Kenya plans to restrict the export of certain minerals in their raw form once the ongoing construction of processing plants is completed, marking a significant policy shift aimed at maximizing revenue for the government and local communities.
The Ministry of Mining has announced that gold, gemstones, and granite will be the first minerals subject to this new policy, requiring value addition before export. Kenya has entered into a multibillion-shilling agreement with private investors to establish a gold refinery in Kakamega, costing Sh5.8 billion, along with a granite processing plant in Vihiga County for Sh2.5 billion.
Additionally, the government is reviving fluorspar mining in Elgeyo Marakwet with an estimated investment of Sh4.8 billion and has already operationalized the Gemstone Value Addition Centre in Taita Taveta. The construction of the gold and granite processing plants is expected to be completed by mid-next year, according to Principal Secretary for Mining Elijah Mwangi.
Historically, gold mining in Kenya has been dominated by artisanal and small-scale operations, primarily informal. However, several midsize companies have begun to enter the sector. According to the Economic Survey 2024, Kenya’s gold mining revenue decreased to Sh3.17 billion in 2023, down from Sh3.38 billion the previous year, with the total production falling to 410 kilograms last year from 563.6 kilograms in 2022.
The country is also believed to have significant granite deposits in Vihiga and surrounding areas. Granite is commonly used for kitchen countertops, tiles, terrazzo, monuments, and mantelpieces, among other applications.
