Kenya’s textile and apparel sector hasthe potential to play a key role in anchoring the country’sdeeper movement into middle income status and in serving asa source of gainful employment for its fast growing, youngpopulation. As a manufactured good, it offers opportunitiesfor increased value capture and streamlined trade logisticsand for the building of skills and experience from thefactory floor to management level. Based on thesefoundations, it therefore serves as a potential gateway toother manufactured goods, offering opportunities for Kenyato capture an increasing share of global trade and toadvance economic diversification. The report is structuredas follows: chapter two describes global and regional markettrends in textile and apparel. Chapter three reviews theevolution, growth, and performance of the apparel sector inKenya and then analyzes the sector in terms of markets,products, and stakeholders. Chapter four focuses on Kenya’sperformance in terms of relevant macro indicators andhighlights the critical constraints faced by apparelmanufacturers and exporters in Kenya. Chapter five concludeswith recommendations. Where possible, chapters end with asummary of key points and conclusions.