James Finlay Limited Kenya has announced the decision to shut down two Kericho farms due to decreasing flower demand. A letter from the General Manager states that the firm will close Chemirei and Tarakwet farms due to lower demand for flowers in Europe. Oversupply of flowers in Europe has led to a drop in prices of roses.
The firm says the industry has suffered many challenges, including the weakening exchange rate, and extreme weather conditions. As a result, the combination of factors led to high labour costs prompting the closure.
The closure will take effect on 25 December 2019, after which operations on the two firms will cease. Consequently, employees of the two firms will become redundant after the said date. However, junior and Senior management affected by the decision will receive one on one communication from the firm.
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Finlay’s announcement moves farms’ closure date a year earlier. Last year, the firm announced that it would close the two farms by December 2020, citing high labour costs.
“The final closure date will now be 25th December 2019, after which operations on Chemirei and Tarakwet will stop. Employees seconded to Mutrara Plants Limited shall also be affected by the change,” Said Stephen scoot, General Manager at Finlay Flowers.
