Fresh Produce Consortium (FPC) of Kenya, a trade association in the fresh produce sector, has announced that Kenya earned Sh115.25 billion from fresh produce exports in 2017. This is an 11 percent surge compared to the earnings in 2016.
Speaking at a stakeholders’ breakfast meeting in Nairobi, Okesegere Ojepat the CEO of FPC said the sector withstood the adverse economic and political environment of 2017.
“We laud the resilience of the fresh produce sector in the eye of the political and economic storm witnessed in 2017 and we are happy with the performance. This is the similar resilience that enabled the sector weather the Brexit shock, pointing to the greater potential of the sector,” Mr Ojepat said.
Data released by FPC indicated that the country earned Sh82.24 billion from exporting 159.961 tonnes of flowers representing an increase of 11.6 percent from Sh70.83 billion in 2016.
Fruits and vegetables contributed Sh9 billion and Sh24 billion on export volumes of 56,945 tonnes and 87,240 tonnes in that order. Cut-flower exports remained the largest earner, contributing more than 70 percent of the total annual earnings from fresh produce.
The Consortium consists of 107 members who are exporters, agrochemical companies, suppliers of export and domestic markets, laboratories, financial institutions, agricultural consultants, and horticulture/agricultural associations.
Mr Ojepat also said the total earnings from the fresh produce sector are higher than the figures released because a large portion of the trade in the domestic markets is not accounted for.
Challenges Faced
The fresh produce sector faces problems such as high cost production, lack of extension services, poor flow of information, insufficient cooling facilities, taxations, poor compliance to food safety requirements, and issues with brokers and middlemen.
To solve these problems, the CEO said FPC Kenya was working towards improving information flow among stakeholders, promoting and enhancing market linkages, supporting production systems in counties, encouraging the private sector to invest in the cold chain, and building partnerships with multi-sector firms.
