce dependence on imports and strengthen the local industrial supply chain.
He pointed to the introduction of the Export and Investment Promotion Levy on imported clinker in 2023 as part of the government’s strategy to encourage local production.
According to the President, policies supporting domestic manufacturing must provide long-term certainty for investors while ensuring that increased output benefits consumers through competitive markets and affordable prices.
The investment is expected to expand technical expertise, create skilled employment and provide opportunities for young Kenyans entering the manufacturing and engineering sectors.
However, the extent of the project’s impact on cement prices and import dependence will depend on its eventual production capacity, operating costs and the level of competition in the market.
Infrastructure projects
The President linked the Ngaaie investment to a broader government strategy to expand manufacturing alongside major infrastructure projects, including the planned expansion of Lamu Port, road construction, housing and other industrial developments.
He argued that the projects would create demand for locally manufactured cement, clinker, steel and quarry products while supporting businesses involved in transportation and distribution.
Ruto cited the anticipated construction of the Dangote refinery, which he said would require more than two million tonnes of cement, equivalent to about 20 per cent of Kenya’s current national cement output.
He further said planned port expansions could potentially double national cement demand, creating opportunities for domestic manufacturers to increase production and employment.
The President said the combination of large-scale infrastructure spending and industrial investment would strengthen local supply chains and help Kenya capture more value from its construction sector.
The demand projections, however, will depend on the implementation timelines and scale of the proposed infrastructure projects.
Kitui development projects
Ruto also highlighted ongoing infrastructure and development projects in Kitui County, including a modern market in Mwingi Town, 300 housing units, Kenya Medical Training College hostels, the Bondoni-Kanziku road corridor and Enziu Bridge.
He said nearly 200 kilometres of roads had been contracted in the county, adding that the projects were part of a nationwide construction programme intended to improve rural connectivity and support balanced regional development.
The President said the construction drive would create employment for graduates from universities and technical and vocational education and training institutions while increasing demand for locally produced construction materials.
He added that improved roads and transport infrastructure would help open up rural communities, facilitate trade and strengthen links between industrial centres and markets.
Dangote’s Kenya Pipeline investment
The President also defended the transparency of share purchases in Kenya Pipeline Company, following questions surrounding Nigerian billionaire Aliko Dangote’s reported interest in the company.
Ruto said Kenya Pipeline shares were publicly listed and available for purchase through the stock exchange, arguing that legitimate share acquisitions should not be portrayed as secret arrangements or preferential treatment.
He accused intermediaries and individuals seeking unauthorised benefits of attempting to undermine commercial partnerships and discourage investment.
The remarks came as the government sought to reassure investors that commercial transactions conducted through established market mechanisms would be protected.
Ruto said the administration intended to dismantle what he described as predatory cartels that obstruct legitimate business activity.
“The era of illegal racketeering, political shylocking, and systemic corruption holding back national economic expansion has come to an end,” he said.
Jobs and economic growth
The Ngaaie cement plant forms part of the government’s wider push to expand domestic production, increase national earnings and create employment through manufacturing and infrastructure development.
By combining access to local limestone with investment in cement production, the project could strengthen Kitui’s role in Kenya’s industrial economy and create opportunities in mining, transport, construction and related services.
The success of the investment will depend on the timely completion of construction, access to reliable infrastructure, market demand and the government’s ability to maintain a predictable regulatory environment.
For residents of Ngaaie and surrounding communities, the immediate expectations are increased employment opportunities, improved economic activity and greater participation in the region’s mineral-based industries.
Ruto said the government would continue supporting investments that expand productive capacity, create jobs and strengthen Kenya’s position as a regional manufacturing hub.
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