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A worker at Iria-ini Tea Factory in Nyeri. The Economic Survey 2026 notes that the agro-based manufacturing sub-sector contracted by 1.2 per cent. [File,Standard]
The slow growth recorded in agriculture in 2025 crept into the manufacturing sector, whose gross value added ( the value of goods and services produced in the country) grew by two per cent in the period compared to three per cent in 2024.
The Economic Survey 2026 notes that the agro-based manufacturing sub-sector contracted by 1.2 per cent, compared to a 7.9 per cent growth in 2024.
The document lists sugar production as one of the indices of this drop, with output declining by 24.8 per cent to stand at 613,200 metric tonnes in the period.
“In the year 2025, the manufacturing sector accounted for 7.1 per cent of the national gross domestic product (GDP).
Total manufacturing output grew by two per cent to Sh3,817.4 billion, supported by expansion across both domestic‑focused and export‑oriented activities,” the report says.
In 2024, the sector’s contribution to the overall GDP was 7.3 per cent.
The report notes that overall, the sector recorded mixed performances with the growth primarily driven by non-food manufacturing as the food sub-sector registered slowed performance.
Cement production increased from 8.8 million tonnes in 2024 to 10.4 million tonnes in 2025, as production of galvanized sheets also expanded by 16.9 per cent to 328,704 metric tonnes.
“The quantities of basic metals manufactured grew by 4.9 per cent in 2025.”
Assembled motor vehicles grew by 18.5 per cent to 13,692 as production of textiles and clothing, paper and paper products, pharmaceutical products, rubber and plastics, increased as well.
“The sector’s overall growth was, however, constrained by slowed activities across various food-related segments, particularly production of sugar and soft drinks,” the report says.
The volume of processed milk increased from 619.1 million litres in 2024 to 701.5 million in 2025.
Processing of meat and meat products as well as grain milling increased by 9.8 and 3.4 per cent respectively.
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A worker at
Iria-ini Tea Factory in Nyeri. The Economic Survey 2026 notes that the agro-based manufacturing sub-sector contracted by 1.2 per cent. [File,Standard]
The slow growth recorded in agriculture in 2025 crept into the manufacturing sector, whose gross value added ( the value of goods and services produced in the country) grew by two per cent in the period compared to three per cent in 2024.
The Economic Survey 2026 notes that the agro-based manufacturing sub-sector contracted by 1.2 per cent, compared to a 7.9 per cent growth in 2024.
The document lists sugar production as one of the indices of this drop, with output declining by 24.8 per cent to stand at 613,200 metric tonnes in the period.
“In the year 2025, the manufacturing sector accounted for 7.1 per cent of the national gross domestic product (GDP).
Total manufacturing output grew by two per cent to Sh3,817.4 billion, supported by expansion across both domestic‑focused and export‑oriented activities,” the report says.
In 2024, the sector’s contribution to the overall GDP was 7.3 per cent.
The report notes that overall, the sector recorded mixed performances with the growth primarily driven by non-food manufacturing as the food sub-sector registered slowed performance.
Cement production increased from 8.8 million tonnes in 2024 to 10.4 million tonnes in 2025, as production of
galvanized sheets also expanded
by 16.9 per cent to 328,704 metric tonnes.
“The quantities of basic metals manufactured grew by 4.9 per cent in 2025.”
Assembled motor vehicles grew by 18.5 per cent to 13,692 as production of textiles and clothing, paper and paper products, pharmaceutical products, rubber and plastics, increased as well.
“The sector’s overall growth was, however, constrained by slowed activities across various food-related segments, particularly production of sugar and soft drinks,” the report says.
The volume of
processed milk increased
from 619.1 million litres in 2024 to 701.5 million in 2025.
Processing of meat and meat products as well as grain milling increased by 9.8 and 3.4 per cent respectively.
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By Graham Kajilwa