Relationship of Kisumu's Industrial Sector to the Resource Hinterland: a Case Study of Kisumu Cotton Mills

Abstract

This study examines the relationship of Kisumu's Industrial Sector to the resource hinterland with the view of identifying critical linkage levels which if improved are likely to promote the development of its hinterland. The study further analyses those factors which have limited the town from functioning effectively as a growth centre in the region. In addition the various development policies are examined in order to determine their effectiveness in bringing about effective rural development in the region. Kicomi an agro-based industry in the town is selected for a detailed examination of the relationships which it has with the resource hinterland and whether such linkages have led to the development or underdevelopment of the region. The study has revealed that Kisumu's industrial sector is to a large extent parasitic to the hinterland because of the predominance of service industries which are exploitative of both human ,and capital resources from the region. The economy of the country is open and externally oriented such that it frustrates the industrial and growth centre strategies adopted. Some of the industrial policies such as maintaining a mixed economy with a very strong private sector often conflict with the dispersion of industries to the rural areas. Effective development of the rural areas in Kenya will depend to a large extent on the review of the existing development policies and the nature of industrial activities that either lead to under-development or development of the given region. In particular, the growth centre strategy as the major means of effecting regional development must be re-evaluated if it is to bring about the desired development. The study has also shown that the use of industrial linkage systems is significant in guiding decisions for location of industries in the country. It is therefore recommended that industrial linkage analysis should form a necessary prerequisite to future industrial location policy.