Kenya opens new markets for avocado farmers
Kenya has exported its first batch of avocados to India as the country seeks to expand its market in Asia. CNBC Africa is joined by Okisegere Ojepat, Farmer & Chief Executive Officer, Fresh Produce Consortium of Kenya.
Tue, 19 Sep 2023 10:23:01 GMT
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AI Generated Summary
- Kenya sends its first avocado shipment to India, marking a breakthrough in accessing Asian markets and paving the way for expanded trade opportunities.
- Kenya emerges as the sixth-largest avocado exporter globally, projecting significant growth prospects in capturing a larger market share in Europe, Middle East, Africa, Far East, and beyond.
- Kenyan avocados stand out for their superior quality attributes, propelled by conducive climatic conditions, year-round production capacity, and a skilled workforce, giving the country a competitive edge in the international market.
Nairobi, Kenya has marked a significant milestone as it exported its inaugural batch of avocados to India, signifying a pivotal moment in the nation's efforts to broaden its market reach in Asia. The move comes as the culmination of extensive discussions and negotiations over the past six years, with Okisegere Ojepat, Farmer & Chief Executive Officer of the Fresh Produce Consortium of Kenya, expressing elation at the breakthrough. The trial shipment of 400 kilos served as a litmus test for the market, paving the way for forthcoming commercial volumes. With plans to dispatch over a thousand 40-foot containers to India in the upcoming season, Kenya aims to leverage this newfound opportunity to not only empower its growers but also bolster its economy. Ojepat underscored the significance of this development, highlighting the potential to inject more resources into the pockets of Kenyan farmers, particularly benefiting youth and women in the agricultural sector.
Reflecting on Kenya's current trade trends, Ojepat outlined the country's burgeoning status as the sixth-largest avocado exporter globally, with ambitious aspirations to ascend to the top tier. Existing export destinations span across Europe, the Middle East, Africa, including South Africa and Egypt, and now expanding into the Far East. With eyes set on further penetrating markets in China, Japan, and Korea, the avocado industry in Kenya has witnessed a commendable growth, raking in approximately 15 billion Kenyan shillings over the last two years. Forecasts suggest an annual increase of 30 to 40 percent as Kenya amplifies its orchards and market outreach to meet escalating demand.
While acknowledging the competitive landscape dominated by South American nations in the Asian markets, Ojepat emphasized Kenya's unparalleled advantage in avocado quality. Boasting optimal climate conditions characterized by 12 hours of daylight and night, coupled with temperatures exceeding 20 degrees on average, Kenyan avocados offer a superior taste profile coveted worldwide. The equatorial positioning of Kenya enables year-round fruit production, with strategic irrigation techniques driving supply consistency. The country's investment in skilled labor and technologically-driven agriculture ensures a seamless production process, positioning Kenyan avocados as a hallmark of excellence in the global market.
In navigating the competitive arena, Kenya leverages its negotiation prowess and branding strategies to assert its presence and accessibility in international markets. A core emphasis is placed on facilitating export logistics through established infrastructure like the port of Mombasa, aligning with the goal to support fellow East African nations in export ventures. While challenges such as India's 30% duty on Kenyan avocados persist, collaborative efforts within the East African Community aim to amplify bargaining power and consolidate shipment volumes for enhanced market competitiveness.
Addressing concerns about international market demands and compliance standards, Ojepat underscored the imperative of adherence and collective action among stakeholders to maintain quality assurance. Noting past instances of quality control lapses, he stressed the resolve of Kenya's avocado industry to uphold stringent standards and rectify any shortcomings swiftly. Embracing a collective ethos within the East African Community, Kenya seeks to leverage synergies and solidarity to fortify its position as a leading avocado exporter on the global stage.
As the avocado remains a perennial favorite among consumers as a versatile superfood, Kenya's foray into the Asian market signals not just a lucrative business opportunity but a testament to the country's agricultural prowess and potential for sustained growth. With steadfast determination and a commitment to excellence, Kenya's avocado industry is poised to scale greater heights and carve a niche for itself in the vibrant landscape of international trade.