Kenafric, a manufacturer of stationery, footwear, confectionery, food, Biscuits and beverages, has expanded into the East African market following the acquisition of Economic Industries Ltd.
The acquisition, which received unconditional approval from the Competition Authority of Kenya (CAK), officially took effect on Tuesday, bringing Economic Industries Ltd under Kenafric Manufacturing Limited (KML) in a move that qualifies Kenafric as one of Kenya’s largest stationery manufacturers.
Significantly strengthening its market position. The company plans to use its extensive distribution network to introduce stationery products into Tanzania, Uganda, Burundi, and the Democratic Republic of Congo, the major goal is to scale production, lower costs, and offer consumers better prices while expanding access to quality stationery across East Africa.
“The stationery industry is more than just notebooks and pens—it fuels education, communication, and creativity. By integrating Economic Industries Ltd’s expertise with our established manufacturing and distribution network, we are poised to expand our market, drive innovation, and deliver more value to consumers,” Kenafric Group CEO Mikul Shah, said during the merger celebration at the firm’s stationery plant on Mombasa Road, Nairobi.
Kenafric was already producing and exporting stationery, while Economic Industries Ltd focused on the local market. By bringing their operations together, the two companies create a powerful synergy that allows for increased production capacity, product diversification, and cost efficiencies.
“Economic Industries Ltd has been producing stationery for the local market, while Kenafric has been strong in exports. By combining forces, we can scale up operations, reduce production costs, and make high-quality stationery more affordable,” added Shah.
Following the merger, Bhavesh Shah, the former Managing Director of Economic Industries Ltd, has been appointed Managing Director, Stationery Division, Kenafric Manufacturing Ltd. His leadership will be key in driving the company’s East African expansion strategy.
Kenafric Group Chairman Bharat Shah emphasized the company’s commitment to innovation, sustainability, and market expansion. “We are investing in smarter machinery, data-driven processes, and stronger distribution networks. Automation and real-time analytics will boost efficiency and give us a competitive edge,” he said.
Mr. Bharat Shah stated that the company plans to introduce new product categories tailored to evolving consumer needs, including eco-friendly packaging and advanced school and office solutions, expanding its range while maintaining high-quality standards.
Kenya’s stationery market is projected to grow by 3.6% over the next five years, driven by government initiatives to improve education standards, enhance textbook access, and support children affected by poverty.
With this acquisition, Kenafric is well-positioned to lead the future of East Africa’s stationery industry, offering affordable, high-quality products to meet growing educational and business needs.
