Agriculture Still the Engine of the Economy

Agriculture Still the Engine of the Economy

Kenya’s economy is strong and is poised to get even stronger. I highly consider this the right time to seize immense business opportunities being offered. The main aim of any investment is to gain profit and improve the livelihood of people and also create jobs. Given an opportunity, I would venture into agriculture and food processing. Reason being agriculture is the main stream of the economy providing livelihood to approximately 75 per cent of the population. There is considerable scope for diversification and expansion of the agricultural sector through accelerated food crop production, processing and marketing.

There are also opportunities for improvement in technological infrastructure such as packaging, storage and transportation. Intensified irrigation and additional value added processing are areas for investments. I would invest in various things considering a business can either be a success or a major fail. I will take you through the various places to invest and give you a reason for each segment. Investment opportunities exist in seed production, manufacture of sprayers and pesticides, veterinary services, construction of dams and boreholes, installation of irrigation systems and services. Opportunities also exist in support services, such as cold storage facilities and refrigerated transport for horticultural and other perishable products.

For instance, the horticulture sector is one of the fastest growing sectors in the economy and is the second largest foreign exchange earner after tea. Opportunities exist in production and export of products such as French beans, pineapples, mangoes, macadamia nuts and carrots. Considering these, the right piece of land and the man power will give a good yield.

The Agro-processing industry on the other hand has numerous investments which exist in its sector. Edible and other produced locally include butter, ghee and margarine as well as sunflower and corn oils, while a large quantity of palm oil is imported. Opportunities also exist in the production of decaffeinated coffee for export. Coffee processing and packaging to final products. Development of agriculture in coffee producing areas has a good opportunity to market Kenyan coffee in the international markets and especially in the United States.

Also poultry products are also a major investment in the agricultural sector. Hatcheries for the production of chicken for both domestic and regional consumption are underexploited and would make a major profit by investing in this sector.

Livestock is also another major investment through the rearing of livestock for meat and dairy products. The dairy industry has been liberalized, providing new investment opportunities in milk processing for local and regional markets. Bee keeping and honey processing are untapped potential in Kenya. Establishment of dairy processing plants such as milk processing for local and regional markets can bring large profits. Production of high value milk products such as milk powder, fermented milk and butter for export is encouraged. The Artificial Insemination (A.I) services play a major and important role in the development of the dairy sub-sector.

Cattle dipping services are important in control of tick-borne diseases that hinder the development of high quality beef and dairy products. The provision of low cost and affordable technologies and equipment for both large scale and small scale farmers will also enable the smooth running of the business. There are also opportunities for improvement in technology infrastructure such as packaging, storage and transportation.

It would take a lot of determination and research to be able to succeed in such a business considering things like diverse weather and the willingness to venture in such a successful yet competitive area. I would also look into things like competition and gain a good marketing strategy. In conclusion, investing in agricultural and food production can turn out to be a booming business if carried out correctly with the right manpower and infrastructure