KCB Bank Kenya has signed two new agreements aimed at improving the leather sector and helping farmers and businesses earn more from hides and skins.
The bank said the deals are meant to fix some of the challenges that have held back the industry for years, including poor coordination and limited processing.
One of the agreements is with the Kenya Leather Development Council. This partnership will focus on supporting farmers and other players in the sector by improving skills, linking them to markets and helping them access financing.
The second deal brings together KCB, Alpharama Limited and Ranch Experts. Here, the focus is on increasing processing capacity and creating a smoother chain from farmers to factories and eventually to export markets.
Through this, businesses in the sector are expected to get support to grow, especially in areas like processing and manufacturing.
For a long time, Kenya’s leather industry has struggled with gaps along the value chain. Many farmers sell raw hides at low prices due to lack of proper markets and processing facilities.
With the new partnerships, there is hope that things could start to change.
If the plans work, farmers could enjoy more stable demand for their products and better prices. At the same time, businesses in the sector may find it easier to grow and reach both local and international markets.
The move is also expected to help the country get more value from its leather instead of exporting it in raw form.
