Nairobi — Home appliance and consumer electronics manufacturer VisionPlus Kenya is setting up the first-ever local plant for smart televisions and audio entertainment systems.
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The firm announced its investment in the Kshs 125 million plant to expand its product range, which consists of two initial product lines and is informed by the firm's strategic shift from importing to building locally designed appliances that include smart televisions, refrigerators, audio systems, wearables, and accessories targeting underserved and emerging populations.
Managing Director Umesh Bhojwani stated during today's announcement that the investment in the plant was the first phase of a major ambition to build a 'Made in Kenya' home appliance and consumer electronics range, even as it makes initial forays into the East African region.
"We want to serve the needs of the Kshs 300 billion market consisting largely of young professionals and families who value quality, style, and convenience in their homes. Our analysts project demand for home appliances will grow at about 4 percent annually, with the total volume of products sold in Kenya alone expected to rise to 23 million units by 2029. This exponential growth will be driven mainly by population growth, rapid urbanization, an expanding middle class and changing lifestyles of the rural and urban dwellers," explained Bhojwani. noting that more people are also expected to consider replacing older, less energy-efficient models for newer products engineered to meet modern standards.
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Echoing his remarks, Principal Secretary for Trade in the Ministry of Trade and Industry Alfred K'Ombudo stated that the local home appliance and consumer electronics manufacturing industry stood to benefit immensely from the recently negotiated trade agreement with the European Union and the one with the United Arab Emirates that is awaiting Parliamentary approval for ratification.
"These opportunities will offer Kenyan manufacturers a platform for economic diversification and industrial development, through backward integration and a keen drive to innovate for the local and international markets," said K'Ombudo
He noted that Kenya's attractiveness, despite the high degree of competition, is driven by its access to a broad market of nearly 500 million people through its membership in the COMESA, EAC, ACFTA.
"By building our local home appliance and consumer electronics value chains will create more job opportunities through new skills and technology transfer," he explained.
Moreover, the evolving digital landscape, with increasing internet penetration and mobile phone usage, is creating e-commerce opportunities, by gradually changing how consumers research and purchase appliances, offering a new avenue for engagement and last-mile delivery businesses in the value chain.
