Why Kenyans Need To Take the Agribusiness Industry Seriously

The International Trade Administration (ITA) agrees that agribusiness is the best prospect sector in Kenya. The ITA, which is a US institution mandated to promote the United States trade and investment as well as strengthen the country’s global trade competitiveness views Kenya as a potential for investments in agribusiness.

World Bank’s View on Kenyan Agribusiness

Similarly, the World Bank perceives agriculture as a key aspect of the Kenyan economy noting that by the year 2019, the agricultural industry contributed to a 31.4% reduction in the country’s rural poverty. In fact, the institution further notes that agriculture remains a critical driver of Kenya’s economy- providing employment to about 56% of the workforce between the years 2013 and 2017.

We bring the statics here to illustrate a point. The idea is that agribusiness is a crucial component of Kenya’s growth. Agreeably, the various financial institutions note that there is still room for improvement. This is because, despite the robustness of the agribusiness industry in Kenya, many challenges still derail its performance. What this means is that so much is not yet exploited in agribusiness.

Challenges Evident in Kenya’s Agribusiness Sector

Challenges such as weather-related shocks, consistent issues pertaining to pests and diseases, as well as unavailability or inadequacy of knowledge delivery systems such as lack of extension services hinder the progress of agribusiness.

Even so, many technological advances and government involvement are addressing these difficulties. Ultimately, the Kenyan agribusiness industry will remain a massive area worth considering for investors.

The Reason to Take Agribusiness Seriously in Kenya

The above info gives a brief outlook of the agribusiness sector in Kenya.

With the much importance that the agricultural sector holds, any serious individual who joins the agribusiness industry has a high chance of success. This is the various challenges (which we will undoubtedly discuss in our blog) notwithstanding.

All across the agricultural value chains, room exists for industrious business people, and smart risk takers to explore. One area is in the provision of technological know-how through the conspicuously missing agriculture extension services. The fact remains that with the various pervasive challenges facing agriculture, modern advanced technologies are crucial and commercial farmers will appreciate and work with people that can offer solutions

In our next article, we will provide a list of key agribusiness projects that are worth investing in as the new government takes a step forward in promoting agriculture as poverty eradication, employment, and hunger mitigation measure.