Textbook Publishers Struggle with Sh11bn State Debt – KAM

A ballooning The debt owed to textbook publishers and printers, currently totaling Sh11 billion, has disrupted their activities, according t...

A ballooningThe debt owed to textbook publishers and printers, currently totaling Sh11 billion, has disrupted their activities, according to the Kenya Association of Manufacturers.

This, the manufacturers lobbyThe group claims to have halted the production of Grade 10 textbooks.The debt has collected since 2022 and is intended for the publication of eighth and ninth grade textbooks.

KAM is currently calling on theThe government will give priority to funding for CBC textbook publishing and printing in the national budget before the shift to senior school in January 2026.

Failure to do so puts the CBC curriculum implementation is in danger, KAM states, aspublishers and printers are unable to continue with manufacturing as this also impactsproducers and importers in the paper and paperboard industry sub-sector.

The effective execution of the government's plan to provide educational resources to schools depends greatly on publishers and producers in the printing industry who guarantee prompt and efficient book manufacturing.

"Therefore, it is crucial for the government to quickly settle the outstanding bills to avoid a possible textbook supply shortage in January 2026 when schools resume," said Tobias Alando, CEO of the Kenya Association of Manufacturers.

As per KAM, the production of textbooks takes at least 60 days for printing and an additional 30 days for delivery, which means that issuing contracts with little notice affects cash flow, pushing both publishers and printers to use expensive credit options.

"This debt has greatly impacted the financial operations of printers and manufacturers, posing a major risk to the ongoing implementation of the CBC curriculum, particularly for Grade 10 students who are set to move to senior school in January 2026," Alando stated.

In addition to giving priority to funding for publishing and printing in the national budget, themanufacturing industry advocacy group has also suggested the allocation ofLetters of Credit (LC) for all contracts with the Kenya Institute of Curriculum Development (KICD), to provide protection for publishers and, in turn, printers.

It has also urged the immediate release of contracts, taking into account the time needed for printing and distribution.

Traditionally, alThe paper used for textbook printing is imported. with printers bringingin raw materials, including paper, well in advance, often before the KICD awards publishingcontracts.

In most instances, the imported and fully paid stock stays in warehouses for up to six months or more., KAM notes,while waiting for KICD to assign printing jobs to publishers and, subsequently, to printers leading to unnecessary cash flow issues.

“The typical credit period provided by suppliers is usually 90 days, beginning on the date of the Bill of Lading. Nevertheless, 45–60 days are typically taken up by shipping and customs procedures, resulting in approximately 30 days remaining after the goods have been cleared. Within this timeframe, a large part of the supplier's credit period has already passed.,” Alando explained.

The printing sThe sub-sector is essential in backing Kenya's educational syllabus through the creation of textbooks and additional learning resources., with gThe government's objective of providing these materials is carried out by KICD, which is funded by the state and grants contracts to publishers to develop, print, and distribute approved textbooks for different grade levels.

Publishers, in turn, hire printers to create the books, which are subsequently returned to the publishers for delivery to schools.

Over the last six years, in line with the Competency-Based Curriculum (CBC), publishers have distributed over 200 million textbooks, mainly to public schools throughout Kenya.

CContractual agreements between KICD and publishers are linked to the effective distribution of books to schools.

This implies that publishers are only entitled to full payment once they have verified the delivery, which causes a delay in payments to printers.

Therefore, printers need to finish production and wait for payment until publishers have completed their delivery responsibilities and obtained the funds.

“This process frequently leads to payment delays that last more than six months, which is significantly longer than the credit terms provided by international suppliers of printing materials. In certain instances, because of logistical and operational difficulties encountered by publishers, printers have faced payment delays exceeding a year.,” Alando said.

To tackle these challenges, KAM suggests the creation of a harmonioussAn enhanced procurement framework to improve turnaround times for book delivery to schools and alleviate cash flow challenges throughout the supply chain.

It has also called forThe printing of school textbooks should be eligible for VAT zero-rating in order to alleviate cash flow difficulties and reduce the total cost of books.

The book printing sector in Kenya includes over 10 significant printers, capable of manufacturing more than 250 million books each year.

Likewise, the workbook and office supplies category comprises more than 10 manufacturers, able to produce approximately 60,000 metric tons of goods annually.

Meanwhile, the Kenyan publishing sector includes more than 106 registered publishers, which collectively represent over 95 percent of all publications in the country.

Thepaperand paperboardsectoris divided into three main sub-sectors to encourage integration within the value chain: paper manufacturers, paper converters, and printers along with related industries.

Together, these sub-sectors account for an approximate investment of almost Sh100 billion.

Provided by SyndiGate Media Inc.Syndigate.info).