Avocado Farming Business in Kenya Under Threat

The future of avocado farming as a business in Kenya lies squarely on the ability of Kenyan farmers to produce a consistent supply of quality fruits. That statement sounds simple, but take this to the bank; if we mess up on quality, it will only be a matter of days before we are thrown out of the international market and that’s the only market sustaining this business. 

One of the quality aspects that avocado farmers in Kenya must be keen on is to ensure that they harvest their fruits only when they are mature. As a farmer, when you harvest and sell immature fruits, you not only get paid peanuts but also put the reputation of our products at stake. Immature fruits are a turnoff to importers, retailers and consumers of Kenyan avocados. A consistent supply of such fruits may lead importers in the international market to develop a dislike for Kenyan avocado or probably anything Kenya.

Suspected immature avocados harvested for export

This means continued export of these fruits will make us not only loose on our current market but also loose prospective ones and in the end, all our efforts turn to waste.

How to tell that your avocados are mature

It is a bit difficult to determine if an avocado fruit is truly mature by just looking at it. But here are some indicators that will help you:

• The fruit loses its glossiness (the shiny appearance) and becomes duller.
• The seed coat becomes thin and brown instead of fleshy and white.
• The stem end of the fruit turns yellow.
• The stem end (the stalk) is not too firmly attached. However, take note that avocados with stalks that are too loosely attached are also too mature for export.
• Immature avocados have a specific weight (this is a unit of comparing the actual weight of an avocado to its volume) of 1.02-0.95g/cm3. While those that mature have a specific weight of 0.95- 0.85g/cm3. There is a special machine for measuring this.
• Immature avocados sink or float below the surface of water while mature avocados float on top of water

Determination of Dry Matter/ Oil content in avocados

This is the widely accepted scientific method of determining mature fruits. This can be done through the microwave oven method. The main disadvantage is that it is very tedious and time consuming. One person can hardly test 20 fruits in a day. This is the main method used by avocado exporters in Kenya.

Machine used to determine maturity of avocados
through measuring the dry matter content

For many exporters in the country, the urgency to harvest and export once orders are secured, your guess is as good as mine on inaccuracy of these tests. That leaves the farmers with the greatest responsibility of ensuring that harvested fruits are mature. 

Ray of Hope for the avocado farming business in Kenya

An American company Helix Instruments has developed a real time field friendly portable gadget that uses near infrared analysis to test maturity of avocado fruits.  It is fast, easy to use and gives results in about 12 seconds. It is most suitable for the avocado exporters as they can test the fruits right at the farm.

Legislation on Avocado Maturity in Kenya

On 24^th, July 1925 California enacted a legislation on Avocado standards which permitted sale of avocados with a minimum oil content of 8%. Since it’s cumbersome to measure oil content, the Dry Matter which is inversely proportional to oil content is often measured as a maturity index.

Muranga Kenya: 95 years since the California Avocado Standardization Bill, Muranga County Government is yet to enact a similar legislation in a couple of weeks. We hope this will serve as a deterrent to harvesting and sale of immature fruits. Meanwhile, it is in the best interest of our business as avocado farmers in Kenya to ensure that the exporters and other middle-men do not lure us into destroying the future of the very business we are working so hard to build.

We, at richfarm Kenya consistently work with farmers to ensure the best farming practices are used. We have also compiled the Hass avocado farming guide below and put it in PDF so that you can keep it and read from your phone. You can download a free from our Farmer's Resources page. 

Larry Madowo’s Thought Provoking Tweet on Avocado Export Business in Kenya

Many Kenyans eyeing the obviously lucrative agribusiness sector have their gaze fixed on hass avocado farming. However, it looks like the real money is in the avocado export business, no wonder there have mushroomed so many small export companies of late.

On Monday January 20^th this year, Kenya’s popular journalist Larry Madowo, who is now living in the USA, made a tweet that ignited debate and provoked thoughts about what is more profitable between hass avocado farming and hass avocado export business in Kenya.

"This tiny avocado cost me $1.69. Isn’t this daylight robbery?" Larry tweeted, of course wondering why he had to pay Ksh171 (equivalent of $1.69) for a small avocado that he would have hesitated to pay Ksh20 for if he was here in Kenya.

The avocado that got Larry Madowo complaining

If you are surprised at the price in the USA, then you have a bigger shocker awaiting you. In Germany, an unripe avocado costs approximately 5 Euros (more than Ksh 500 at the current rate). Avocado prices in Europe are much higher than in USA and most other parts of the world.

Let’s keep in mind that the best paid avocado farmer in Kenya gets Ksh48 for his best fruit (For avocado prices in Kenya in 2019 read “Sweet Pay for Kenyan Avocado Farmers in 2020”). This scenario begs the question “Is the significant difference in price due to the cost of transporting these fruits to Europe and USA?” Of course not: while farmers in Kenya are celebrating the improved prices, the people who are truly smiling to the bank are the owners of the export companies.

But why can’t the farmers export their own avocado to these markets and cut off the middlemen? Well, that is not entirely impossible but given the small scale nature of avocado farming in Kenya, individual farmers do not have the produce quantities and the financial muscle to put in place the infrastructure required to successfully export their fruits.

Yes, the only way to address these weaknesses as farmers is nothing new… We have to come together to form marketing bodies. This is an idea that has been floated to farmers for the longest time; it has obviously been met with inactiveness, perhaps because farmers don’t even know how to start.

How about this – we join a common-interest Whatsapp group for avocado farmers in Kenya. I think such a platform will give us an ample space to interact and brainstorm on how we can bring our efforts together to aggregate our produce to meet the required consistency and pull our resources together to meet the infrastructural requirements that will enable us smoothly export direct to the market instead of using middle men.

You can join our hass avocado farmers’ common-interest group through this link https://chat.whatsapp.com/FR4WzgiWjXz1W9ZAQxmnPP

The export market for Kenyan avocado is huge and growing. We painted a picture of how it is in this article Demand For Kenyan Avocado Continues to Climb: The Issue Right Now Is Providing a Continuous Supply.

You will also remember that in April 2019, the Kenyan government signed a trade deal with the Chinese government allowing Kenyan avocado farmers to export their fruits to China. While there are tough regulations in that deal, the Kenyan government is negotiating to have them removed and the negotiations are actually starting to bear fruits: see Avocado Farming in Kenya Gets a Boost as China Slashes Duty on Kenya Avocadoes.

Projections indicate that when this China deal becomes fully operational, without excessively limiting small scale farmers with tough regulations, the Chinese market alone will be able to absorb 40% of Kenya's total avocado produce.

The future looks bright for avocado farmers in Kenya. It’s obviously the ripe time to invest in this project as we make efforts towards bringing farmers together to enable them access the international market directly. We, at Richfarm Kenya would love to help you in establishing your hass avocado orchard. You can reach us easily through 0724698357 or through the other channels given in our Contact Us page. Don’t forget to go to the Farmer’s Resources page to get a copy of this Hass avocado farming guide (PDF).

Sasini Expands Avocado Farming and Exports in 2020, Working With Kenyan Farmers

For a long time, Kakuzi has been the best company in the avocado farming and export sector in Kenya but it looks like Sasini is going to give them a run for their money starting this year 2020. Sasini, which initially dominated the tea and coffee farming and export industry, entered the avocado business in 2017 saying, “…we needed to identify a crop which would offer health benefits to the consumers and Avocado was an easy pick from a range of other crops…”

Sasini Avocado: New entrant in the avocado export business in kenya

But you can clearly see that this was a good move in time to cushion the company against the fluctuating prices of tea and coffee. Sasini’s move was well informed as the company ventured into avocado farming and exporting at a time when the market was craving for Kenyan avocado as global demand for the healthy fruit went through the roof.

Providing market for avocado farmers in Kenya

When it started the avocado export business, Sasini did not have its own farms so it started by working with farmers in various parts of Kenya. It also planted 200 acres of hass avocado in Nandi and Meru highlands. The company intends to increase the land under this crop to 1,000 acres by the end of this year, 2020.

However, they have an elaborate network of farmers who supply them more than 50% of all the fruits that they export. The farmers are engaged through a contract that sees them get GAP (Good Agricultural Practice) certified. Before selling their fruits to Sasini, the farmers must have their produce tested to ensure that they pass the minimum residual level.

Sasini Outgrowers: The company buys 50% of their export fruits from small scale avocado farmers in Kenya

Exporting fuerte avocado as well

Unlike other avocado exporting companies in Kenya which only export the hass avocado, Sasini also packs and exports fuerte avocado. They mainly market their fruits in the United Kingdom, the larger Europe and America, although they also have interests in other global markets.

Small scale avocado farmers in Kenya set to benefit more

With the entrance of such agribusiness heavy weights, the small scale farmers in the country are set to benefit the most as competition for supplies will definitely lead to better prices. The farmer’s worst challenge in avocado farming, market, is also addressed as the country’s export capacity is increased.

You should also read: 

1. Avocado demand continues to climb:“The issue right now is providing a continuous supply”

2. Avocado Farming in Kenya Gets a Boost as China Slashes Duty on Kenya Avocadoes

Hass avocado farming guide: Kenya

As the prices of other commodities in the international market highly fluctuate, that of avocado seems to be relatively stable. This is the best time to invest in avocado farming. Check out this hass avocado farming guide for kenya for relevant information on how to start. It is now available in pdf and you can now request for it from our Resources Page. 

How Avocado Farming In Kenya Is Influenced By Global Supply

No doubt the Hass avocado farming business in Kenya is mainly supported by the global market. This is because we export most of the fruits we produce to sell them in the same market as other major producers in the world like Peru, Mexico, Columbia and Spain. South Africa is also a major supplier to this market but Kenya recently overtook it to become Africa’s top exporter of avocado.

Avocado farming in Kenya

As such, the Kenyan avocado exporters have to maintain a high quality standard in order to remain competitive and get better prices. However, that is not the only factor that influences prices. Any event in a major avocado producing country, which has an effect in the production or distribution of the fruits in the world market, is bound to influence prices.

For example, the avocado prices faced a sharp decline last year (2019) towards the end of November – it was a drop from €18 (Ksh2,025) to €7 (Ksh787) for a 4kg box. That happened within a very short time of just about 2 weeks.

What caused such a sharp decline?

According to Produce IT, a Dutch company that grows avocados in Mexico and exports them to the global market in Europe and America, a culmination of several circumstances caused the price drop.

"There were a lot of strikes during the Chilean season. All the fruit came late onto the market, all at once. Those were then poorer quality products that had to be sold quickly. Peru offered avocados until the end of November. Kenya also kept sending more product too. The usual countries of origin also come on the market with more avocados every year. These countries include Mexico, Colombia, and Spain." Said Ruud Kester of Produce IT.

Kenyan Avocado

What was the effect on avocado farming in Kenya?

Any time there is such a drop in the prices of avocado in the export market, the avocado export companies in Kenya always pass the burden to the farmer.

However, the good news is that the avocado season in Kenya starts in April and extends to around early October, a time during which there is low supply in the global market hence prices are high and fairly stable. During that window, the price of a 4kg carton can go as high as €20 (Ksh2,250).

Read Also:

1. Avocado demand continues to climb:“The issue right now is providing a continuous supply”

2. Avocado Farming in Kenya Gets a Boost as China Slashes Duty on Kenya Avocadoes

Hass avocado farming guide: Kenya

No doubt avocado farming in Kenya is lucrative and the future for it also looks bright as the demand increases worldwide. This is the best time to invest in it. To start you off, we have compiled this hass avocado farming guide for kenya to help you with information on the go. It is now available in pdf so you can even carry it in your phone and refer any time. You can now request for it from our Resources Page. 

Avocado Farming in Kenya Gets a Boost as China Slashes Duty on Kenya Avocadoes

Avocado farmers and exporters in Kenya have been eying the lucrative China market for the last 7 years. China, being the most populated country in the world presents a huge potential market for Kenyan avocado but penetrating it has been hindered by several obstacles.

But ongoing negotiations between the Kenya government and that of China are finally yielding results. Last week (2^nd week of January 2020), the Chinese government agreed to slash the import duty on Kenyan avocado from 30% to 7%.

Intensive avocado farming - Kenya

That of course means an increased profit margin and is a move that will benefit any Kenyan avocado farmer who wants to export the fruits to China. It’s ideally designed to benefit the small exporters and it’s a huge advantage to cooperative societies and associations of avocado farmers whose export quantities are small.

Another hurdle for avocado exports from Kenya

However, a major obstacle yet to be removed is the tough handling conditions that China has placed specifically on Kenyan avocado. The export companies in Kenya are required to peel off and freeze the avocado to -30℃ and further maintain them at -18℃ while on transit to China.

The equipment required to achieve this is obviously very expensive and small scale farmers and exporters are not able to afford it. Despite this stringent measures and the capital requirement involved, some companies have already started exporting and several shipments have been made to China.

Pest free zones for export avocado

Kenyan Avocado

Trade Principal Secretary Chris Kiptoo has however ensured avocado farmers in Kenya that negotiations to remove the tough conditions are still going on. The reason why China has put those conditions is because of the fruit fly pest rampant in our country. 

To address this issue, the Kenyan government through KEPHIS has created pest free zones where avocado meant for export to China will be handled. If this move becomes successful, then Kenyans will start exporting avocado to China in its fresh form. This way the small scale farmers will have access to the Asian market which obviously has better prices than they are currently getting in Kenya.  

Read Also:

Avocado demand continues to climb:“The issue right now is providing a continuous supply”

We have compiled this hass avocado farming guide for kenya to help you with information on the go. It is now available in pdf so you can even carry it in your phone and refer any time. You can now request for it from our Resources Page. 

How To Choose The Best Pawpaw Variety For Farming In Kenya

A wise choice of the best variety is something you must consider in order to make your pawpaw farming business significantly profitable. There are about 9 main varieties currently being farmed in Kenya, all with diverse characteristics. It would be unfair to explicitly force to you one of these varieties claiming it’s the best. Instead, we will point out the three of them that we think have the most outstanding characteristics.

1. The Solo Sunrise Pawpaw

This is one variety that has been loved by everyone who has tried pawpaw farming in Kenya. It was first imported by KALRO and propagated in their farm in Baringo. It fast spread throughout the country with many farmers taking it up in Meru, Machakos and Makueni. Today, it is the most common in the country and its largest propagator, Richfarm Kenya, has distributed seeds to as far as Zambia.

Solo sunrise pawpaw tree

Solo sunrise pawpaw tree matures fast and starts bearing fruits after only 6 months. At this age, the tree is about 1 meter tall. As it sets fruits, more flowers develop on the growing crown and by the time the tree is a year old, it would be carrying over 60 fruits. The production is continuous and the tree will give you more than 100 fruits in the second year of production.

The fruits are small and pear-shaped, with a red flesh and very sweet taste. Each fruit weighs about 500 grams, ideal for one person to eat in one sitting. The fruits have excellent keeping quality since a ripe fruit can be kept for 14 days without going bad. This is why it is the best variety to farm is you are targeting the export market.

Read Also:

Why Solo Sunrise Is the Most Popular Pawpaw Variety in Kenya and the World

It is not surprising to see that solo sunrise variety has emerged as the most popular since this is...

2. Calina Papaya IPB9 Pawpaw

This variety was imported into Kenya from Indonesia. Its outstanding characteristic is that it is a pure dwarf: it starts bearing fruits at only 30 cm high. It matures very fast such that is you planted it in a hot area with sufficient water for irrigation, you harvest your first fruit in under 6 months.

Calina papaya IPB9

Calina papaya fruits are large and oval weighing between 0.5kg and 1.2 kgs. They have a very appealing red colour inside and are very sweet as well. Most of the fresh fruit vendors in town love it because of its large size that allows them to slice it and sell in parts. Can you also imagine how attractive a bowl of fruit pudding would look like with the bright red chops of this pawpaw?

This variety may not have as good keeping quality as solo sunrise but it is still a darling for fruit exporters. With good management, each tree of this variety will give you more than 50 fruits in a year.

One advantage that farmers of Calina papaya IPB9 variety have is that they can space the trees a bit more closely (1.5 meters from plant to plant) hence ending up with about 1350 trees in an acre. You know what that means? Of course more yield per acre hence more money in the pocket.

Read Also:

Pawpaw Farming In Kenya: How Much Do I Invest and What’s The Profit

Pawpaw farming is not just for subsistence; it is now an income generating venture in Kenya. Gone are the days we did agriculture blindly: we are now...

3. The Red Lady Dwarf Pawpaw

This is another great variety originating from the Philippines. It is high yielding giving up to 120 fruits in the second year after transplanting. Although it takes a bit longer to mature (9 months on average), it has a long productive lifespan and can give you fruits year in, year out for more than 5 years.

Red lady F1 Pawpaw

Red lady pawpaw fruits are oval in shape, obviously red and sweet but a bit smaller than those of Calina papaya IPB9. They weigh 400 to 650 grams on average.

I should have mentioned by now that it is a self pollinating variety just like the other two we have discussed above. That means as a farmer, you do not have the burden of keeping male trees that do not produce fruits in your orchard.

So among these 3 top pawpaw varieties in Kenya, which one would you go for as a farmer?

If you are a new farmer or intent to invest in pawpaw farming, I recommend that you also read

Pawpaw farming in Kenya: Frequently Asked Questions (FAQ)

Pawpaws Make You Money While Asking For Very Little Input From You

Pawpaw Farming In Kenya: How Much Do I Invest and What’s The Profit

We have also compiled this comprehensive pawpaw farming guide for Kenya with step by step information from planting through to harvesting and marketing. It also contains budget estimates. It is now available on PDF so you can even read it from your phone while at the farm. You can now download your copy for free from our Resources Page.

High Quality Ready to Plant Papaya Seedlings

We have high quality pawpaw seedlings of the three best varieties mentioned above. You can always visit our nurseries in Embu to pick your seedlings or simply place your order and let us figure out how to deliver the seedlings to your farm. Give us a call on 0724698357 to place your order

Hybrid papaya seedlings at Richfarm Kenya, Embu nursery

We are now glad to announce that the people of Rift valley are now covered well by our Naivasha nursery. You can visit Richfarm Naivasha at Boffar farm along Moi South Lake road or call 0723213602 to place your order. 

Pawpaw seedlings for sale at Richfarm Naivasha

While pawpaw farming is a lucrative business in Kenya today and relatively cheap to start in Kenya today, it requires a lot of space: for you to make any meaningful returns, you should start with at least one acre. However, space should never be a limitation to investing in agribusiness. If you have a small space and you would like to do farming for business, then one of the best investments you can make is in mushroom farming. We put together this article How To Make Money With Mushroom Farming In Kenya Throughout The Year 2021 to help you get started. Whenever you have questions, you can always reach us on call through 0724698357. 

Macadamia Nuts Farming In Kenya: How to Make It a Highly Profitable Business

If you have been keen to follow the agribusiness news and trends in Kenya, you must have noted that macadamia nut farming is one investment channel that informed farmers are putting their money into. The local prices of these nuts have been consistently going up and the international market is also expected to grow by at least 12% by 2025.

Macadamia nut plantation in Kenya

By the way, macadamia nut prices in Kenya hit a high of Ksh220 in 2019.

That’s a pretty impressive future market outlook for current farmers and anyone who wants to invest in the nuts production in our country. Remember the highest percentage of the nuts we produce here is slightly processed and sold in this international market. That means we are going to benefit directly as the global market expands.

It is so pleasing to see farmers who have abandoned coffee, maize and other crops and gone into macadamia farming smiling; of course because they are now making more money than they were with those earlier crops. However, it is unfortunate that some of these farmers seem not to know that they are actually making much less money than they should.

Most of the small scale macadamia farmers operate below their farm’s potential and can significantly increase their profits if they made a few alterations in their farming models and marketing strategies. I know those two have caught your attention so let’s dive in and look at how to improve them for maximum profit.

Farming models:

1. Select the best macadamia nut variety

It is good if you have trees of the local variety: its name is actually not known and most people identify it for having thorny leaves. But keep in mind the best yield you can get from this variety is 30 kgs per year while those with improved varieties harvest as much as 80 kgs per tree.

The best macadamia variety in Kenya so far is Murang’a 20 (MRG-20) according to Richfarm Kenya. It grows fast, has high yields and most importantly it adapts well to different climatic conditions.

Get a discount on grafted macadamia seedlings.

So would I advise you to replace those local trees with the new improved varieties? Certainly YES, and the best way of doing that is by planting the new trees in between the old local ones. Nature the young trees till they start producing, as you prune the bigger trees to avoid overshadowing the young ones. When you start harvesting from the new trees, then you can cut down the old, less productive ones to give room for the improved varieties to expand.

Remember, the recommended spacing for macadamia trees in Kenya is 7 by 7 metres. You must keep to this spacing to avoid overlapping the tree branches which would lead to poor lighting hence lower yields. 

2. Improve pollination

The number of kgs you will harvest from each of your macadamia trees is also directly influenced by the effectiveness of pollination in your farm. There are three important practices that you should observe to improve pollination.

1. Keep bees on your farm. Look at all successful macadamia farmers in Kenya and you will notice they have at least 1 bee hive on each acre. It is known all across the world that bees are the major agent of pollination for macadamia. According to KALRO, each cluster of macadamia flowers needs at least 150 bee visits to ensure optimum fruit setting. This is the reason why Richfarm Kenya is giving its farmers a free bee hive for every an acre they plant using the company’s services.
   
2. Plant more than one variety of macadamia in your farm. The different varieties flower at different times and therefore having many varieties on your farm helps in cross pollination. I have put that in simple terms to save you from the scientific technicalities but you can always talk to us for the details. Some of the best macadamia varieties for intercropping with MRG-20 are EMB-1, KRG-15 and KMB-3.
3. Protect your trees from strong winds. Strong wind blows away pollen grains from the male parts of the macadamia flower. Unfortunately, the female part of the flower is not wide enough to trap wind-blown pollens. Therefore these valuable pollen grains end up being blown away to waste. How do you protect your macadamia trees from strong winds? Simple, plant thick rows of wind breaker trees.

3. Irrigation and mulching are important in macadamia nut farming

Mulched macadamia farm in Kenya

These trees are evergreen and you will be forgiven to think that they do not need to be irrigated. But for a good harvest, it is important to irrigate the trees especially when they start flowering. On average, the trees require at least 850mm of rainfall well distributed throughout the year. If your area receives less than this, ensure that you supplement through irrigation. You will be having only about 80 trees in an acre so irrigating shouldn’t be much of a challenge.

Marketing strategies:

Marketing is a perennial problem facing macadamia nut farming especially with the presence of crooked brokers in Kenya. Luckily, with the establishment of several macadamia processing factories in various parts of Kenya, you can sell directly to them.

The challenge here would be quantities: if you have very low quantities, you are less likely to be able to negotiate a contract with the processing companies. This is where Richfarm Kenya comes in by helping you to connect with other small holder farmers in your area, put together your produce and thus have a higher bargaining power.

Well there you have it; we might have not covered all you needed but you can always contact us for more information.