Private sector serves horticultural industry in Kenya

Research Into Use

Development of private sector service providers for the horticultural industry in Kenya
Validated RNRRS Output. Home List by Audience List by Topic

Small companies are springing up in Kenya to help growers comply with international food safety standards. The export market for fresh vegetables is fairly well-developed but small growers are often left out when it comes to know-how on food safety and hygiene, and consumer preferences. But, by following advice from new small businesses, more than 23 farmer groups in the Central, Eastern and Rift Valley provinces have become certified, and more are in the pipeline. These business services spread very quickly to the Rift Valley, Coast and Western Kenya, and are rapidly expanding to other areas. Private-sector extension services could have a major impact on small-scale horticultural producers in East Africa, particularly for high-value crops where producers are more able to pay.

Project Ref: CPP64:
Topic: 5. Rural Development Boosters: Improved Marketing, Processing & Storage
Lead Organisation: ICIPE, Kenya
Source: Crop Protection Programme


Contents:

Description
  Validation
  Current Situation
  Lessons Learned
  Impacts On Poverty
  Environmental Impact
  Annex

Description


Research Programmes:

Crop Protection Programme and DFID-Business Services Market Development project- Kenya

Relevant Research Projects:

R6616, R7403, R 8296 and R8341 provided supporting research to R8438 and R8297.

  • R8438, R8297 was implemented by the International Centre of Insect Physiology and Ecology (ICIPE) in collaboration with the NRI-University of Greenwich-UK, the Business Services Marketing Development Project (BSMDP)-Kenya, The Kenya fresh produce exporters, PACT-Kenya, Outgrower farmer groups in Central and Eastern provinces, Africert Ltd, EUREPGAP Food Plus Secretariat and individuals. The contacts are as follows:
  • Dr. Brigitte Nyambo, International Centre of Insect Physiology and Ecology; P.O.  Box 30772-00100 Nairobi-Kenya; email: bnyambo@icipe.org; Tel: +254 20 8632000; Fax: +254 20 8632001/2
  • Hans Dobson and Jerry Cooper; Natural Resource Institute (NRI) University of Greenwich, Central Avenue, Chatham Maritime, Kent, ME4 4TB UK, Phone 44 1634 883729, Fax 44 1634 88337; j.f.cooper@gre.ac.uk ; hans@dobsons.demon.co.uk
  • Indufarm LtD Kenya, P. O. Box 42564, Nairobi; Tel.: +254 2 550215/6/7; Fax: +254 2 550220; cbenard@indu-farm.com
  • Harrigan Mukhongo, International Crops Research Institute for Semi Arid Crops-Kenya

  • Kevin Billing, Business Services Market Development Project-Kenya; P. O. Box 1528 Sarit Centre Nairobi-Kenya, Phone +254 20 3754473/4, Email: kbilling@bsmdp.org
  • PACT-Kenya, Dennis Pritt Road, P. O. Box 76390-00508 Yaya Centre; Phone +254 20 578271/73/74/571615: Email: pact@pactke.org

  • Simon Maina, Myner Exports Ltd, Langata Shopping Centre, Langata Road, P. O. Box 11706 Nairobi-Kenya, tel/fax: +254 20 607997; email: myner@todays.co.ke

  • Ruth Nyagah,  Africert Ltd, P. O. Box 74696-00200 Nairobi-Kenya; Tel+ 254 20 828857/9; Email: rnyagah@africert.co.ke

  • Elmé Coetzer, Food Plus GmbH, EUREPGAP Secretariat, Spichernstraße 55 D-50672 Koln (Cologne), Phone: +49 221 5 79 93-66; Fax: +49 221 5 79 93 45; Email:coetzer@foodplus.org


Research Outputs, Problems and Solutions:

An efficient extension service with the ability to create awareness among small-scale horticultural producers about health and environmental risks, market demands and compliance with current International food standards was not in place in Kenya. Thus many farmers, farm workers and consumers are exposed to the risks inherent to the current production practices, particularly excessive use of synthetic agro-inputs (pesticides and fertilizers). To minimize the risks, R8297 and R8438 piloted the development of private sector extension services provision for advice, input supply and plant protection for the horticultural industry in Kenya from 1st April 2003 to 31st December 2005 under the Peri-Urban Vegetable cluster to facilitate continued market access and improved livelihoods for small-scale farmers. The pilot addressed issues related to fresh produce export market: the current EU MRLs, food safety and hygiene requirements, and, the EUREPGAP Standard. The project was a pilot for the privatization of government extension services in Africa, and was therefore a learning platform. The lessons learnt are applicable to other small-scale horticultural production systems in East Africa particularly in areas where private payment for services, as in high value crops, would be available.


Types of Research Output:

Product Technology Service Process or Methodology Policy Other
  X X X    


Major Commodities Involved:

Vegetables. Yes it can be applicable to other high value crops and production systems


Production Systems:
Explanation of Production Systems

Semi-Arid High potential Hillsides Forest-Agriculture Peri-urban Land water Tropical moist forest Cross-cutting
  X     X      


Farming Systems:

Smallholder rainfed humid Irrigated Wetland rice based Smallholder rainfed highland Smallholder rainfed dry/cold Dualistic Coastal artisanal fishing
  X   X      


Potential for Added Value:

The R8297 and R8438 project limited its activities to small-scale farmer vegetable production systems in Kenya with emphasis on the export sub -sector. The Kenya fresh vegetable export sub-sector is fairly well developed and therefore the industry is well versed with information about market access and quality control. However, the participation of small-scale farmers was being threatened by a lack of efficient extension services for input and plant protection to be able to comply with the current EU MRLs and the EUREPGAP Standard. The outputs piloted the establishment of a private sector extension service provision that would be able to create awareness among small-scale outgrowers farmer groups about health and environmental risks, market demands and how to comply with International food standards. This pilot phase was constrained by (1) lack of enabling policy framework for the establishment of private sector extension services provision, (2) farmer's reluctance to pay for extension services perceived to be free, (3) lack of transparency (between farmers and produce buyers), and  (4) lack of cohesiveness at group level.  The lessons learned in the process would be valuable in the establishment of private extension services provision in other East African countries. However, since the knowledge and experience on market access and quality control, particularly the export sub-sector in the other East African countries are not as developed as in Kenya, resources will be required to develop and facilitate market access.  This would be achieved by forging linkages with R8182, R8418, R8296, which dealt with participatory market chain analysis and R7530 that addressed food safety in the supply chain.


Validation

How the outputs were validated: 

R8297 output was validated in November/December 2004 by a DFID independent team through discussions and interviews with project partners (small-scale farmer groups, fresh produce export companies, private service provider graduates, DFID -Business Services Market Development Project, and the project implementers) and, field visits to participating institutions (Project Number: ZA 0630, Contract Number 2910). The evaluation team found the project has been able to demonstrate that small-scale outgrowers for the export sector can adopt treaceability system, sound IPM and good agricultural practices required under the EUREPGAP Standard and can be certified. This ensuring their continued participation in the export sector, and, opened up other market opportunities for local consumers due to improved quality of produce grown in association and/or rotation with the export crops.  Consequently, this contributed to improved livelihoods among farm families and workers (through income from sale of produce, employment in the supply chain), reduced health hazards for farm workers and their families, and, improved food quality.

Where the Outputs were Validated:            

R8297 and R8438 have not been validated elsewhere other than in Kenya where the technology has been highly popular with small-scale vegetable outgrower farmer groups, product-marketing organization (PMOs) and export companies.  The outputs are being promoted in the high potential peri-urban horticultural production systems and small-scale highland rainfed/irrigated farming systems of Kenya.


Current Situation

Who are the Users?

The outputs of R8297 and R8438, are extensively used by small-scale outgrower farmer groups in Kenya to improve market access with emphasis on the export sub-sector; fresh produce export companies have employed some of the graduates either as fulltime or part-time extension service providers to small-scale outgrower farmer groups. The graduates of 2004 formed a private company "Agribusiness and Allied Services Company Ltd" that serve as information and service center, for small-scale outgrowers' groups, this created employment opportunities to college graduates. EUREPGAP Secretariat in collaboration with FPEAK, MOA, HCDA and BSMDP used the outputs to facilitate benchmarking of KenyaGap, this contributing to improvement of the local production, food and environmental standards. MOA modified their training approach on the EUREPGAP Standard based on the outputs. Other development agencies e.g. the USAID-funded HDC and Care Kenya Kibwezi, are promoting the technology among small-scale horticultural production outgrower groups. As a result, more than 23 outgrowers farmer groups, each with 15-30 members (men and women) has been EUREPGAP certified to date.

Where the outputs have been used:

The outputs of R8297 and R8438 are currently being used in Kenya by the fresh produce horticultural industry (export and domestic markets) in the major horticultural production areas, particularly in Central, Eastern and Rift Valley provinces.

Scale of Current Use:

As indicated above, the outputs of R8397 & R8438 spread very fast from the initial study areas in 2004 in Central and Eastern provinces to other parts of Kenya (Rift Valley, Coast and Western Kenya), and is still spreading to other areas in Kenya. Whereas only one outgrowers' farmer group was EUREPGAP certified in December 2004, currently there more than 23 small-scale outgrower farmer groups certified, and more are in the process of being certified.

Policy and Institutional Structures, and Key Components for Success:

R8297 and R8438: At ICIPE, there were already on-going programmes on training of trainers (TOT) to improve provision of efficient extension services to small-scale farmers for French beans, tomatoes, brassica and okra in collaboration with fresh produce export companies and development agencies. The Kenya fresh produce export is basically private sector driven and therefore knowledgeable about marketing and quality control. Kenya government was in the process of privatization of extension services, an opportunity for the project to develop a role model. Linkages and collaboration with other DFID funded projects enhanced promotion of the outputs: The DFID-BSMDP provided additional resources for publicity, capacity building and scaling up. The establishment of Africert Ltd, a local EUREPGAP certification body accredited to ISO EN 65 45011, ensured that certification costs were affordable by small-scale outgrower farmer groups. The key factors of success were the existing market demands and requirements (export sub-sector was the driving force for technological uptake and spread), good private-public partnerships, enabling national and International policy environment for private-public sector partnerships, adequate financial resources, multi-disciplinary and inter-institutional team approach in project implementation.


Lessons Learned and Uptake Pathways

Scale of current use:

R8297 and R8438: In Kenya, the outputs are being promoted through the fresh produce export sub-sector (FPEAK, export companies, HCDA, MoA) and development partners (the DFID-BSMDP-Kenya, the USAID-HDC funded project and the GTZ-PSDA/MOA).

Potential Barriers Preventing Adoption of Outputs:

The current barriers slowing the adoption of R8297 and R8438 in Kenya are: (1) Lack of supportive policy environment for private sector extension services provision, (2) farmers reluctance to pay for extension services, which are perceived to be "free" (3) issues related to farmer group development, cohesion and sustainability (4) inadequate contractual arrangement between outgrower farmer groups and produce buyers (contracts not binding, lacks transparency) and (5) lack of standardized information which could cause misconceptions and misunderstandings about international food safety standards and requirements.

How to Overcome Barriers to Adoption of Outputs:

A number of changes will be required to enhance adoption of the outputs:  (1) establishment of an enabling national policy on private sector extension services provision (2) publicity and awareness creation about the new policy to all stakeholders (3) capacity building in the development and management of commercial farmer group associations (4) development and formulation of code of practice for private sector services providers (5) establishment of credible and functional market information centers to ensure access to harmonized information, (6) development and enforcing of a culture of transparency among business partners based on mutual trust and respect, and (7) establishment of credit facilities (micro-finance) for input and services for small scale commercial farmer groups.

Lessons Learned:

Reliable market access, continuous capacity building and information update on markets and consumer demands, use of a combination of communication tools (radio and TV programmes, posters, fliers, field guides, field days) to publicize and raise awareness, formation of cohesive commercial farmer groups, good sustainable linkages between growers, service providers and produce buyers based on transparency that fosters healthy business relationship, enabling policy environment that fosters public-private partnerships for service provision, and, provision of quality, affordable services, would be key to fast uptake and spread of the outputs.


Impacts On Poverty

Poverty Impact Studies:

As mentioned above, only preliminary evaluation of the outputs was conducted in November-December 2004. This was the first pilot in Africa in the direction of trying to develop a model for privatization of the extension services in Africa, and was therefore a learning ground. The lessons will be tested elsewhere before its real impact on livelihoods can be assessed. However, starting with one group that was EUREPGAP certified in December 2004, about 23 outgrowers farmer groups  (each with about 15-30 members) have been EUREPGAP certified under option 2 in Kenya since then. The EUREPGAP compliance strategies (grading sheds, hand-washing facilities, toilets, etc) developed by the project has spread all over Kenya wherever produce for the export market is grown. The Nation-wide radio and TV series conducted by the programme raised awareness about the EUREPGAP Standard across Kenya.

List of studies conducted:

Lenne J. and Ward A. 2004. Lesson Learning study from the Vegetable Cluster with Special emphasis on the links with the private sector. The Crop Protection Programme, ZA 0630, R2910, 15th December 2004.


Environmental Impact

Direct and Indirect Environmental Benefits:

R8297 and R8538 emphasized good agricultural practices in production to minimize environmental and human health risks, and reduction of production costs (environmental and human health). These outputs addressed issues of international policies, e.g. the EU MRLs and the new food safety and hygiene regulations, and will contribute favorably to the Tanzania National Environmental policy of 1997, the plant protection act of 1997, the crop sub-sector policy of 2005, the 2015 national strategy to reduce loss of environmental resources and the 2025 Tanzania MDG.

Adverse Environmental Impacts:

None that are likely

Coping with the Effects of Climate Change, or Risk from Natural Disasters:

yes. R8297 and R8438 emphasize sustainable use of natural resources, raise awareness about potential hazards of misuse and abuse of synthetic pesticides and fertilizers, and promote good agricultural practices through hands-on training and farmer-farmer learning. These are likely to improve their capacity to make informed decisions beyond project life.


Annex

Anon 1997a. The Plant Protection Act, 1997. The United Republic of Tanzania, July 1997.

Anon 1997b. National Environmental Policy. United Republic of Tanzania, Vice Presidents's Office Dar es Salaam. December 1997

Anon 2000a. Farmers training handbook for fruits and vegetables propagation and management. Compiled by H. Rogg and edited by Horticulturalists-SECAP-Lushoto). GTZ/SECAP Lushoto, GTZ/ITSP Nairobi-Kenya and DED Dar es Salaam

Anon 2000b. Tanzania Poverty Reduction Strategy Paper.

Anon, 2001. Agricultural Sector Development Strategy, October 2001. United Republic of Tanzania.

Anon (??). IDT/MDG Progress Report: United Republic of Tanzania

Anon 2005. Crop Sub-Sector Policy 1st Draft. United Republic of Tanzania, Ministry of Agriculture and Food Security Dar es Salaam, April 2005

Lenné, J.M., Pink, D.A.C., Njuki, J., Wanyonyi, C. and Spence, J. N. 2005. Opportunities and constraints for future economic development of sustainable vegetable seed business in Eastern and Southern Africa. A scoping study commissioned by the Rockefeller Foundation, the Department for International Development, and the Gatsby Charitable Foundation, January 2005.

Nyambo, B.T., 2005. Needs assessment for WSSD-Horticulture partnerships East Africa-The Netherlands on improving market access: Tanzania Mission Report, 29th June to 5th July 2005 (unpublished). International Centre for Insect Physiology and Ecology (ICIPE), P.O. Box 30772-00100 Nairobi-Kenya

Nyambo, B and Verschoor, R. 2005. Partnership for market access: towards a sustainable market-oriented horticultural sector in Tanzania. The export horticulture in Tanzania, Wageningen UR Position paper, August 2005

RAS Kilimanajaro 2003. Kilimanjaro Vision 2025. Regional Secretariat-Kilimanjaro Region, April 2003 (unpublished)

RAS Kilimanjaro, 2005. Proceedings of the Kilimanjaro Regional Investors/Business round table meeting 7th June 2005, Uhuru Hostel-Moshi. Regional Administration and Local Government, RAS Kilimanjaro Region.

Soini, E. 2002. Livelihoods on the southern slopes of Mt. Kilimanjaro, Tanzania: Challenges and opportunities in Chagga homegarden system. Natural Resource Problems, Priorities and Policies. Working paper Series, World Agroforestry Centre.

Stevenson, C., Kinabo, J. and Nyange D. 1994. Urban Horticulture in Tanzania: A situation analysis of the production, marketing and consumption of fruits and vegetables in Dar es Salaam, Dodoma and Arusha.


Relevant Research Projects, with links to the
Research for Development (R4D) web site
and Technical Reports:

R4D Project Title Technical Report
R6616 Pest management in horticultural crops; integrating sustainable pesticide use into biocontrol-based peri-urban production systems.
R7403 Pest management in horticultural crops; an integrated approach to vegetable pest management with the aim of reducing reliance on pesticides in Kenya
R7530 Enhancing food chain integrity: quality assurance mechanisms for air pollution impacts on fruit and vegetable systems
R8182 Strengthening technical innovation systems in potato-based agriculture in Bolivia: Bolivia Initiative
R8296

Promotion of sustainable approaches for the management of root-knot nematodes on vegetables in Kenya.
Main Report. Annex 1, Annex 2, Annex 4, Annex 5, Annex 6, Annex 7a, Annex 7c.

R8297 Development of private sector service providers for the horticultural industry in Kenya
R8341 Promoting adoption of integrated pest management in vegetable production

Pest Promotion through the Cartoon Network

Leaflet:
Pest Promotion through the Cartoon Network.
R8418 Promotion and development of the participatory market chain approach (PMCA) in Uganda
R8438 Development of Private Sector Service Providers for the Horticultural Industry in Kenya (extension to R8297)

 

For relevant research projects, with links to further information Go to the list



Geographical regions included:

Kenya,



View all Audiences or BeneficiariesTarget Audiences for this content:

Crop farmers, Processors, Traders,