Kenya Government to Spend KSh 42 Million on Edible Oils Value Chain at the Coast
The Kenya Government, through the State Department for Crop Development, plans to spend more than KSh 42 Million to support farmers plating edible oils crops in the Coastal regions of Mombasa, Tana River, Kilifi, Kwale, and Taita Taveta Counties
According to Phillip Kello Harsama, State Department for Crop Development Principal Secretary, the Kenya Government plans to provide 720 Metric Tonnes of certified sunflower seeds by the use of the e-voucher input subsidy services, 200 Metric Tonnes of assorted canola seeds, sunflower, soya, and 10,000 coconut seedlings, and disburse KSh.42million to 840 farmers as loans in Kwale, Mombasa, Taita Taveta Tana River and Kilifi Counties under the National Edible Oil Crops Project.
In the 2023/24 financial year, the Kenya Government has allocated KSh134 Million to the Edible Oil Crops Promotion Project and is tapping county governments to dip into the fund to procure planting material and build the capacity of local farmers to produce edible oil crops.
Available figures indicate that Kenya has an annual consumption of edible oil estimated at over 900,000 metric tonnes, with a mere 80,000 metric tonnes being sourced locally.
Kenya imports over 90% of its vegetable oils, costing the exchequer some KSh 100 billion despite the fact that the country has the capacity to produce these oils.
Kenya plans to develop its edible oil value chains to cut on costly imports
In addition to vegetable oil processing, the edible oil value chain feeds into the cosmetic, pharmaceutical, and food processing industries.
Among the big players in the edible oils space in Kenya, is Kakuzi Plc, which is gearing up to tap into the Kenya Kwanza initiatives for this segment of the agricultural sector.
Kakuzi, which has assumed a new brand identity, is set to unveil a range of Macadamia Cold pressed cooking oil products, a development that will offer a route to double up the consumption of macadamia nuts locally through value addition in the face of the current global glut.
“I am impressed that as the government advances the National Edible Oil Crops Project, Kakuzi Plc, as part of its branding program. Kakuzi’s plan to introduce competitively priced Macadamia Cooking oil in the local market is a significant milestone that complements the National Edible Oil Crops Project and provides an avenue to diversify the pool of edible oils-producing crops beyond Sunflower, Canola, and Soybeans to Macadamia,” said PS Harsama.
Source Link: https://kenyanwallstreet.com/kenya-imports-the-bulk-of-its-vegetable-oils/
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