Agriculture is the mainstay of the Kenyan economy directly contributing 26 per cent of the GDP annually, and another 25 per cent indirectly. The sector accounts for 65 per cent of Kenya’s total exports and provides more than 70 per cent of informal employment in the rural areas. The sector comprises of crops, livestock, fisheries, land, water, cooperatives, environment, regional development and forestry sub sectors. It also includes the development of arid and semi-arid lands.
There are joint venture opportunities for foreign investors seeking local counterparts, Sugar and Cotton processing factories have been earmarked by the government for privatization. Others include export-oriented agri-business, horticulture and processing of oil crops and investment in large scale irrigation schemes.
Kenya’s competitive advantage as an investment location for agriculture is supported by various investor friendly factors that include:
- Availability of a well established export market
- Availability of multinationals in the sector
- Availability of affordable labour
- Investor friendly arrangements